Aim-listed Shanta Gold has revised its production guidance for the full-year to about 80 000 oz of gold, compared with the previously targeted 82 000 oz to 88 000 oz, as a result of lower-than-expected mine grades, which have impacted on production and increased the per unit cost.
The gold miner, which operates the New Luika Gold Mine (NLGM), in Tanzania, on Thursday reported production of 19 723 oz for the third quarter of the year, which is lower than the 20 544 oz produced in the second quarter.
Gold sales for the quarter were, however, marginally higher quarter-on-quarter at 19 737 oz.
Cash operating costs increased to $553/oz, compared with $505/oz in the second quarter, while all-in sustaining costs increased to $769/oz, compared with $748/oz in the second quarter.
Meanwhile, the company invested $5.3-million in capital expenditure (capex), including $1.6-million that was spent on development of the Ilunga underground mine at NLGM. A further $7.1-million in capex will be spent on the Ilunga underground mine development over the next three quarters.