Concord is amongst South Africa’s few remaining gold miners squeezing income from a few of the world’s oldest and deepest gold mines. It stated gold output is anticipated to have risen 6% to 1.56 million ounces within the yr via June 30, surpassing an earlier goal of 1.55 million ounces.
Nonetheless, Concord’s revenue was weighed down by a 2.8 billion rand ($157.51 million) writeoff of its Goal North venture in South Africa after latest research confirmed its mineral reserves are lower than earlier assumptions.
The Goal North venture could not be viable, Concord CEO Peter Steenkamp stated, including that extra research are nonetheless ongoing.
Additional funding within the venture positioned in South Africa’s Free State province can be weighed in opposition to Concord’s Eva Mine copper venture in Australia and the Wafi-Golpu gold-copper venture in Papua New Guinea, which it seeks to collectively develop with associate Newmont.
Concord is amongst South African gold producers which have shifted focus to elsewhere in Africa, Australia and the Americas and to different metals as digging for gold in a few of the world’s deepest mines turns into extra pricey and harmful.
The Australian and PNG copper initiatives are a part of Concord’s pivot in the direction of copper which is in demand to be used within the manufacturing of electrical autos and renewable power techniques, pushing its worth to file highs this yr.
($1 = 17.7326 rand)
(By Nelson Banya; Modifying by David Evans and Susan Fenton)