What it does
Galantas Gold Corp (LON:GAL)(TSX:GAL) is a dual-listed company which owns a producing open pit gold mine near Omagh, County Tyrone, Northern Ireland. The mine also produces by-product silver and lead. A metals concentrate is produced by safe, non-toxic processing and sold under contract.
How it is doing
In July, Galantas said financial matters have now been mutually agreed in connection to a proposed increase in underground blasting at the Omagh mine in Northern Ireland.
The company’s ore mining is presently suspended until finance is available to expand the underground operation.
Production had been disrupted by police restrictions on the storage and use of explosives for mine blasting and in recent months it has focused on resolving the problem.
All blasting must be supervised by the Police Service of Northern Ireland and availability was not sufficient for the desired level of operations. Progress was made following substantive investment, though it was still awaiting final approvals to implement increased blasting protocols.
Due to the financial burden, and amid the coronavirus pandemic, the company suspended ore mining operations and reduced headcount to 21 from 46.
The mine continues to deliver limited production of gold concentrate, from the processing of low-grade stock. The processing plant uses a non-toxic flotation process to produce concentrates, without the use of cyanide or mercury.
In June, the company agreed a share placing later increased to C$637,454, or £376,240. The net proceeds will be used to support mine operations and provide general working capital for the company.
- Restart of operations
- Underground blasting allowed
- Ramp-up of gold concentrate production