Australian gold mining company Ramelius Resources Limited has achieved an annual production record of 293,033 ounces. For the 2023-2024 fiscal year, which ended June 30, the company reported that gold production "is at the upper end of upgraded guidance of 285,000 - 295,000 ounces and well in excess of the original guidance of 250,000 - 275,000 ounces published in July 2023".
Given the strong performance, the company expects its full year all-in sustaining costs to be at the lower end of the updated range of A$1,550 ($1,045) per ounce to A$1,650 ($1,112) per ounce.
In the fourth quarter of 2023, Ramelius generated underlying free cash flow of A$137.3 million ($116.8 million) by investing A$87.7 million ($59.13 million) in Spartan Resources and paying A$10.1 million ($6.8 million) for the Musgrave Minerals acquisition stamp duty. Thus, by the beginning of the new financial year, “the company came out with cash and gold of A$446.6 million ($299.7 million)”, having increased this figure by A$39.5 million ($26.6 million) over the last quarter.
At the end of June, Ramelius made a second purchase of shares in Spartan Resources worth A$92 million ($62 million) and now owns a 17.9% stake in its rival, which is developing the Dalgaranga gold deposit in Western Australia. At the same time, the Australian gold producer, which has market capitalization of 2.2 billion Australian dollars ($1.5 billion), ruled out any possibility of an immediate takeover of Spartan.
Ramelius owns and operates two gold production and processing hubs at Mt Magnet and Edna May. It also mines and hauls ore from satellite operations at Penny, Marda & Symes Gold mines, and is currently developing its Rebecca/Roe and Cue Gold projects.
Hélène Tarin, Editor-in-Chief of the Asian Bureau, Rough&Polished
