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Mining company Chaarat reported higher earnings even as production fell in the third quarter from the second.
For the quarter ended 30 September 2019, the earnings (EBITDA) contribution from Kapan was $3.6m compared with the $3.2m seen in the initial five-month period of control btween February to June 2019, the company said.
Production was16,377 gold equivalent ounces at a cash cost of $1,092 an ounce for the quarter, compared with 16,996 ounces at a cash cost of $1,223 an ounce in the second quarter of last year.
Realised gold price for the quarter of USD1,474 /oz versus USD1,306/oz in Q2 2019 in line with the average gold price for the three months to end-September.
The company said it was track to achieve run-rate of 65,000 ounces of gold equivalent ounces per year and annualised earnings (EBITDA) run-rate of $20m by year end.
Construction at its Tulkubash mine continued and the first gold production was on track for late 2021, the company added.
'We are excited by the exploration work on our broader 24Km Tulkubash lease area, having completed the 20,000m drill programme recently with encouraging results,' the company said.