Saracen continues ramp-up to 300 000 oz target

PERTH (miningweekly.com) – ASX-listed Saracen Mineral Holdings has reported record quarterly gold production of 66 222 oz during the three months to December, as it continued to ramp up production at its Thunderbox mine, in Western Australia.

During the quarter under review, the Thunderbox operation delivered 28 530 oz of gold, while the Carosue Dam operation, also in Western Australia, delivered an additional 37 692 oz.

First-half production reached a record 127 692 oz of gold, the company said in a trading update on Wednesday.

MD Raleigh Finlayson stated that the strong quarterly and half-year production results placed Saracen on track to double its production rate to 300 000 oz/y by the June quarter.

“Saracen’s strategy to double production and undertake aggressive exploration using internal cash flow is now paying strong dividends, cementing the company’s status as an Australian midtier gold producer.”

Finlayson expected Saracen’s free cash flow to be boosted in the coming quarters by the increase in production, as well as decreasing all-in sustaining costs, as the strip ratio at the Thunderbox mine continued to decline in concurrence with increased average grades.