News

December 10, 2008

Etruscan’s Cash Flow Is About To Be Boosted Significantly, But It Still Needs A Buck Or Two To Tide It Over

By Alastair Ford

The latest announcement from Etruscan Resources is full of good news. The company poured 7,136 ounces of gold from its Youga project in Burkina Faso during the month of November, taking overall output for the fourth quarter to 21,165 ounces. Not a bad little runner in these troubled markets, and in the nick of time too, as these latest results show the project has just hit its stride and is now performing to design throughput. October’s output exceeded 7,000 ounces too.

That’s a nice affirmation of the faith of those investors who’ve stayed the course with Etruscan, waiting it out as the company took time out this year to re-jig the plant at Youga, just to make doubly sure that the ramp-up went without a hitch. That wait did cost some extra money, both in terms of covering the hedge programme, and in terms of the equity raise, but what’s more it also means that actually, in order to keep the rest of the business ticking over at current levels, the company...