PERTH (miningweekly.com) – Gold miner Saracen Mineral Holdings has increased its full-year production expectations on the back of record gold production during the March quarter.
Gold production during the three months to March reached 98 886 oz, compared with 77 522 oz in the previous quarter, with the Carosue Dam operation delivering 44 329 oz and the Thunderbox mine delivering 54 557 oz.
“Record mine production from both our production centres, together with a stable cost profile, underpinned impressive key operational and financial metrics across the business,” said Saracen MD Raleigh Finlayson.
“We are particularly pleased to report a cash and equivalents position of over A$100-million for the first time, a really significant milestone for the company. Importantly, that was achieved after making a significant investment of almost A$12-million in growth capital and exploration for the quarter.”
During the quarter under review, Saracen sold 81 351 oz of gold, generating revenues of A$128.8-million, up from the A$118.9-million in revenue generated during the previous quarter from the sale of 74 320 oz.
With record quarterly production set, Saracen on Wednesday increased its full-year guidance from the previous estimate of 300 000 oz, to between 310 000 oz and 315 000 oz.
“The upgraded guidance of 310 000 oz to 315 000 oz for the full financial year adds significant momentum to our organic growth strategy, which is aimed at delivering further significant increases in production and mine life across both our core operational centres over the next few years,” Finlayson said.
“We articulated this growth strategy during the quarter, based on a seven-year plan to grow annualised production to 350 000 oz a year, as a base case, with upside to 400 000 oz.”