Centamin Announces Preliminary Production Results from its Sukari Gold Mine in Egypt for the Second Quarter Ended June 30, 2014; Maintains Production Guidance for 2014
Jul 9 14
Centamin announced preliminary production results from its Sukari Gold Mine in Egypt for the second quarter ended June 30, 2014. Total gold production for the quarter was 81,281 ounces, a 9% increase on first quarter 2014 and 13% lower than the corresponding quarter in 2013. Stage 4 commissioning is on-going and the expanded plant is set to deliver a steady lift in throughput during the second half of the year and, with underground average grades also set to improve, gold production levels are expected to progressively increase in the third and fourth quarters. Open pit total material movement increased 1% on the previous quarter, to 9,861kt. Open pit ore production decreased by 23% on first quarter 2014 to 1,795kt. The run of mine ore stockpile balance decreased by 400kt to 1,141kt at the end of the period. Discussions continue with government departments in relation to increasing the daily usage of ammonium nitrate in order to increase open pit mining rates to the required level to feed the expanded plant. Centamin believes government approval is in its final stages. Record quarterly throughput at the process plant was 1,957kt, a 32% increase on first quarter 2014, reflecting the commencement of ore treatment through the new Stage 4 plant circuit. Commissioning activities have proceeded well and continue to support a ramp-up to the expanded 10 million tonne per annum nameplate capacity during the second half of the year.
Centamin therefore maintains its full year forecast of 420,000 ounces gold.
Government Approves Centamin and Egyptian Mineral Resources Authority Request to Expand Sukari Goldmine Expansion Activities
Jun 2 14
The interim government approved Centamin's request to expand their activities. This follows ongoing difficulties by the firm in executing expansion plans, which had been restricted by a court ruling, Centamin is planning to expand its activities through increasing its production capacity and the necessary energy levels for operation, which is independently generated through the company's power generators. The company announced in February that they are preparing a plant expansion project which is expected to produce 450-500,000 gold ounces per annum starting from 2015 to meet the firm's long-term production target. The company is awaiting government approval. Centamin also announced in February that the Sukari goldmine is expected to produce 420,000 gold ounces in 2014, representing an 18% year on year increase from 356,943 ounces. The Sukari mine is considered the first large-scale modern gold mine in Egypt and is located in the south-eastern region of the Eastern Desert. It is jointly owned by Centamin and the Egyptian Mineral Resources Authority on a 50:50 basis.
Centamin Plc Announces Unaudited Consolidated Earnings Results for the First Quarter Ended March 31, 2014; Reaffirms Production Guidance for the Year 2014
May 15 14
Centamin Plc announced unaudited consolidated earnings and production results for the first quarter ended March 31, 2014. For the quarter, revenue was $102,725,000, profit before tax was $20,593,000, profit for the year was $20,593,000 and total comprehensive income attributable to the owners of the company was $20,606,000 or $1.855 cents per diluted share against revenue of $138,177,000, profit before tax of $71,891,000, profit for the year of $71,891,000 and total comprehensive income attributable to the owners of the company of $68,804,000 or $6.591 per diluted share a year ago. Net cash flows generated by operating activities were $27,833,000 against $78,885,000 a year ago. For the quarter, before exceptional items, profit before tax was $35,016,000, profit for the year was $35,016,000 and total comprehensive income for the period, net of tax was $35,016,000 or $3.155 per diluted share against profit before tax of $84,358,000, profit for the year of $84,358,000 and total comprehensive income for the period, net of tax was $81,271,000 or $7.734 per diluted share a year ago. EBITDA was $34,265,000 against $81,728,000 a year ago, a 25% decrease on the previous quarter, mainly due to a 19% reduction in gold output. Adjusted EBITDA before exceptional items was $46,687,000 against $94,195,000 a year ago. The company's results over the past several quarters have been driven primarily by fluctuations in gold price and gold equivalent ounces produced. Additionally, increases in input costs and foreign exchange rates have impacted results.
The also reported that the production guidance for 2014 remains unchanged at 420,000 ounces at a cash cost of production of $700 per ounce.