Metallon Gold reviews output target downwards

current financial year to 95 000 ounces.
This is due to flooding at three of its mines. An official with the gold producer said because of the constraints the company was now targeting to achieve 65 to 70 percent of the initial 136 000oz target, which is still an improvement on the figures achieved last year.
For the year to September 2010, Metallon produced 53 100oz of gold.
Metallon has five gold mines in Zimbabwe but only two, its flagship How Mine and the Shamva Mine, are currently producing gold and
operating at around 80 percent capacity.
Of the three mines that are non-operational, Arcturus and Mazowe are partially flooded and are expected to commence full production within six months, while the Redwing Mine may operate within 12 months.
Metallon closed all its mines in 2008 but resumed operations in July 2009.
The country expects output of the precious mineral to increase 35 percent to 15 tonnes by year-end on the basis of improved access to funding and negation of operating environment constraints such as unreliable electricity supplies.
Meanwhile, Metallon is one of the 150 odd mining firms that have since filed indigenisation compliance proposals with the Ministry of Youth Development, Indigenisation and Economic Empowerment.
In assessing the implementation plans that have been submitted by the various mining firms, the Government is expected to carry out research on the aspect of credits that has been raised by some miners.
The regulations indicated in Statutory Instrument 34 of 2011 are meant to ensure that indigenous Zimbabweans have control of mining firms as soon as the plans are approved.
This differs with other industries where timelines of compliance vary and may stretch up to five years.