Colombia - Quarterly Update

RNS Number : 2146B

Red Rock Resources plc

12 April 2012

 



RED ROCK RESOURCES PLC

Quarterly Update - Colombia

Appointment of COO at Colombian operations

Dated: 12 April 2012

Red Rock Resources plc ("Red Rock" or the "Company"), the gold mining and exploration company with projects in Greenland, Colombia and Kenya, and interests in steel feed, uranium, and rare earths, reports on gold sales in Colombia.

Colombia

		Ore Mined	Ore Processed	Gold Sold		Grade Average
		(Tonnes)	(Tonnes)	(Oz)		(g/t)
Quarter to:
31st December 2011		5397	5055	1425		8.7
31st March 2012		6110	5658	1149		10.7
Percentage Change		13%	12%	-19%		23%

The first quarter of 2012 in Colombia saw an increase in production at both the mine and plant as infrastructure improvements start to take effect; an increase in the grade from the mine and entering the plant as the mining process improvements are implemented; the appointment of a COO; a fall in gold sales over the period, attributed to inefficiencies within the plant.

Gold sales dropped to 1149ozs (1425ozs Q4 2011), a 19% decrease on the previous quarter. Monthly sales have picked up from a low in January of 312ozs (9.7kgs), to 398ozs (12.3 kgs) for February and 439ozs (13.6kgs) for March. A significant decrease in recovery rates at the plant led to this drop in sales. A number of personnel have been released and some processing issues have been identified and addressed. Recovery rates have started to improve.

The Company announces the recent appointment as Chief Operating Officer of the Colombian mining operations of Dr Peter Bolt Bsc, CEng, MIMMM, MCIMM. Dr Bolt is an experienced mining engineer with extensive narrow vein mining experience in the Frontino Gold Belt. He has lived in Colombia for 6 years and run two operating mines over that period. Before his work in Colombia, Dr Bolt was with SRK (UK) Ltd for 11 years. Dr Bolt takes responsibility for all operations at the mine. His mission is to improve efficiency of the mine and plant and increase production.

Andrew Bell, Chairman of Red Rock said "We welcome the opportunity to work with Peter Bolt, who has previous experience with the El Limon mine and whose judgement and depth of knowledge greatly strengthens our team in Colombia."   

Enquiries:

Andrew Bell	020 7099 5840 or 07766 474849	Red Rock Resources plc	Chairman
Sandra Spencer	020 7099 5840 or 07757 660 798	Red Rock Resources plc	Public and Investor Relations
Philip Davies/David Porter	020 7444 0800	Religare Capital Markets	Nominated Adviser
Nick Emerson	01483 413500	Simple Investments Ltd	Broker

Updates on the Company's activities are regularly posted on its website, www.rrrplc.com.

 

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