Operational Update

RNS Number : 2320F

Hummingbird Resources PLC

25 October 2018

 

Hummingbird Resources plc / Ticker: HUM / Index: AIM / Sector: Mining

Hummingbird Resources plc

("Hummingbird" or the "Company")

Operational Update

Hummingbird Resources (AIM:HUM) announces that, following an inspection of the Komana East pit at its Yanfolila mining operation, stability issues were identified which present an unacceptable risk to the continued safe mining below the western wall of the pit.  As a result the decision has been taken to prohibit mining beneath these 'risk zones' until further notice and some remediation work will be required.  This issue has been further compounded by the unusually heavy wet season which has resulted in a public bridge on the only access road to site being damaged by the floods.  The bridge has been issued with a restrictive weight limit eliminating the option for the company to mobilise additional mining equipment to site to assist with any remediation work meaning some of the existing fleet will need to be utilised for the remediation work. 

The production profile will be impacted whilst the remediation work is undertaken and the Company is advising that it is no longer possible to achieve guidance for the year which was previously forecast to be 105,000 to 115,000 oz.  The impact is currently being assessed and the Company will give an update to guidance once the remediation plan has been developed.  The mining of ore is still ongoing from both the Komana East and West pits.

As previously guided during Q3 both mining and processing rates were impacted by the wet season.  The Company poured 22,206 oz of gold in the quarter taking the total annual production to 74,092 oz at the end of the quarter.  A full Q3 update will be released to the market shortly. 

**ENDS**

For further information, please visit www.hummingbirdresources.co.uk or contact: 

Daniel Betts, CEO Thomas Hill, FD Robert Monro, IR	Hummingbird Resources plc	Tel: [phone]
James Spinney Ritchie Balmer James Bellman	Strand Hanson Limited Nominated Adviser	Tel: [phone]
Martin Davison James Asensio	Canaccord Genuity Limited Broker	Tel: [phone]
Gordon Poole Owen Roberts James Crothers	Camarco Financial PR/IR	Tel: [phone]

About Hummingbird Resources Plc

Notes to Editors

Hummingbird Resources (AIM: HUM) is a leading gold production, development and exploration company.  The Company has two core gold projects, the Yanfolila Gold Mine in Mali and the Dugbe Gold Project in Liberia. 

Yanfolila produced its first gold pour on time and budget in December 2017 and is expected to produce approximately 107,000oz gold/year on average over the Life of Mine.  Yanfolila holds pre-production Probable Reserves of 709,800oz @ 3.14g/t, total Resources of 1.8Moz of gold and an additional 390,700oz of non-compliant exploration potential. 

The Dugbe Gold Project has Resources currently totalling 4.2Moz of gold and a completed NI 43-101 compliant PEA on the project showing a 29% IRR and US$186m NPV at a US$1,300 gold price. 

In addition to Hummingbird's production and development assets, the Company also has an exploration footprint of ~4,000km² and a 34% interest in AIM listed Cora Gold, which is advancing a portfolio of prospects in Mali and Senegal.

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014.

 

END

 

 

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