JOHANNESBURG (miningweekly.com) – Although significant progress is being made in advancing its Mpokoto gold project, in the Democratic Republic of the Congo (DRC), Aim-listed Armadale Capital does not expect production to start in the first half of this year as was initially planned.
The investment company on Friday said the start of production had been delayed, owing to financial constraints and that construction would only start in the second half of the year.
In a review of its results for 2015, the company noted that it had been in negotiations with potential partner A-MCS to build, operate and provide $20-million in funding for the 678 000 oz project.
“Discussions with our potential financing, construction and operating partner, A-MCS are ongoing and they are continuing their review of the definitive feasible study,” said Armadale chairperson Peter Marks.
The project, which would be developed in two phases, with the first phase to require a capital cost of $25.15-million.
Openpit mining for the first phase was scheduled to produce an average 24 900 oz/y of gold over four years.