PERTH (miningweekly.com) – While cost pressures impacted gold miner Regis Resources’ earnings in the half-year ended December, the miner reported an increase in gold sales and gold revenues.

Regis has reported that gold sales for the half-year ended December reached 227 000 oz, up from the 217 000 oz in the previous corresponding period, resulting in gold sales increasing from A$489-million to A$536-million in the same period.

However, earnings before interest, taxes, depreciation and amortisation declined from A$196-million to A$178-million in the same period, while statutory profits declined from A$26-million to a loss of A$30-million.

All-in sustaining costs during the first half of the 2023 financial year reached A$1 771/oz, which was up from the A$1 527/oz reported in the first half of the 2022 financial year.

The miner told shareholders on Thursday that profitability would improve in the second half of the 2023 financial year, with increased production expected at the Havana openpit mine, at the Tropicana gold mine, and from the Garden Well underground operation, at Duketon.

“Regis Resources delivered half-year results with another six months of positive operating cash flow despite the significant inflationary cost pressures. We are looking forward to improved profit and cash flows for the remainder of the financial year as the company’s substantial capital investment in both Tropicana’s Havana pit and Duketon’s Garden Well underground will deliver commercial production in the second half of 2023,” said MD Jim Beyer.

“Pleasingly, the McPhillamys project was referred to the New South Wales Independent Planning Commission for evaluation with public hearings having taken place in early February. Final determination is expected in the coming months.”

Regis has set a production target of between 450 000 oz and 500 000 oz for the full year and an all-in sustaining cost target of between A$1 525/oz and A$1 625/oz.