Caledonia Output Up Despite Covid-19 Disruptions

Listed bullion producer, Caledonia Mining Corporation says gold production at its Blanket Mine grew 6.2 percent to reach 13 499 ounces in the quarter ending June 30, 2020 from 12 712 ounces realized in the comparable quarter despite disruptions to production necessitated by the Covid-19 lock down.

Production was briefly hampered by the pandemic as the restrictions disrupted supply chains.

This has seen gold produced in the first half of 2020 recording a 12.5% increase compared to the corresponding period of 2019.

In a statement, Caledonia Mining Corporation, Chief Executive Officer Steve Curtis said the increase in output weathered a tough operating environment also worsened by Covid-19 disruptions to production.

“The production of 13 499 ounces in the second quarter is an outstanding achievement given the challenges faced during the quarter as a result of the COVID-19 Pandemic. To have achieved a 6.2% increase in the comparable quarter of 2019 during a period where our workforce and supply chains were disrupted is a performance of which every employee should be justifiably proud. Thankfully the virus has not affected our operations or the broader Zimbabwean gold mining sector too seriously although we remain vigilant,” said Curtis.

He also added that a 12.5% increase at half-year stage better places the company to its total annual target of 53 000–56 000 ounces.

“For production to be 12.5% ahead of the corresponding 2019 level at the half-year stage leaves us well placed for the full year and on track to meet our full-year guidance of 53 000–56 000 ounces. This strong performance and high gold prices have ensured that the business remains on a very solid foundation as we prepare for the next phase of our growth with the completion of the central
shaft in 2020 and increased production to 80 000 ounces by 2022,” said Curtis.

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