PERTH (miningweekly.com) – Gold miner Dacian Gold has warned of lower production during the March quarter, on the back of reduced underground equipment availability.
Dacian on Monday said that gold production for the three months to March is expected to reach between 36 000 oz and 38 000 oz, this was compared with the 37 934 oz produced in the December quarter.
Dacian told shareholders that all-in sustaining costs (AISC) for the March quarter are expected to reach between A$1 400/oz and A$1 500/oz.
The company noted that equipment availability issues have been resolved, with productivity returning to design levels at the start of the June quarter. The production target for the June quarter has been set at between 50 000 oz and 55 000 oz, with AISC of between A$1 050/oz and A$1 150/oz.
With the March quarter delivering below expectations, Dacian has also adjusted its full-year expectations for 2019 from between 180 000 oz and 210 000 oz, to between 150 000 oz and 160 000 oz.
“We are confident that the issues we faced in the March quarter have been resolved, and we are forecasting a strong June quarter with a corresponding excellent AISC profile which puts us on track to achieve our targeted annualised production rate of 200 000 oz,” said Dacian executive chairperson Rohan Williams.