GOLD AND SILVER

Aurora not fazed by Venezuela earthquake

Guyana-focused gold miner Guyana Goldfields (TSX:GUY) reported Wednesday a strong earthquake in neighbouring Venezuela did no damage to its flagship Aurora mine.

 Guyana Goldfields' Aurora mine suffered no damage from a strong earthquake in neighouring Venezuela.jpg

Guyana Goldfields' Aurora mine suffered no damage from a strong earthquake in neighouring Venezuela.jpg

A 7.3 magnitude tremor struck the eastern coast of Venezuela Tuesday at about 5:30pm local time.

The C$628 million company reported no damage to any facilities and normal operations continued throughout the day and night.

The quake was the largest to strike Venezuela since 1900, according to the US Geological Survey. However, news agency Associated Press reported little regional damage to infrastructure and buildings, since the epicentre was located about 123km below surface, near the sparsely populated Cariaco peninsula, stretching into the eastern Caribbean.

Guyana Goldfields' TSX-quoted equity took a dip in July, following the company adjusting its full-year guidance lower to 175,000-185,000oz of gold, from 190,000-210,000oz previously, at higher all-in sustaining cost to US$945-$995/oz, up from $830-$880/oz guided previously.

The miner cited the late arrival of its expanded haulage fleet to site and the later-than-planned mobilisation of the mining contractor as reasons why second-quarter mining fell behind by about 2.5 million tonnes, or about 500,000t of high-grade ore, causing it to feed the mill with low-grade stockpiled ore.

The stock is down 25% since the start of the year, trading near its 12-month low of C$3.50, at C$3.60 a share on Wednesday - far removed from its year-high of C$5.42 a share.

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