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Galantas reaches agreement over blasting at Omagh mine
12th May 2020 10:28
(Sharecast News) - Galantas Gold Corporation said on Tuesday that it has agreed with the Police Service of Northern Ireland (PSNI) over blasting at its wholly-owned gold mine near Omagh.
The AIM-traded firm had said on 2 April that confirmation was received from PSNI, in regard to the satisfaction of certain secure storage and handling protocols required for an increase in blasting to a commercial level.
Some other issues regarding financial matters were at the time being progressed, and on Tuesday, it said that that financial matters had now been mutually agreed.
"Staff operating the concentrate processing plant were earlier furloughed under a UK government grant scheme, regarding the coronavirus pandemic," the Galantas board said in its statement.
"The company carried out maintenance to the processing plant during the milling suspension, to avoid future maintenance interruptions."
Galantas said it was expecting to restart milling operations within the next 10 days, and would be working from a stock of low-grade material currently available.
It said it would be applying Northern Ireland and UK government health advice and a risk assessment.
"Certain underground work continues but ore production is suspended until finance is available to expand the underground operation.
"Pending resolution of the blasting issue, the workforce was reduced as earlier disclosed."
Discussions with a number of parties were ongoing in terms of a corporate action involving a potential sale or joint venture, the board added, with due diligence materials still being processed.
At 1014 BST, shares in Galantas Gold were up 10.7% at 23.8p.
The AIM-traded firm had said on 2 April that confirmation was received from PSNI, in regard to the satisfaction of certain secure storage and handling protocols required for an increase in blasting to a commercial level.
Some other issues regarding financial matters were at the time being progressed, and on Tuesday, it said that that financial matters had now been mutually agreed.
"Staff operating the concentrate processing plant were earlier furloughed under a UK government grant scheme, regarding the coronavirus pandemic," the Galantas board said in its statement.
"The company carried out maintenance to the processing plant during the milling suspension, to avoid future maintenance interruptions."
Galantas said it was expecting to restart milling operations within the next 10 days, and would be working from a stock of low-grade material currently available.
It said it would be applying Northern Ireland and UK government health advice and a risk assessment.
"Certain underground work continues but ore production is suspended until finance is available to expand the underground operation.
"Pending resolution of the blasting issue, the workforce was reduced as earlier disclosed."
Discussions with a number of parties were ongoing in terms of a corporate action involving a potential sale or joint venture, the board added, with due diligence materials still being processed.
At 1014 BST, shares in Galantas Gold were up 10.7% at 23.8p.