GoldStone Resources (AIM:GRL) lifted 11.1% higher on Tuesday, to 0.75p, after visible coarse gold was identified during wash-plant commissioning.
The wash plant has been installed and commissioned, an excavator is excavating test trenches beside an existing stream bed to define alluvial gold-bearing horizons, and sections of underlying regolith have been exposed for future testing, with the licences contiguous to the Baomahun Gold Mine, which is estimated to contain approximately 5.8 million ounces and where early work has indicated grades of approximately 12 g/t.
GoldStone has seconded local management and technical personnel to support MinCorp SL during the establishment of mining and processing activities and to assist with operational optimisation and community engagement.
"We are pleased with the speed at which our investment in MinCorp SL is being deployed and the strong progress made in establishing operations on site," said Emma Priestley, Chief Executive.
GoldStone will receive 100% of revenue from sales for the first 70 troy ounces of refined gold from the licences under the terms of the MOU.
The company cautioned that material processed during the commissioning was not sampled or monitored under controlled conditions and therefore cannot be used to determine grade, and added that further systematic processing campaigns and sampling will be carried out to quantify gold content, optimise recovery and support mine planning.
