logo
Share SHARE
FONT-SIZE Plus   Neg

Petropavlovsk Q3 Gold Production Down; Cuts 2013 Gold Production View

Petropavlovsk Plc. (POG.L) said Tuesday that its third-quarter gold production was 204,400 ounce, down from last year's 219,400 ounce.

The Group's average realised gold sales price of $1,495/oz for third-quarter 2013 included a $157/oz benefit from hedging. This compared with a price of $1,683/oz in the same period in 2012, reflecting the fall in the global gold price.

Total gold production and sales for the first nine months of the year amounted to 499,100 ounce and 512,900 ounce respectively, slightly higher than the corresponding period in 2012.

Total cash costs for hard-rock mines are expected to be within but at the top end of the previous guidance of $900/oz-$1,000/oz, due to the processing of some high-grade material likely to be shifted to first-quarter of 2014, which was previously envisaged to be processed in 2013.

The company said its cost-cutting and cash conservation programme is on track. Since the beginning of the year central administration costs have been reduced by about20% compared with 2012. As a result of cost cutting and working capital optimisation, net debt fell by $70 million in third-quarter of 2013 to $1.08 billion as at 4 October and the Group remains on track to reduce net debt to $1 billion by year-end.

The company said that production is still affected in some areas due to flooding and this has prompted the Group to reduce its gold production guidance for 2013 to 740,000-750,000oz, a reduction of approximately 2-3% from the previous guidance.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
A California man has filed a lawsuit against McDonald's alleging that the fast food giant is defrauding customers by cramming its mozzarella sticks with filler instead of real cheese. Chris Howe is seeking at least $5 million in damages on behalf of consumers in 42 states and the District of Columbia. The... Jeep, the 4x4 vehicles, which has developed a strong bond with its masters, is aggressively on an expansion mode in its 75th anniversary year. Its fans have always been in love with the famous tag "Go Anywhere, Do Anything." Meat products maker Tyson Foods Inc. (TSN) reported a profit for the first-quarter that increased 49% from last year. It raised its profit outlook for fiscal year 2016 ,but it cut its annual sales guidance.
comments powered by Disqus
Follow RTT