CNMC Goldmine is expanding the capacity of its main gold production plant in Kelantan, Malaysia by 60% as it aims to further ramp up output and profitability.
The gold producer will spend up to RM9 million ($2.68 million) to increase the processing capacity of its carbon-in-leach (CIL) plant at its flagship Sokor mine to 800 tonnes of ore per day from the current 500 tonnes.
The expansion will be funded using internal resources and is expected to be completed by the first half of next year.
CNMC had over US$14.7 million in cash and no bank loans as at June 30.
The company is also currently building another underground gold mining facility at Sokor which is expected to be completed by early next year. When completed, this mining facility will enable it to extract more higher-grade gold ores at greater depth for processing at the CIL plant.
Shares in CNMC closed 0.5 cents higher or 2.1% up on Aug 19 at 24 cents.
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