The third-quarter was an “impressive” one for New Gold, the Canadian miner’s CEO, Patrick Godin, said on Wednesday, announcing higher gold-equivalent production and a meaningful decrease in all-in sustaining costs (AISC).
The miner produced 111 204 gold-equivalent ounces (GEOs) at an AISC of $ 1 477/GEO in the September quarter. This was the highest quarterly production since 2021 and a 22% increase over the prior-year period.
New Gold reported a “standout” quarter from the New Afton mine, which exceeded planned copper and gold production as higher tonnes were processed.
Rainy River continued to deliver stable production quarter-on-quarter.
Owing to the strong operational performance in the first nine months of the year, New Gold said it was tracking to the top end of its 2023 production guidance of 365 000 GEOs to 425 000 GEOs and to the low end of the AISC guidance of $1 505/GEO to $1 605/GEO.
Meanwhile, Godin said New Gold was entering a growth period and that the third quarter had seen big strides towards derisking and securing the future of its mines.
“I want to re-emphasise the two key milestones achieved at New Afton with the completion of the first draw bell at C-Zone and the final commissioning of all 29 dewatering wells at the NATSF. This is a pivotal moment for the New Afton mine with production growth and declining costs expected in the near term, and all major capital expenditures for the tailings stabilisation completed. Rainy River continued to advance the connection ramp towards the underground Main Zone from Intrepid, allowing us to continue to take advantage of a number of efficiencies both underground and in the openpit," he added.