JSE- and Aim-listed Pan African Resources’ production for the six months ended December 31, 2018, increased by 54.2% year-on-year to 81 014 oz on the back of a robust operational performance at the Barberton complex and from its newly commissioned tailings retreatment plant.
Gold production from the Barberton complex, in Mpumalanga, increased by 24.5% year-on-year to 50 556 oz.
This comprised 38 550 oz from the underground mining operations and 12 006 oz from the Barberton tailings retreatment plant.
The complex remains on track to achieve its output guidance of about 100 000 oz for the full year.
Further, Pan African’s Evander mines’ surface operations, in Mpumalanga, and the mining and vamping of the remnant high-grade stopes produced 15 166 oz in the six months under review and positively contributed to the group’s earnings before interest, taxes, depreciation and amortisation during the reporting period.
A feasibility study, at Evander, into the merits of mining the 8 Shaft pillar and high-grade areas in proximity to the pillar will be completed by the end of February, after which a decision will be made on whether to start mining in these areas.
The Elikhulu tailings retreatment plant, situated in Evander, Mpumalanga, contributed 15 292 oz for its first operational period.
Elikhulu processed 3.5-million tonnes in the four months from September to December at a recovered grade of 0.135 g/t with 15 291 oz of gold sold.
Optimisation of the enlarged Elikhulu is continuing, with throughput of 1.1-million tonnes expected this month and the full 1.2-million-tonnes design throughput expected from February.
“The improved production performance, the curtailment of large-scale underground mining operations at Evander Mines and the contribution of incremental low-cost ounces from Elikhulu has resulted in a marked reduction in the group’s all-in sustaining cost of production,” CEO Cobus Loots said in a statement published on Friday.
Pan African remains on track to produce 170 000 oz for the full year to June 30.