Patagonia Gold (LON:PGD) shares moved up in early trading on Friday, after releasing output figures for its Cap Oeste operation in Argentina.
Cap Oeste is Patagonia Gold’s only producing asset and the group released no comparative figures. In the first quarter the mine produced 10,662 ounces of gold equivalent, with the average cash cost of production coming in at $693 per ounce, or $756 per ounce including depreciation and amortisation.
“The team at Cap Oeste continue with efforts to optimise the production process, while the installation of the new crushing circuit to reprocess the material already stacked on the leach pad is completed,” the company said.
“The production guidance for the year is currently being reviewed and the market will be updated once this exercise is complete”.
Patagonia Gold said it was using the proceeds from gold sales from Cap Oeste to complete the payment of the new crushing circuit, as well as reducing its net debt position.
Shares in Patagonia Gold are currently up 0.86 percent at 117.50 (0946GMT).
