JOHANNESBURG (miningweekly.com) – Gold mining company Randgold Resources, which reported 58% higher profits in the three months to the end of September than in the same period last year, has set its sights on developing three new gold projects in the next five years.

The company, headed by CEO Dr Mark Bristow, reported profit of $77.3-million, up 32% on the previous quarter, and 35%-higher quarter-on-quarter earnings a share, which were 56% up on the corresponding quarter of 2015.

Third-quarter production of 301 163 oz was 7% higher than second-quarter production and the cash cost of every ounce of gold produced fell by 9%.

Third-quarter net cash generated from operations was 18% up quarter-on-quarter and cash on hand surged 32% to $361.1-million.

The London-listed Loulo-Gounkoto gold-mining complex in Mali is expected to beat 2016 production guidance and the Morila mine is transitioning to a full tailings retreatment operation.

The company’s Tongon gold mine in Côte d'Ivoire produced 41% more gold quarter-on-quarter and reduced costs by 21%.

The Kibali mine in the Democratic Republic of Congo produced 23% more gold in the third quarter than in the second quarter and cut 9% off its costs.

With no lost-time injuries (LTIs), the group’s LTI frequency rate has improved to 0.36 for the year.

Exploration teams are back in the field pursuing a portfolio of targets and the company’s strategy of securing three projects in the next five years, its three-in-five ambition, could be realised from the company’s own exploration portfolio or from new business initiatives. 

Current priorities are to fast-track the development of the Boundiali structures of Côte d'Ivoire with the aim of making a world-class discovery, establishing whether Massawa or Gbongogo could replace Tongon, defining mineable satellites around Tongon while replacing depletion at the other mines, and continuing to drive programmes to feed the company’s resource portfolio.
            
Forecast cash flows generated from operations are expected to support funding for the three new projects as well as increased dividends.