Griffin Mining Faces Production Challenges in Q1 2025 After Contractor Fatality
Why we think this is bad
The RNS highlights significant operational challenges faced by Griffin Mining in the first quarter of 2025, including the impact of a fatality incident in late 2024 that caused a suspension of operations and disruptions from the Chinese Lunar New Year and Spring Festival holidays. These events have had a negative impact on the company's production and financial performance, and the RNS indicates that the company is still working to recover from these issues.
Key Points
- Fatality of a mining contractor's employee in October 2024 caused suspension of operations for most of Q4 2024
- First quarter 2025 production impacted by Chinese Lunar New Year and Spring Festival holidays
- Company expects to achieve annualized rate of 1.5 million tonnes of ore per annum in the remainder of 2025
- Increase in ore mined, ore processed, and higher ore grades since early March
Summary
Griffin Mining Limited announced its production results from the Caijiaying Zinc-Gold Mine for the three months ended 31 March 2025. The company's operations were significantly impacted by the fatality of a mining contractor's employee in October 2024, which caused the suspension of operations for most of the last quarter of 2024 before resuming on 1 January 2025. This event had a negative impact on the company's operations in late 2024 and early 2025. Additionally, first quarter production was further disrupted by the Chinese Lunar New Year and Spring Festival holidays. However, the company expects to achieve the equivalent annualized rate of 1.5 million tonnes of ore per annum in the remainder of 2025 as ore mined, ore processed, and ore grades have increased since early March.