Galiano Gold (TSX: GAU) is reporting that operations at their Esaase deposit, part of the Asanko Gold Mine in Ghana, have been temporarily suspended as a result of an incident that occurred on site.
The suspension follows an incident on site that resulted in a fatality on site and damage to contractor equipment after a confrontation occurred between community members and military personnel on Galiano’s concessions, the latter of which provides security for the company. Tensions reportedly have escalated within the local community, leading to the incident occurring.
It is unclear what led to the community unrest.
An investigation into the matter is said to be ongoing, with operations at the deposit halted in the interim. No timeline has been provided for the resumption of operations.
Operations at the Abore deposit and processing plant are not said to be impacted.
The Asanko Gold Mine in Ghana is a long-life asset that is Galiano’s sole source of production. The mine this year is forecast to produce 130,000 to 150,000 ounces of gold at an AISC between $1,750 and $1,950 an ounce.
Galiano Gold last traded at $3.55 on the TSX.
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