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Challenger output drives Kingsgate quarter

Challenger output drives Kingsgate quarter

Photo by Bloomberg

22nd January 2014

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – Gold miner Kingsgate Consolidated has reported a 7% quarter-on-quarter increase in gold production in the three months ended December.

Gold production for the quarter rose to 54 539 oz, with the Challenger mine, in South Australia, producing 20 318 oz, up 10% on the previous quarter, as the mine continued to benefit from its restructuring plans.

The Chatree mine, in Thailand, continued its strong performance, with gold production during the three months under review reaching 34 221 oz, a 6% increase on the September quarter, on the back of higher grades.

Meanwhile, cash costs for the period was also down to A$918/oz, compared with the A$1 044/oz reported in the previous quarter, with Kingsgate saying the results reflected the continued focus on operating efficiencies and cost reduction initiatives.

Gold sales for the quarter reached 52 813 oz at an average gold price of $1 285/oz.

The miner said on Wednesday that it was on track to meet its 2014 production guidance of between 190 000 oz and 210 000 oz, of which between 120 000 oz and 130 000 oz would be sourced from Chatree, and the remainder from Challenger.

Edited by Creamer Media Reporter

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