Northern Star misses target

PERTH (miningweekly.com) – Gold miner Northern Star Resources is on track to meet its full-year production guidance, despite missing its September quarter production target by 7 000 oz.

During the three months to September, Northern Star produced 110 000 oz of gold, with the miner telling shareholders on Friday that the lower production was the result of a 10% reduction in mill throughput at the Jundee operation, in Western Australia.

The September quarter production also compared with the 130 020 oz produced in the previous quarter.

During the quarter under review, the Jundee operation delivered 51 337 oz of gold, while the Kalgoorlie gold operations delivered 47 235 oz and the Paulsens gold mine delivered 15 722 oz. The Plutonic gold mine, which has been sold for A$66-million effective from the start of October, produced 20 211 oz of gold during the quarter under review.

For the full year, Northern Star is aiming to produce between 485 000 oz and 515 000 oz, with the miner budgeting production of 241 000 oz for the current half-year, with a significant increase in second-half production.

Meanwhile, MD Bill Beament pointed out that the company’s exploration strategy had delivered a 33% increase in reserves during the quarter, which was estimated at two-million ounces, after mining 611 000 oz in 2016.

“We are finding more gold and developing additional sources of ore at an impressive rate.

“These results continue to underpin our confidence in our organic growth strategy, which, in turn, will ensure we continue to generate some of the highest financial and shareholder returns on the ASX,” Beament said.