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contractor|gold|mineral-processing|mining|project|resources|operations

First gold poured by contractor at Xtract’s Mozambique project

21st July 2022

By: Tasneem Bulbulia

Senior Contributing Editor Online

     

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Aim-listed Xtract Resources has been informed by mining contractor Mutapa Mining and Processing (MMP) that the first gold has been poured at the Fair Bride hard-rock gold mining operations at the Manica concession, in Mozambique.

Production was started with the introduction of low-grade ore to commission all parts of the processing circuit.

Xtract says it will make a further announcement as and when the plant moves into regular production.

Xtract in May 2019 appointed MMP as an independent mineral processing contractor to, among others, conduct hard-rock mining on the Manica project permitted area and to process the mined ore for the recovery of gold for a period of ten years with an option to extend.

Under the terms of the collaboration agreement, MMP will receive 77% of all the operating profit produced from the permitted area through the performance of the contract by MMP when the prevailing price of gold is greater than $1 250 /oz.

MMP’s entitlement increases to 78.5% at a prevailing gold price between $1 175 /oz and $1 249 /oz, and to 80% when the prevailing gold price is less than $1 100 /oz.

Edited by Chanel de Bruyn
Creamer Media Senior Deputy Editor Online

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