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Death overshadows Saracen success - Finlayson

21st July 2020

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

     

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PERTH (miningweekly.com) – Gold miner Saracen Mineral Holdings has reported a strong production quarter, but said that the performance was overshadowed by the fatality at the Carosue Dam operation, in Western Australia.

“Saracen expresses its deepest condolences to the family, friends and colleagues of the late person. A full investigation by the Department of Mines, Industry Regulation and Safety is underway. Saracen is fully committed to establishing the events leading up to the accident,” MD Raleigh Finlayson said on Tuesday.

Operations at Carosue Dam were halted directly following the fatality, but have since been restarted.

Saracen on Tuesday reported that gold production in the June quarter reached 145 830 oz, which was down from the record quarterly production of 158 132 oz reported in the previous quarter, with all-in sustaining costs reported at A$1 152/oz, up from the A$1 133/oz in the previous quarter.

The Super Pit operation, in which Saracen holds a 50% interest, produced 53 400 oz during the quarter under review, down from the 58 600 oz delivered in the March quarter, while Carosue Dam contributed 50 300 oz of gold in the June quarter, up slightly from the 49 500 oz delivered in the March quarter.

Thunderbox production declined from 50 100 oz to 42 100 oz on the back of an extended shutdown in May of the processing mill.

Full-year production for the period ended June reached 520 414 oz, which was ahead of the guidance of 500 000 oz.

Gold sales for the quarter reached 148 011 oz, at an average price in the quarter of A$2 280/oz, generating revenues of A$338-million. Cash and bullion at the end of the quarter stood at A$369-million after a debt repayment of A$39-million.

Gold hedging at the end of the quarter stood at 493 200 oz, at an average delivery price of A$2 094/oz.

For the 2021 financial year, Saracen has set a production target of more than 600 000 oz.

Edited by Creamer Media Reporter

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