Griffin Mining reports mixed production results in third quarter

25th Oct 2024 13:58

(Sharecast News) - Griffin Mining reported a mixed third-quarter production performance on Friday, having mined 337,547 tonnes of ore, down from 363,406 tonnes last year, while processed ore increased to 396,778 tonnes from 367,024 tonnes.

The AIM-traded firm said zinc concentrate production declined slightly to 11,843 tonnes, while gold and silver output rose to 4,105 ounces and 95,276 ounces, respectively, alongside a notable increase in lead production to 468 tonnes.

Pricing gains were seen across metals, with average zinc prices received up 45% year-on-year to $2,584 per tonne, gold up 23% to $2,343 per ounce, and silver up 33% to $25.70 per ounce, while lead prices remained stable.

Operations at the Caijiaying Mine, currently running at an annualised rate of around 1.5 million tonnes, faced challenges due to lower-grade ore accessed during the quarter and a temporary suspension following a fatal incident involving a haulage contractor.

Griffin said it hoped to resume operations soon to meet its annual production target.

Development in zone II was progressing, including work on a new third portal, a south ventilation shaft, and additional underground infrastructure to support ongoing expansion efforts.

"What was always planned as a lower grade production quarter has unfortunately been followed by the tragic loss of a contractor's employee's life," said chairman Mladen Ninkov.

"All of our staff and contractors are moving heaven and earth to ensure operations begin as soon as possible and the production lost in the shutdown is recouped in the last quarter."

At 1343 BST, shares in Griffin Mining were down 2% at 147p.

Reporting by Josh White for Sharecast.com.