News
VANCOUVER, March 31, 2020 /PRNewswire/ - Asanko Gold Inc. ("Asanko" or the "Company") (TSX, NYSE American: AKG) today announces a general update on operations of the Company and the Asanko Gold Mine ("AGM") amid the current COVID-19 pandemic. The AGM is located in Ghana, West Africa and is a 50:50 joint venture ("JV") with Gold Fields Ltd (JSE, NYSE: GFI), which is managed and operated by Asanko.
Key Points:
- To date there are no known or presumptive cases of COVID-19 with employees of Asanko or at the AGM;
- The Vancouver, Johannesburg and Accra offices are closed with employees working from home and observing local regulations;
- The AGM continues to operate with strict hygiene, monitoring and social distancing protocols in place in accordance with the Ghanaian Ministry of Health Guidelines;
- The AGM has secured six months' supply of key reagents, consumables and critical spares and three months' supply of diesel;
- The AGM's primary refiner continues to receive shipments and refine gold dor from the AGM, and
- The Company continues to progress its share buy-back program.
Asanko Gold Mine
At the AGM, screening, monitoring, site access restrictions, hygiene and social distancing protocols have been in place for several weeks due to the outbreak of COVID-19. The Company is operating in accordance with the Ghanaian Ministry of Health Guidelines. On March 22nd, Ghana closed all borders for travel by all persons and on March 27th announced restricted movements of people within the major centers of Accra and Kumasi. Mining, power supply and fuel supply operators were exempted from the lockdown and operations are continuing at the AGM. The AGM's key operational personnel are all currently at the mine site, living in the accommodations camp, and will remain onsite until travel and personal movement restrictions are removed. The AGM is predominantly staffed with local Ghanaians who continue to operate on their scheduled work rosters.
Goods and supplies continue to flow through the Ghanaian border and the AGM has secured a six-month supply of key reagents, consumables and critical spares with the exception of diesel fuel for which the AGM has paid for and secured three months' of supply. The Company's supply chain management working group is monitoring the situation closely and working with key suppliers and its joint venture partner to maintain the AGM's current inventory levels for the foreseeable future.
The Company has been advised by the AGM's primary refiner in South Africa that it will be open for deposits and continue to operate with a reduced workforce during the 21-day lockdown in South Africa which started at midnight on March 26th. The weekly shipment of dor from the AGM left site on Thursday March 26th as planned and was received by the refinery on Monday March 30th.
At this time, the AGM is on track to deliver its 2020 production and cost guidance of 225,000 to 245,000 ounces of gold production at an all-in sustaining cost1 ("AISC") of $1,000 to $1,100/oz. Further updates will be provided in the event there is a material change at the Asanko Gold Mine operations. The Company expects to announce preliminary production and cost data for Q1 2020 on or about April 16th.
Asanko Share Buy-Back Program
The Company continues to progress on its share buyback program under its normal course issuer bid (the "NCIB") that commenced on November 15, 2019. As of March 30, 2020, the Company has repurchased 3,540,329 common shares for $3.0 million. The Company has the ability to repurchase up to 11,310,386 common shares prior to the expiry of the NCIB on November 12, 2020.