Pan African recorded a gold price of $1,961 per ounce (oz) in the half-year ended December 31, 2023, an increase of 13.7% compared to $1,725/oz a year earlier.
It could not reveal what pushed the prices higher.
The miner said its gold production rose 6.7% to 98,458oz from the previous year’s 92,307oz.
It also said production costs were well managed despite inflationary pressures, with group all-in-sustaining costs (AISC) expected to be about $1,300/oz, below the fiscal year 2024 guidance of $1,350/oz.
The AISC reduction resulted from cost control, improved gold production, as well as the weaker US$/ZAR exchange rate that prevailed during the reporting period.
Pan African said production guidance for the full 2024 year was maintained at between 180,000oz and 190,000oz from 175,209oz in fiscal year 2023.
“However, given the excellent production performance in the reporting period, revised guidance may be considered in due course,” it said.
“Production for FY2025 is expected to be significantly higher, following the commissioning of the MTR project, which will add approximately 50,000 oz/yr to group production, increasing annual output by some 25%.”
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished