Shipment and Loan Repayment Update

RNS Number : 5617Y

Goldstone Resources Ltd

17 January 2022

 

17 January 2022

GOLDSTONE RESOURCES LIMITED

("GoldStone" or the "Company")

Shipment and Loan Repayment Update

GoldStone Resources Limited (AIM: GRL) is pleased to report that it has completed its second gold pour at the Homase mine. The first pour on 30 November 2021 yielded approximately 14.46 kilos of gold doré, and the second pour just completed has yielded 28.50 kilos of gold doré.  These first two pours have been exported to the Company's off-taker in Switzerland, resulting in refined gold bullion of 40.67 kilos and 1.71 kilos of refined silver bullion.

The Company is pleased to announce that the Gold Loan repayments to Asia Investment Management Services Limited ("AIMS") for October, November and December 2021, as set out in the Company's announcement of 20 September 2021, have now been satisfied. 

It has been further agreed with AIMS that, in order to enable to Company to efficiently manage shipments, it shall not be deemed an event of default if the monthly payments set out in the Company's announcement of 20 September 2021 are not made at the end of each month.  With effect from 1 January 2022, interest on the outstanding balance of the Gold Loan shall accrue at a rate of 14% per annum and Company shall be required to repay the Gold Loan and accrued interest in full (whether in one lump sum or by way of multiple payments from time to time) on or before 30 September 2022, and failing to do so will be an event of default.

A further update regarding operations and production will be provided in due course.

For further information, please contact:

GoldStone Resources Limited
Bill Trew / Emma Priestley	Tel: [phone]
Strand Hanson Limited
James Dance / James Bellman	Tel: [phone]
S. P. Angel Corporate Finance LLP
Ewan Leggat / Charlie Bouverat	Tel: [phone]

About GoldStone Resources Limited

GoldStone Resources Limited (AIM: GRL) is an AIM quoted low debt, emerging gold producer via its 100% owned Homase Mine, which started production in 2021. GRL has one of the lowest debt to equity ratios of any emerging gold producer and when at full planned production of 2000oz pcm GRL expects an AISC of <USD600/oz.  Target for full production is mid-2022.

L ocated ~15km north-west of AngloGold Ashanti's Obuasi mine, in the mineral-rich and highly prospective Ashanti Goldbelt.   Homase Mine is a series of shallow open pits producing approximately 25,000oz pa of gold, with a recently commissioned CIC treatment plant, for the Heap Leach operation.  First gold was poured in November 2021, and the Company will be ramping up production during the first quarter 2022 . 

The Homase Mine, hosts a JORC Code compliant 602,000 oz gold resource at an average grade of 1.77 g/t. This is confined to a 4km strike length, which the Company plans to explore, along strike and down dip, in order to expand on the known resource.  The mine was formerly operated by AngloGold Ashanti in 2002/03 producing 52,000 oz gold at 2.5 g/t recovered. 

The Company also hosts the former underground Akrokerri Ashanti Mine, which produced 75,000 oz gold at 24 g/t recovered grade in the early 1900s.  It is the Company's intention to commence exploration of this former mine in the near future.

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014 as it forms part of United Kingdom domestic law by virtue of the European Union (Withdrawal) Act 2018 (as amended).

 

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