DRDGOLD releases trading update for H2 2022
JOHANNESBURG – DRDGOLD reports that its revenue increased by R155.8 million, or 6%, to R2,654.3 million (2021: R2,498.5 million).
Ergo Mining Proprietary Limited’s (‘Ergo’) revenue increased by R153.8 million to R1,958.5 million (2021: R1,804.7 million), mainly due to an 11% increase in the Rand gold price received as well as a 10% increase in yield to 0.203g/t from 0.184g/t to make up for the 2% decrease in gold sold to 2,040Kg (2021: 2,090Kg).
Volume throughput decreased by 14% mainly as a result of unprecedented load shedding, unscheduled electricity trip-outs at the Ergo plant related to the Eskom grid, and excessive rain.
Volume throughput was also impacted by late phase clean-up at Ergo sites where, as the last material is lifted from the floor of the reclamation site, volumes are typically lower and head grades slightly higher.
Far West Gold Recoveries’ (‘FWGR’) revenue remained stable at R695.8 million (2021: R693.8 million). The 11% increase in the Rand gold price received was offset by a 10% decrease in gold sold to 722Kg (2021: 801Kg). Volume throughput decreased by 3% mainly due to severe weather causing damage to the reclamation drawdown point at Driefontein 5, resulting in 4 days of lost tonnages.
Yield decreased by 0.012g/t, or 5%, to 0.245g/t from 0.257g/t in part attributable to the processing of a lower-grade part of the Driefontein No 5 dump and the suspension of milling to curtail load during periods of load shedding.
