Quarterly Activities Report
Brisbane, Feb 1, 2023 AEST (ABN Newswire) - Tombola Gold Ltd (ASX:TBA), a company focussed on near-term gold production in Cloncurry, Queensland, is pleased to provide an overview of the Company's activities for the period ending 31 December 2022 ("Quarter", "Reporting Period").
- Tombola remains confident in its overall strategy, and on track to become a significant Australian gold producer, despite the recent disruption to production at the GAM plant.
- Mining activities continued at the Company's two operating mines, Comstock and Shamrock, with the first material being delivered from the Mt Freda Run of Mine pad plant for crushing and processing.
- Gold processing commenced during the quarter, following the refurbishment of the GAM plant. However just prior to Christmas, a problem was encountered within the crushing circuit at the GAM Plant.
- Advanced to 100% ownership of the Golden Mile Project, substantially increasing Tombola's share of the planned production of Golden Mile material.
- Agreement with Ilwella Pty Ltd, and $500,000 received, for the pre-sale of the first 200 ounces of gold to be produced, a key milestone in the pursuit to become a gold producer.
- Further significant gold intercepts delivered at the Mt Scheelite Gold Project, indicating the potential to increase gold production across the Company's portfolio.
- Appointment of Mr Trevor Coombe as an Executive Director, fulfilling the duties of a Chief Operating Officer.
- Successful capital raisings via a private placement to raise $3.45m, and a Share Purchase Plan (SPP) raising $1.12m.
Commenting on the Quarter, Tombola Chairman and CEO, Byron Miles, commented:
"The December 2022 Quarter was a key period for the Company, with Tombola laying a solid foundation for 2023, as we remain confident in our overall strategy, and on track to become a significant Australian gold producer.
Following the refurbishment of the GAM Plant, Tombola commenced gold processing in December 2022, however the Company experienced a fault with the original crushing circuit, as announced. Arrangements are in place for a new crusher to be mobilised to site to recommence crushing, which will enable the GAM plant to recommence operations. Importantly, the project fundamentals remain unchanged.
Unfortunately, the fault with the crusher was out of the Company's control, with the Tombola management team working tirelessly over the holiday period to find a solution to facilitate the recommencement of processing. Our efforts were hindered by a number of convergent factors, however we are very pleased to have found a solution and look forward to recommencing operations shortly.
During the Quarter, mining continued at both Comstock and Shamrock, and the Company achieved a major milestone with first material from Comstock and Shamrock being delivered from the Mt Freda Run of Mine pad plant for crushing and processing.
The Company also advanced to 100% ownership of the Golden Mile, significantly increasing its planned future revenue share of Golden Mile materials.
Tombola continued to achieve exploration success during the December Quarter, with significant gold intercepts delivered at the Mt Scheelite Gold Project, and we look forward to further advancing our exploration projects over the coming year."
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About Tombola Gold Ltd
Tombola Gold Ltd (ASX:TBA) is a company assembled by experienced, exceedingly well-qualified and all very well rounded team members that have previously floated exploration companies which achieved major resource discoveries and success. Between the Tombola team members, Tombola as a company have well over 100 years of accumulated experience in the mining, exploration and resource sector. Tombola principal objective is to acquire assets to explore for and develop a large IOGC or porphyry deposit funded by low-risk gold production resources. To that end, Tombola has a license covering 970 sq km prospective for gold/copper in the Mount Bryan-Red Banks-World's End area near Burra in South Australia; with strategic agreements with Queensland Mining Corporation.
Tombola Gold Ltd