- Steppe Gold (TSX:STGO) has commenced gold and silver sales from its Mongolian mine
- The company has sold 5,233 ounces of gold and 1,372 ounces of silver
- Steppe Gold reportedly made approximately C$11.9 million from these sales
- Steppe has amassed some 640,000 tonnes of ore at a grade of 2.0 grams per tonne gold
- Steppe Gold (STGO) is down 3 per cent and trading for C$1.61 per share, with a $73 million market cap
Steppe Gold (TSX:STGO) has sold the first stockpiles of silver and gold ore from its ATO Gold Mine in Mongolia.
The company sold 5,233 ounces of gold and 1,372 ounces of silver in two seperate deliveries. The combined sales netted the company some C$11.9 million.
The company has a stockpile of approximately 640,000 tonnes of ore at 2.0 gams per tonne gold. They have been mined, crushed, and stacked, with leaching currently underway.
Steppe is on track to produce roughly 60,000 ounces of gold for 2020, with cash costs around $500 per ounce.
The company says it will funnel cash from the mine into studies to expand the open pit and processing facilities. The junior miner hopes to boost gold production to the per annum target of 150,000 ounces a year.
Steppe has conducted an 11 kilometre drilling program at other Mongolian deposits. Those assays should be available in the coming months.
Coronavirus has not materially impacted results either, with the company stating it does not expect COVID-19 will impact 2020 production in any way. Preventative measures are in place, ensuring that the company has taken no risks regarding employee health and mine productivity.
Steppe Gold’s President and CEO, Bataa Tumur-Ochir, expressed how pleased the company was with the successful start they’ve had to the year, with production kicking off at the ATO mine.
“We have worked very hard to prepare for a safe and productive start to our production phase. The company is delighted to commence gold and silver deliveries to the Central Bank of Mongolia.
We are very grateful to all our stakeholders in Mongolia for their support as we celebrate this milestone.
“We have now increased our mining rate, and plan to increase our gold and silver deliveries as we move out of the ramp-up phase,” Bataa commented.
Steppe Gold (STGO) is down 3 per cent and trading for $1.61 at 11:50am EDT.