JSE-listed diversified resource company Village Main Reef has attributed its reported loss of 20% in production for the December 2012 quarter to recent labour unrest, safety related stoppages and South Africa’s holiday season.

The company reported 49 111 oz of gold and 1 255 t of antimony for the quarter, down by 12 207 oz compared to the previous quarter. The company reported a loss of 9 355 oz, 8 038 oz lower that the September quarter at its Asankrangwa gold belt(Blyvoor). The mine suffered illegal strike action, a seismic event and a fatality due to the “fall of ground” and advised this would affect the quarter’s production.

The Tau Lekoa gold mine (Tau) has reported production of 27 360 oz with a loss of 4 364 oz when compared to the previous quarter.

Cons Murch mine (Cons) has also reported a loss in production for the December quarter with production of 2 037 oz, down 218 t in antimony and a decline of 737 oz in gold compared to the September 2012 quarter.

The only mine that recorded an increase in production was Buffelsfontein gold mine (Buffels) located in the Klerksdorp goldfields of the Witwatersrand basin, some 160 km south-west of Johannesburg. The mine recorded 10 359 oz with an increase of 934 oz when compared to the September quarter. The company attributes the positive results to an improvement in production volumes.

A spokesperson for the company says: “We are working with the Department of Mineral Resources  inspectorate and independent experts to deliver safety system improvements and strategies for accident prevention.”

Additional Reading?

Request Free Copy