25th Oct 2021 08:25
(Alliance News) - Petropavlovsk PLC on Monday said its performance in the third quarter of 2021 was hurt by lower output volumes from the third-party.
The gold mining company with operations in Russia said total gold production for the three months to the end of September amounted to 111,600 ounces, a 2.2% decrease on the prior year's 114,100 ounces, due to lower gold production from third-party concentrates.
Own-mined gold production during the quarter was 101,600 ounces, a 17% increase year-on-year, thanks to higher production across all of its mines.
Third-party concentrate gold production, however, declined 64% to 10,000 ounces in the third quarter due to maintenance at the Pokrovskiy pressure oxidation hub plant in September and lower volumes as processing capacity was switched to treat concentrate from the new Pioneer flotation plant.
Gold sales for the third quarter totalled 120,100 ounces, down 0.8% from 121,100 ounces a year ago. Average realised gold price for the quarter was USD1,780 per ounce, a decrease of 7.2% from last year.
For the first nine months of 2021, Petropavlovsk reported gold production of 306,600 ounces, down 29% from 434,600 ounces a year earlier due to the weaker first half of the year.
Going forward, the company affirmed its 2021 gold production guidance of 430,000 to 470,000 ounces, comprising own gold production of between 370,000 and 390,000 ounces and gold production from third-party concentrate of between 60,000 and 80,000 ounces.
FTSE 250-listed Petropavlovsk shares were trading 0.5% lower in London on Monday at 24.98 pence each.
By Evelina Grecenko; [email protected]
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