PERTH (miningweekly.com) – Gold miner Resolute Mining has reported a fifth consecutive quarter of production increases in the three months to December, with production reaching 91 777 oz of gold, up from the 90 387 oz poured in the September quarter.

Gold recoveries were up by 4% on the previous quarter, from 84 886 oz to 88 503 oz.

Resolute told shareholders on Tuesday that the improved performance benefitted from a 29% increase in Syama oxide production, the highest quarterly production for the year, with marginally lower gold production from the Syama sulphide and the Mako operations, in Mali and Senegal respectively.

For the 2022 full year, gold pour was 2% above the guidance of 345 000 oz, at 353 069 oz, while all-in sustaining cost (AISC) for the year reached $1 498/oz, higher than the guidance of $1 425/oz, reflecting the persistent impact of inflation on fuel, reagents and consumables across both the mining and milling operations.

The Syama sulphide operation contributed 161 478 oz of gold during the full year ended December, with the oxide operation contributing a further 62 165 oz. The Mako mine, in Senegal, contributed 129 425 oz during the full year.

Resolute reported that the average realised gold price achieved for the December quarter was $1 817/oz compared to the average spot price of $1 726/oz, representing approximately $8.4-million additional revenue.

Resolute also received $20-million during the quarter under review from its Bibiani operation, including the third and final tranche for the sale of the Bibiani gold mine from Asante Gold Corporation.

Under the agreement with Asante, an additional $2.7-million in respect of an environmental bond plus interest on deferred consideration was due in November 2022. Asante failed to make this payment and Resolute has now started legal proceedings to recover this amount.

Looking ahead at 2023, Resolute is forecasting a total production of 350 000 oz at an AISC of $1 480/oz, with the Syama sulphide operation expected to contribute 160 000 oz, the Syama oxide operation to contribute 73 000 oz and the Mako operation to contribute 117 000 oz.

Production from Mako will be lower than the 129 425 oz achieved in 2022 at only 117 000 oz, owing to a focus on completing the lower grade Stage 6 allowing for in-pit dumping of waste in 2024. This will subsequently allow access to higher grade ore and lower stripping ratios, enabling higher production, in 2024 and 2025, along with expected lower costs.