3rd May 2018 09:57
LONDON (Alliance News) - Centamin PLC said Thursday that increased gold sales and higher average realised gold prices led to a sharp jump in first quarter earnings.
The miner also said it continues to expect full-year gold production of 580,000 ounces at forecast cash cost of production of USD555 per ounce and all-in sustaining costs of USD770 per ounce.
"This [guidance] is supported by increased productivity rates, a revised mine plan providing accelerated access to the Stage 4A primary ore in 3Q 2018, and a lift in plant throughput in line with increased underground high-grade contribution combined with the second dump leach coming online in 3Q 2018. We forecast for a stronger production profile in the second half of 2018," Chief Executive Andrew Pardey said.
Gold production for the three months to end-March totalled 124,296 ounces, up from 109,187 ounces recorded in the year ago quarter. Sales grew 14% year-on-year to 131,045 ounces at an average realised price of USD1,328 per ounce, up 9%.
First-quarter pretax profit jumped to USD65.4 million from USD29.5 million in the year ago period, on a revenue of USD172.5 million and USD140.7 million, respectively.
Earnings before interest, taxes, depreciation and amortisation grew 71% to USD91.0 million from USD53.1 million.
Shares in the company were trading 0.3% lower at 154.90 pence.
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