Bermuda-based gold producer Osborne and Chappel Goldfields (TSE) has earned a small profit from its 50% owned Los Lilenes bucket- dredging project in Ecuador. Osborne and Chappel reported a profit of US$207,461 for the six months ended June 30, compared with a loss of US$426,012 or 6 cents per share during the same period last year. First-half revenues increased to US$331,624 from US$55,172 in the equivalent 1989 period.
Due to extensive delays caused by repeated mechanical failure of an excavator and problems in handling large boulders, only 238 oz. gold were extracted from Los Lilenes’ Biron deposit during the three months ended June 30.
Osborne and Chappel said modifications to operating equipment and procedures, combined with improved availability of spare parts for the excavator, should increase gold output in the next quarter.
In addition, alternative mining methods are being examined with the object of increasing both plant availability and the rate of throughput, through more effective handling and screening of large boulders prior to processing. Osborne and Chappel Goldfields (TSE)* 6 months ended June 30 1990 1989 Revenue $332 $55 Net earnings (loss) 207 (426)
Per share 0.03 (0.06) *US dollars
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