Gold mining firm Cluff Gold has amicably settled the labour dispute at its Kalsaka mine in Burkina Faso.

The company has resumed normal operations at the mine and said that the temporary disruptions have not affected its annual production guidance of 70,000 ounces from Kalsaka in 2011.

Cluff Gold CEO Peter Spivey said in the current robust gold price environment, the operations at Kalsaka are an important source of finance for the company’s exploration activities in Burkina
Faso and Cote d’Ivoire, as well as providing sufficient cash resources to fund the feasibility study and along strike exploration programs at its Baomahun project in Sierra Leone.

The company’s wholly-owned Baomahun project is expected to contribute an additional 157,000oz of gold per annum.