Hummingbird suspends operations at Yanfolila gold mine in Mali due to unrest
(Kitco News) - West Africa-focused gold mining company Hummingbird Resources (AIM: HUM) announced today that it has suspended its Yanfolila mine in Mali due to unrest.
In a statement, the company said that in recent days there has been unrest and illegal road blocks in the region and that this activity has impacted its ability to safely continue operations at the mine and as such Yanfolila is temporarily offline until conditions allow.
Hummingbird added that the situation on site remains calm and orderly with all employees and contractors safe and accounted for. Once conditions allow, a full assessment of plant and equipment will be carried out and any potential impacts will be evaluated, the company noted.
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"The current illegal action is from a small minority and not representative of the communities where the company operates, and is damaging for all concerned. Given the unrest includes illegal activities such as public order and blocking of public access roads, the company has elevated the disruption to the national Government, who are in the process of working through the situation and resolving it. It is anticipated that the company should be in a position to return to normal operations shortly," the company pointed out.
Importantly, Hummingbird said that this interruption to operations is impacting production and whilst it is currently difficult to evaluate the full impact at this time, the company advises that the full year production will be below the bottom end of the 2021 guidance range.
Hummingbird Resources currently has two core gold projects, the operational Yanfolila gold mine in Mali, and the Kouroussa gold mine in Guinea, which will more than double current gold production when in production, scheduled for first gold pour end of Q2 2023.
Further, the company has a controlling interest in the Dugbe gold project in Liberia that is being developed by Pasofino Gold Limited through an earn-in agreement.