- Avocet Mining [LON:AVM] has drawn down another US$2.0m under the Elliott loan facility agreed with Manchester Securities Corp, an affiliate of the company's largest shareholder, Elliott Management Corporation.

The third Elliott loan facility for up to, in aggregate, US$2.4m, comprises three separate facilities:

· an initial facility of US$1.5 million which was drawn down on 24 April 2015

· a second facility of up to US$1.8 million to provide additional working capital of up to US$0.3 million to the Company in respect of finalising the Elliott Security and to repay the Initial Facility

· a third facility of, in aggregate, US$0.6 million comprising three tranches of US$0.2 million each, originally intended to be drawn down on or about the first business day of each of July, August and September 2015, at the sole discretion of the Elliott Lender at the time of each respective draw down request

The company announces today that it has drawn down the US$1.8 million second facility, of which US$1.5 million is to repay principal and accrued interest under the initial facility, and the remaining US$0.3 million is to finalise the Elliott security.

The company has also drawn down the first tranche of US$0.2 million under the third facility. The company expects to submit two further draw down requests under the third facility as required over the coming months.

With the funds already in hand, and assuming it is able to draw down the remaining US$0.4 million amount due under the third facility, the company expects to have sufficient funds to meet its corporate requirements through to the end of October 2015, allowing it to continue its business review, while exploring longer term funding options.

As part of the business review Avocet continues to consider options for maximising the value of its assets for the benefit of shareholders, including its Inata mine and the adjacent Souma deposit in Burkina Faso, and its Tri-K development project in Guinea.

* * *

Jubilee Platinum [LON:JLP] has noted the rise in its share price and confirmed is in advanced talks with a major financial institution to secure the debt element of the project financing required to bring its two surface platinum processing plants into operation.

The size of the debt funding is cZAR255 million (c£12.9 million) before financing costs.

Jubilee says that while the funding has received credit approval, in principle, from the targeted major financial institution there can be no guarantee that the debt financing will be successfully completed. A further update will be made as soon as practicable.

* * *

Ariana Resources [LON:AAU] expects Kiziltepe mine construction to start shortly and it is on track to deliver first gold pour in the second half of 2016.

Ariana has issued a progress update on the Kiziltepe sector of the Red Rabbit gold project in western Turkey which is being developed in partnership with Proccea Construction Co.


- Forestry permit payments have been made totalling US$0.96 million to the Department of Forestry.

- Turkiye Finans Katilim Bankasi A.S. has released the first tranche of funds to cover initial costs of project development.

- Land acquisitions continuing with majority of critical land now acquired.

- Final negotiations on major Turkish supplied plant components has commenced and long lead orders are being placed.

- Final mining contractor quotes received and contractor to be finalised shortly.

- Kiziltepe mine construction expected to commence shortly, on track to deliver first gold pour in H2 2016.

Ariana managing director Dr. Kerim Sener said: "Progress on the construction stage of the project has been continuing at pace and we are now close to the mobilisation of construction crews to site. Project funding through Turkiye Finans Katilim Bankasi AS has now been initiated and significant early expenditure, notably for the forestry permits, has now been completed. Critical freehold land for the project has largely been acquired and there are no access impediments to the mine development area for construction to commence.

"We look forward to providing further guidance on construction start-up and the project development timeline in due course as we progress towards our first gold pour in H2 2016."

* * *

Fresnillo's [LON:FRES] first half profits fell by 44.3% to $76.4m with significantly lower realised commodity prices (silver US$16.61 per oz, down 18.0%; gold US$1,206.10 per oz, down 7.4%) impacting financial performance.

Silver production totalled 23.8 moz (including Silverstream), up 10.6% due to increased production resulting from the start of operations at Saucito II, which offset lower production at Fresnillo.

Gold production totalled 364 koz, up 37.0% mainly due to Herradura being fully operational post the temporary explosives permit suspension which affected 1H14 production, and the dynamic leaching plant at the mine being in operation for the full half year post its start-up in March 2014, together with increased contributions from Saucito and Noche Buena

Other highlights:

· Basic and diluted EPS US$10.4 cents per share, down 41.2%

· Cash generation from operations remains significant at US$314.9m, down 6.5%

· Strong balance sheet maintained - cash, cash equivalents and short term investments of US$475.7m

· Interim dividend of US$15.5m (2.1 US cents per share) declared reflecting Board's confidence in the Company's financial position and outlook; no change to previously stated policy

· Stage 1 of the San Julián project now expected to be commissioned in 1Q16 (vs. previous expectation of 4Q15). Pyrites project remains on track for production to commence in 2017

· Capital expenditure for the full year 2015 now expected to be in the region of US$570m (vs. previous expectation of c. US$700m)

· Positive drill results at Ciénega and Juanicipio projects will result in an increase in inferred resources

· 2015 gold production guidance raised to 715-730 koz from 670-685 koz (+6.6%); full year silver production remains on track (45-47 moz, including Silverstream)

Chief executive Octavio Alvídrez said: "We have had a solid first half operationally, with silver and gold production up 11% and 37% respectively. Saucito drove the increase in silver production, with the ramp up of Saucito II achieved well ahead of the three year timeframe initially anticipated. The increase in gold production was driven by Herradura and its dynamic leaching plant being fully operational throughout the period.

