RE:NEWS Frazer Bourchier, President and CEO, commented:
"Harte Gold's production plateaued in Q2 2021 and was inline with the previous quarter's operations. The plateau was due primarily to a labour shortage, reduced equipment reliability, and the need for more definition infill drilling and accelerated mine development. In the greater context, the operational turnaround continues to trend positively following restart of the mine in August of last year. Over the first half of 2021, the daily mill process rate improved 25%, the daily mining rate increased 42%, and the monthly gold production rate grew 11%, relative to performance in H2 2020. We continue to see positive trends for July, coupled with an upcoming Q3 2021 forecast estimating additional rate improvements of approximately 15% to 40% across key metrics. The overall value proposition disclosed in May 2021 remains intact and I still believe in the long-term value potential of this mine. To unlock and sustain elevated levels of operating performance, accelerating capital and some additional capital is required.
The Company remains focused on maintaining its liquidity while funding the critically important strategic review process which was commenced in May 2021 (the "Strategic Review Process") in order to obtain the financing needed for the transformational growth of the Sugar Zone mine. Harte Gold will continue to evaluate all potential strategic avenues to unlock the underlying potential of this asset."