Vast Resources reported that its Romania Mainaila mine production is ramping up to targeted 20.000 tones and with positive cash flow.
Vast Resources says operational break-even was achieved at its mines in Romania and Zimbabwe in its first reported quarter since commissioning.
The Manaila polymetallic mine in Romania was fired up on August 14 last year, while the Pickstone-Peerless gold mine in Zimbabwe kicked off on August 20.
Production is now ramping up at both mines, the firm said, with a target of 20,000 tonnes at each site by end of the first half, 2016.
Vast’s chief executive Roy Pitchford told investors: “It should be noted that this progress has been made during a period of sustained low commodity prices highlighting the inherent quality of the company’s assets.
“We have achieved a great deal from a standing-start and are now in the process of implementing optimisation programmes to improve grade control and plant efficiencies with the objective of significantly enhancing performance and profitability moving forward.
“In addition, with the positive cashflow generated from our producing mines, the company is well placed to achieve its objective of becoming a mid-sized mining company in the short to medium term.”
At Manaila in the quarter, 745 dry tonnes of concentrate was produced and 550 tonnes sold. The average sale price achieved was $1,033 per tonne.
At Pickstone Peerless, 2,601 ounces were produced and 2,375 ounces of the precious metal were sold. The average sale price achieved was $1,080 per ounce. Cash costs were $831 per ounce.