Sibanye sees positive outlook for 2016
JOHANNESBURG (miningweekly.com) – Dual-listed Sibanye Gold is expecting an even better performance in 2016, after 2015 closed with a solid quarter.
In an update to the market on Monday, the miner pointed out that, while gold production for the three months to December was only marginally higher than the preceding quarter, costs had improved significantly.
The company achieved output of 411 500 oz at a total cash cost (TCC) and all-in sustaining cost (AISC) of $720/oz and $907/oz respectively – a 14% quarter-on-quarter drop.
In rand terms, the TCC of R330 000/kg and AISC of R400 000/kg were each 5% lower quarter-on-quarter.
Full-year production of 1.54-million ounces was achieved at a TCC of $850/oz and AISC of $1 030/oz, in line with Sibanye’s revised guidance for 2015.
The average gold price for the year was $1 160/oz, resulting in a TCC margin of 28% and a AISC margin of 11%.
Gold production was forecast to increase to 1.61-million ounces in 2016, with the recent sharp depreciation of the rand likely to result in a TCC of $735/oz and AISC of $880/oz, assuming an average exchange rate of R15 to the dollar.
Sibanye was forecasting an all-in cost of $915/oz for the year on the back of its below ground infrastructure projects at the Kloof and Driefontein mines and the development of the Burnstone mine.
Should the weaker rand persist throughout 2016, Sibanye expected the TCC margin to increase to about 38% and the AISC margin to about 25%.
Comments
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
Education: Consulting with member companies to obtain the optimal benefits from their B-BBEE spending, skills resources as well as B-BBEE points
VISIT SHOWROOMDeveloped to exceed the latest EN 15964 standards for police breathalysers proving that it will remain accurate and reliable for many years to come.
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
