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Doray profit falls in 2017

31st August 2017

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

     

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PERTH (miningweekly.com) – Gold miner Doray Minerals has swung into the red in the full year ended June, on the back of a noncash impairment charge of A$69.5-million on the carrying value of the company’s assets.

The miner on Thursday reported a net loss after tax of A$71.7-million, compared with a net profit of A$16.5-million for the 2016 financial year.

The company reported an impairment of A$24.2-million at the Andy Well gold mine, and a A$22.7-million impairment at the Deflector gold/copper mine during the first half of the year.

The Andy Well operation also reported a further A$3.4-million impairment in the second half of the year, while the Deflector mine reported an additional A$19.2-million impairment.

Meanwhile, revenue for the full year was up by 40% on 2016, to A$183-million, of which Andy Well contributed A$85.7-million and Deflector A$97.2-million, with total group production reaching 102 054 oz of gold and 4 599 t of copper.

Doray on Thursday also announced the life-of-mine plan for the Deflector operation, telling shareholders that the mine would produce some 264 243 oz of gold and 7 277 t of copper-in-concentrate over the next four years to 2021.

This targeted production did not include the 49 130 oz of gold and 4 599 t of copper produced in the 2017 financial year.

Doray noted that the life of the Deflector mine could be extended by the addition of further resources, including the Da Vinci prospect.

Edited by Creamer Media Reporter

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