TSX-listed Gran Colombia has increased its gold production guidance for 2018 by between 10 000 oz and 20 000 oz, following a strong performance in the first eight months of the year.
The company, which operates several underground mines at Segovia and Marmato, in Colombia, produced 36% more gold in the first eight months of this year, than in the same period of 2017.
Production for January to August amounted to 143 621 oz, the miner reported on Tuesday. The new production guidance for 2018 is a range of 210 000 oz to 220 000 oz, compared with a previous target of 200 000 oz.
“We are continuing to see strong performance from our company mines at Segovia this year with head grades averaging close to 20 g/t through the first eight months of the year,” said executive co-chairperson Serafino Iacono.
At the Segovia operations, gold production in August amounted to 16 393 oz, bringing the total for the first eight months of 2018 to 127 101 oz, up 43% compared to the first eight months of 2017, which included the adverse impact of the civil disruption on operations in August last year. This brings Segovia’s trailing 12-months’ total gold production as of August 2018 to 187 108 oz, up 26% from 2017.
Operating activities remained steady in August and Gran Colombia expects the Segovia operations to produce between 185 000 oz and 195 000 oz, above the top end of the company’s initial 2018 gold production guidance of 167 000 oz.
With the third consecutive month of better head grades, averaging close to 3.0 g/t, and processing an average of 924 t/d in the month, gold production at the Marmato mine increased to 2 353 oz in August, bringing the total for the first eight months of 2018 to 16 520 oz, on par with the first eight months of 2017. This brings Marmato’s trailing 12-months’ total gold production as of August 2018 to 24 875 oz.
The gold production guidance for Marmato for 2018 remains unchanged at between 24 000 oz and 26 000 oz.