"We continue to advance development rates at Fresnillo, which should result in increased production by the year end, and we remain on track to reach steady state production at Herradura in the fourth quarter. I am confident that we are well-placed to meet our 2015 production guidance of 45-47 million ounces of silver (including the Silverstream) and our increased 2015 gold production guidance of 715-730 thousand ounces.

"We have made good progress at our near-term development projects in the first half. Although we experienced some delays at San Julián, we are confident that stage 1 of the project will be commissioned early next year, and our Pyrites project remains on track to commence operations in 2017.

"Our advanced exploration projects are all progressing according to plan, with good exploration results achieved at Juanicipio and Centauro Deep, and a preliminary economic assessment underway for Orisyvo. "The pricing environment remains challenging, with ongoing precious metals price volatility. Our strategic objectives remain unchanged and we continue to take a long-term view, but we will also take into account the effect of market dynamics on our operating assumptions, if necessary deferring expenditures without compromising the profitable growth we continue to deliver, as evidenced by our reduced capital expenditure estimate for the full year 2015."

* * *

Griffin Mining's [LON:GFM] revenues rose to $35.2m in the six months to the end of June from $33.2m last time but operating profits fell to $6.4m (2014: $7.6m) and profit before tax dropped to $3.7m from $5.8m.

Throughput of 418,950 tonnes of ore in the six months to 30th June 2015 at Griffin's Caijiaying Mine was up 2.5% on that achieved of 408,671 tonnes in the six months to 30th June 2014. With effort directed to improving precious metal recoveries, metal in concentrate production in the period was: · 20,081 tonnes of zinc (2014: 19,147 tonnes);

· 962 tonnes of lead (2014: 609 tonnes);

· 193,098 ounces of silver (2014: 147,901 ounces); and

· 6,274 ounces of gold (2014: 5,999 ounces), a record high.

Metal in concentrate production in the six months to 30th June 2015 compared to that in the six months to 30th June 2014 benefited from better grades and better lead and gold recoveries. Zinc revenues before royalties and resource taxes in the six months to 30th June 2015 were $26,288,000 (2014 $24,860,000) having benefited from higher prices achieved whilst lead and precious metals revenues were $10,799,000 (2014: $10,222,000) with increased quantities sold albeit at lower prices. Cost of sales in the six months to 30th June 2015 was up on the same period in 2014 mainly as a result of increased processing costs with efforts directed at improving precious metal recovery rates. Net operating costs were up with increased regulatory, environmental and social security costs in China. Profits before tax were impacted by: Foreign exchange losses of $24,000 (2014: $26,000) arising from a weaker Renminbi offset by gains on Sterling deposits against the US dollar in the period; interest payable on Chinese bank loans of $2,480,000 (2014: $1,629,000); finance lease interest of $392,000 (2014: $411,000); interest receivable of $106,000 (2014: $126,000); and other income of $36,000 ( 2014: $62,000).

Chairman Mladen Ninkov said: "Operationally, the Company continues to achieve very good results in light of the current downturn in commodity prices with, period to period, increased zinc, lead, silver and gold production, including record gold output, better grades and good recoveries, all this without the imminent commissioning of the new 1.5 million tonnes per annum processing facilities.

"Nevertheless, the continuing severe weakness in commodity prices coupled with the fixed cost nature of mining production inevitably means any costs increases, such as the increased regulatory costs in the first half, impact the profitability of the Company.

"The company eagerly looks forward to any or all of the following occurring: The increased processing and production profile, the long awaited Mining Licence over new production areas and/or a rise in commodity prices."

At 3:41pm:

[LON:AAU] Ariana Resources PLC share price was +0.05p at 0.95p

[LON:AQP] Aquarius Platinum Ltd share price was +0.06p at 6.17p

[LON:AVM] Avocet Mining PLC share price was +0.26p at 3.66p

[LON:BEM] Beowulf Mining PLC share price was +0.05p at 1.75p

[LON:BKY] Berkeley Resources Ltd share price was 0p at 17.25p

[LON:CEY] Centamin PLC share price was -0.42p at 54.78p

[LON:CHL] Churchill Mining PLC share price was +1p at 34p

[LON:CZA] Coal of Africa Ltd share price was +0.12p at 4.32p

[LON:FDI] Firestone Diamonds PLC share price was 0p at 28.25p

[LON:FRES] Fresnillo PLC share price was +12.75p at 645.75p

[LON:GEMD] Gem Diamonds Ltd share price was +0.5p at 130.5p

[LON:GFM] Griffin Mining share price was -1p at 36.5p

[LON:HOC] Hochschild Mining PLC share price was -1.5p at 76.25p

[LON:JLP] Jubilee Platinum PLC share price was +0.31p at 4.93p

[LON:KMR] Kenmare Resources PLC share price was -0.17p at 3.23p

[LON:VED] Vedanta Resources PLC share price was +19.6p at 402p

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