19th Jan 2022 12:54
(Alliance News) - Centamin PLC on Wednesday said its annual revenue fell on lower gold sales despite a strong fourth quarter.
The Jersey, England-based gold mining company said it delivered annual gold production totalling 415,370 ounces, in line with its outlook of 400,000 to 430,000 ounces. Output was down 8.2% from 452,320 ounces in 2020.
Gold sales decreased 13% to 407,252 ounces from 468,681 ounces the year prior.
This led to annual revenue amounting to USD733.3 million, down 12% from USD828.7 million generated the year before.
In the fourth quarter alone Centamin produced 107,549 ounces of gold, up 58% annually, and sold 99,936 ounces, up 26%.
As a result, fourth-quarter revenue totalled USD183 million, up 22% from revenue of USD150.3 million in the same period a year before.
Centamin also recorded full-year cash costs of USD859 per ounce produced and all-in sustaining costs of USD1,211 per ounce sold.
Cash costs came in at the midpoint of its USD800 to USD900 per ounce produced guidance. All-in sustaining costs were within the range of USD1,150 to USD1,250 per ounce.
Capital expenditure for the fourth quarter totalled USD86 million. For the whole of 2021, it totalled USD233 million, ahead of guidance of USD225 million, due to its "waste-stripping outperformance".
The gold miner's exploration spend was USD6 million in the fourth quarter and USD14 million for the year, USD3 million below the annual guidance.
Centamin noted no material impacts due to Covid-19 and stated that its supply chains and gold shipments have not been considerably impacted by the pandemic.
The miner left its 2022 gold guidance unchanged. It expects output between 430,000 and 460,000 ounces. At best, this would represent an 11% rise from 2021's production level.
It also expects increased cash costs of USD900 to USD1,000 per ounce produced and higher all-in sustaining costs of USD1,275 to USD1,425 per ounce sold.
The company also anticipates capital expenditure of USD215 million and exploration expenditure of USD25 million.
"The final quarter delivered what was a highly successful 2021, resulting in Centamin delivering annual gold production and costs at the midpoint of our guidance. 2021 has been characterised by solid delivery against our stated plans," Chief Executive Martin Horgan commented.
Centamin shares were down 0.7% at 90.74 pence each on Wednesday afternoon in London.
By Abby Amoakuh; [email protected]
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