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Sibanye operating profit steady on 6% lower gold output

Sibanye Gold's Driefontein gold mine

Sibanye Gold's Driefontein gold mine

Photo by Duane Daws

25th February 2016

By: Martin Creamer

Creamer Media Editor

  

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JOHANNESBURG (miningweekly.com) – The operating profit of Sibanye Gold was maintained at R4-billion in the six months to December 31, when gold production was 6% lower than for the six months ended December 31, 2014, at 822 100 oz or 25 571 kg.

The JSE-listed company’s all-in sustaining cost (AISC) margin increased to 16% from 13% on net debt of R1.4-billion, which was down on the R1.7-billion of June.

An all-time-low fatal injury frequency rate of 0.06 for every million person hours for the year was recorded.

Gold reserves increased by 9% to 31-million ounces.

AISC of $941/oz or R411 795/kg were achieved on total cash costs (TCC) of $775/oz or R339 017/kg.

The 411 500 oz or 12.799 kg of gold produced in the three months to December 31 was up on the September 2015 quarter.

During the December quarter TCC fell 6% to $720/oz or R329 166/kg and AISC decreased by 4% to $882/oz or R402 797/kg, resulting in a TCC and an AISC margin of 35% and 20% respectively.

The mines were largely unaffected by labour unrest or safety stoppages during the December 2015 quarter.

Edited by Creamer Media Reporter

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