TSX-listed Teranga Gold has exceeded the top end of its full-year production guidance range, producing 404 460 oz for the year ended December 31, 2020.
This marked the fifth consecutive year that the company, which is merging with Endeavour Mining, attained record yearly gold production and exceeded production guidance.
Teranga produced a record 119 364 oz of gold in the fourth quarter last year, boosting production for the full year to 404 460 oz, which was a year-on-year increase of more than 40%.
The Africa-focused miner in mid-2020 revised its guidance to between 375 000 oz and 400 000 oz, from an original 345 000 oz to 355 000 oz target.
Both the company’s operating mines, Sabodala-Massawa and Wahgnion, in Senegal and Burkina Faso respectively, exceeded their respective production guidance ranges.
“The successful integration of the high-grade Massawa gold project with our flagship Sabodala mine, combined with the first full year of operations at Wahgnion, resulted in record production for the quarter and year,” said CEO Paul Chawrun.
He added that Teranga had achieved its vision of becoming a low-cost midtier gold producer, with two strong operations and a highly prospective organic growth pipeline.
At December 31, after paying down $28-million of debt during the fourth quarter, the company had a cash balance of $75.1-million, which was $17.8-million higher than the consolidated cash balance as at September 30, 2020.
Chawrun further mentioned that Teranga’s merger with Endeavour Mining would be a natural next step to allow shareholders to benefit.