PERTH (miningweekly.com) – Gold miner Resolute Mining is targeting 300 000 oz of production in the 2019 financial year, after 2018’s output exceeded expectations.
The miner told shareholders on Thursday that gold production in the 2018 financial year reached 284 127 oz, which exceeded the guidance of 280 000 oz, with the Syama operation, in Mali, delivering 194 142 oz in the full year, and the Ravenswood operation, in Queensland, producing 89 985 oz.
All-in sustaining costs for the full year were also better than the guidance of A$1 360/oz, reaching A$1 355/oz.
“We have demonstrated industry leading discipline in our efforts to transform our mines at Syama and Ravenswood for long life, lower cost futures. Resolute has continued to generate strong operational cash flow during a period of transition at both of our operating mines,” said Resolute MD and CEO John Welborn.
“The coming financial year will see us deliver on these ambitions at Syama and Ravenswood, and earn the right to focus on new production horizons which will generate exceptional returns for shareholders.”
The 2019 financial year is expected to be a transformational one for the company, with the Syama underground mine due to start sub-level caving in December, and would ramp up to 2.4-million tonnes a year over 2019.
The 2018 financial year was the last in which production at Syama was sourced from a combination of processing oxide and sulphide ore from satellite openpit mining, ore stockpiles and from the Syama underground development ore.
Going forward, the sulphide circuit will exclusively operate on higher grade sulphide material sourced from the new underground operation, while oxide production will be from the new Namakan satellite openpit, at the Tabakoroni project adjacent to Syama.
In 2019, Syama is expected to produce 230 000 oz of gold, of which 94 000 oz will come from the oxide operation and the remaining 136 000 oz from the sulphide operations.
At Ravenswood, 2019 production is expected to reach some 70 000 oz.
“Production expansions will lead to revenue growth and greater cash flows which in turn will flow to shareholders in increasing dividends and capital growth. We intend to continue to invest in exploration and the adoption of new technologies to increase efficiencies and drive improved operational performance,” Welborn said.