Xtract Resources said it had produced modest production results in the December quarter due to lower mineral grades.
Total alluvial mining contractor gold production for the three months through December fell to 1,328 ounces, down from 1,811 in the third quarter.
Combined attributable revenue to Explorator from gold sales was $310k, with Xtract's shares amounting to $155k.
'The quarter under review produced modest results compared to previous quarters and reflects the lower grade areas having been ceded back to the company together with compensation paid to local farmers,' executive chairman Colin Bird said.
'The areas mined during this quarter were marginal but considered appropriate for processing, despite lower grades.'
'We expect to see improving production against an improving gold price.'
'We recognise the inconsistency of alluvials, but over the last year have gained considerable insights into the intricacies of alluvial miming and this has moved up into test work programme in neighbouring countries.'
'We now have a very clear vision how to effectively mine the hard rock occurrences which are less metallurgically challenging.'
'The company is talking to potential partners and investors to develop the Manica project and the board intends to release revised scoping numbers in the near future.'
At 1:22pm: (LON:XTR) Xtract Resources Plc share price was -0.18p at 0.98p