PERTH (miningweekly.com) – Gold miner Northern Star Mining on Thursday said it was on track to meet its production expectations of between 1.55-million and 1.65-million ounces of gold for the 2022 financial year, following a strong December quarter.
Gold sales in the December quarter reached 392 655 oz, at an all-in sustaining cost (AISC) of A$1 631/oz, compared with the 386 160 oz delivered in the September quarter, at an AISC of A$1 594 oz.
Gold production from the Kalgoorlie operation reached 244 915 oz during the quarter under review, up from the 232 324 oz delivered in the September quarter, while the Yandal operation contributed 102 163 oz during the three months to December, down slightly from the 109 844 oz produced in the September quarter.
The Pogo operation, in Alaska, produced 45 577 oz during the quarter, up from the 43 992 oz produced in the September quarter. Resolute noted that production at Pogo had been below expectations, but noted that mining rates were expected to increase in the second half of the financial year.
“We made further positive progress during the quarter to improve the safety performance across our three production centres, including the physical and mental well-being of our people particularly in this Covid-19 environment,” said MD Stuart Tonkin.
“Kalgoorlie and Yandal continue to perform in line with our expectations. Pogo made solid progress with development crews achieving 1 500 m during December and the mill operating at 1.2-million tonnes a year. This provides confidence in Pogo’s ability to deliver ounces in the second half and beyond.
“During the quarter we safely advanced our growth strategy towards becoming a two-million-ounce-a-year producer and entered into a convertible funding agreement with Osisko Mining that we believe has the potential to deliver significant value for shareholders.
“We remain on track to meet our 2022 guidance, which incorporates the current Western Australian border closure and associated labour and cost impacts. Our experience at Pogo in Alaska has provided examples of the disruption we may face in Western Australia and the mitigating actions required to reduce operational impact.”