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Simberi invests K102m

Staff Reporter | 4:50 PM | |
SIMBERI invested K102 million in oxide expansion and other capital project outlays during the last financial year, St Barbara executive general manager corporate services Ross Kennedy said. 
Kennedy, who spoke at recent seminar, said significant funds were invested to improve operating infrastructure.
He said oxide expansion and other capital projects were among them. 
In the overall, the investment included technologies to improve gold recovery, to return water to the plant that would previously have been discharged, to return more reagents to the circuit and to reduce emission levels to the environment and to improve power generation efficiency, Kennedy said. 
He said Simberi’s economic contribution in 2013 financial year included K3.8 million, which was 2.25% of gold revenue, royalty payment and Mineral Resources Authority levy. 
Kennedy said other economic contribution during the year included salaries of K26 million paid to workers from the Island and other nationals. 
At least K29 million was spent on fuel.
Kennedy said Simberi had also spent a substantial amount in maintaining its operation. 
Capital expenditure for the 2014 financial year was forecast between K40-50 million, he said. 
This would include the completion of oxide expansion project including  additional mining fleet, re-build of some existing mining fleet,  heavy vehicle maintenance facility and safety equipment. 
Meanwhile, Kennedy said the financial year 2014 exploration budget would amount to K14-18 million.
“In addition to financial investments, the company continues to invest in new systems, procedures, training and development for staff and in creating a safer workplace environment,” he said
“St Barbara is continuing to invest significantly, but not indefinitely, in Simberi to build a long term, profitable gold operation,” according to Kennedy. 
“Investors in St Barbara require a reasonable return on the significant investment that has already been made transparent, equitable and timely decisions. 
“Approvals by authorities and landowners are essential to maintain confidence and fundamentals to ongoing business- landowner-government relationships.
“We look forward to the next 12 months – engaging, listening and learning.”  The National