20th Jan 2014 08:41
LONDON (Alliance News) - Shanta Gold Ltd Monday said its full-year gold production was marginally ahead of guidance after a 3.6% increase in the fourth quarter.
The East Africa-focused gold production and exploration company said it achieved 64,054 ounces of gold production for the twelve months ended December 31 2013, slightly ahead of its guidance of 63,000 ounces.
Shanta Gold said its full-year gold sales volumes were 61,877 ounces at an average price of USD1,409 per ounce, and its fourth quarter gold sales volumes were 18,800 ounces at an average price of USD1,320 per ounce.
The company said its fourth-quarter gold production increased 3.6% on the previous quarter to 19,581 ounces, adding that continued improvements at the New Luika Gold Mine in Tanzania will improve production rates significantly from the third quarter 2014.
Shanta Gold set its full-year 2014 production guidance at 80,000 ounces of gold.
The company also said its all-in sustaining cost guidance for the full year 2014 is between USD900 and USD1000 per ounce, reflecting the impact of cost-saving initiatives by the company and expected increased production volumes at the end of 2014.
Shanta Gold said it has achieved forward sales for six months until June 30 of 19,500 ounces at an average price of 1,331 per ounce of gold.
The news comes as the company announced last week an increase in its indicated mineral resources for the Bauhinia Creek and Luika targets at its New Luika Gold Mine to 692,000 ounces with an average grade of 5.5 grams per tonne of gold.
Shanta Gold shares were up 2.3% to 12.40 pence Monday morning. The shares touched 12.99 pence at the open.
By Tom McIvor; [email protected]; @TomMcIvor1
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