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Be the first with the news that moves the market- SolGold plc (TSX:SOLG) have been forced to suspend work at its Ecuador-based operations
- The suspension was caused by The Ecuadorian Government’s new COVID-19 mitigation measures
- The suspension is for 14-days but could extend past that if case numbers in the country continue to rise
- However, the measures have not impacted the company’s offices, where staff continue to progress the Alpala prefeasibility study
- SolGold plc (SOLG) is up 9.09 per cent, with shares trading for C$0.24 and a market cap of $480.8 million
SolGold plc (TSX:SOLG) have been forced to suspend explorations operations after The Ecuadorian Government announced new COVID-19 measures.
The government has implemented a new policy that calls for the suspension of all non-essential businesses for the next fourteen days.
This has caused the company to reduce staff at its sites to a minimum and halt any on-site work currently underway. However, this has not impacted the company’s offices, where work continues.
The company continues to monitor its reduced staff for signs of infection and has implemented government recommended measures to limit transmission.
This follows a number of similar measures around the world to stem the spread of COVID-19 through the global population.
At the beginning of the week, case numbers in the country leapt to around 800, with 14 recorded deaths.
SolGold is currently the largest concession holder in Ecuador, with land holdings across the Andean Copper Belt.
CEO of SolGold, Nick Mather assured investors that progress will continue, despite the suspension.
”Where possible, the Company’s geologists, administration, technical and financial teams are working from home and will continue to progress SolGold’s projects using the extensive database.
“The Alpala prefeasibility study is continuing externally, using the available information which has already been substantially gathered from site,” he said.
The measures currently have a 14-day period. However, it is possible for the government to extend or tighten the restrictions if cases numbers continue to rise.
SolGold conceded that, with this in mind, the true length of the suspension is unknown.
SolGold plc (SOLG) is up 9.09 per cent, with shares trading for C$0.24 at 9:55am EST.
