PERTH (miningweekly.com) – Gold production from the Tucano project, in Brazil, was expected to improve by between 19% and 31% in 2016, compared with 2015 production, ASX-listed Beadell Resources said on Monday.
The company told shareholders that the Tucano mine was expected to produce between 145 000 oz and 160 000 oz in 2016, at an all-in sustaining cost of between $715/oz and $815/oz. This was a decrease of between 19% and 29% over the costs achieved in 2015.
In November last year, the Beadell board and management team underwent a reshuffle, resulting in the appointment of Simon Jackson as MD and CEO.
Jackson said on Monday that the new management team had started a number of initiatives that were expected to increase production, reduce costs and result in more consistent quarter-on-quarter production at Tucano.
“These initiatives will necessarily take time to fully implement and while we are pleased to be already seeing positive results, the full benefits are expected to be seen gradually over time.”
Jackson added that as the operations improved, it would increase cash flow, which would ultimately strengthen the balance sheet and, in turn, allow Beadell to increase discretionary expenditure in areas such as exploration.
“We all understand what needs to take place in the coming year, and we are thankful for the support of all shareholders in Beadell as we move towards achieving our goals.”