Gold One International to Exceed 2011 Gold Production Target
Australian gold miner Gold One International announced it is confident of meeting 2011 goals of producing 120,000 gold ounces. It said its actual output could even overtake the target quota in the next few weeks.
To date, Gold One International has churned out 113,569 ounces from its Modder East operations in South Africa. December quarter production up until Friday last week was already 23,742 ounces.
In an update released to the market, CEO Neal Froneman said the current figures proves that the Modder East project is well positioned to come up with an even stronger and robust production for 2012.
"The Modder East team has ensured the operation has sufficient mining flexibility to attain our 2011 production forecast and also to provide us with a solid base on which to begin the new year," Froneman said.
Gold One International reported its annual budgeting cycle for the Modder East Operations is ongoing, which Froneman noted will allow to map out a detailed production update and guidance for the whole of 2012 right at the beginning of the new year.
Among the plans included for 2012 is the incorporation of the Cooke Underground and Randfontein Surface operations into future production forecasts.
Meanwhile, the company's board of directors had expressed support to a A$0.55 cash offer by a Chinese consortium.
BCX Gold had advised Gold One International of the offer now becoming unconditional, after obtaining the requisite approvals from the National Development and Reform Commission, the Ministry of Commerce and the State Administration for Foreign Exchange of the People's Republic of China to proceed with the transaction.
The offer is a series of interdependent transactions, including the cash offer and a minimum A$150 million capital injection into Gold One International.
The Chinese consortium aims to become Gold One International's major shareholder and long term strategic partner with a minimum 60 per cent stake.