Pan African reports lower gold production in FY23
South African gold miner Pan African Resources (AIM: PAF) announced Monday that its gold production for the financial year ended 30 June 2023 (FY23) was 175,209oz, down 15% from FY22 (205,688oz) and within the revised guidance range.
The company said the decrease in gold production was primarily due to slower than anticipated ramp-up of continuous operations at Barberton Mines, lower than expected production from Evander Mines’ underground operations, as well as challenges related to Eskom generated electricity supply.
Pan African Resources’ all-in sustaining cost (AISC) for the reporting period is expected to be between US$1,325/oz and US$1,350/oz.
According to a press release, the group’s net senior debt (comprising secured, interest-bearing debt, net of available cash) declined to US$18.9 million (December 2022: US$49.9 million).
The company also announced its FY24 production guidance of between 178,000 and 190,000oz.
Importantly, Pan African said the continuous operations at its Barberton underground mines and other improvements are now “positively impacting” production, with increased production expected in the year ahead.
Pan African Resources is a mid-tier African-focused gold producer that owns and operates a portfolio of South African operations with a production capacity of more than 200,000oz of gold per annum.
