https://www.engineeringnews.co.za

Caledonia’s Blanket mine delivers year-end production record

11th January 2017

By: Natasha Odendaal

Creamer Media Senior Deputy Editor

     

Font size: - +

JOHANNESBURG (miningweekly.com) – Dual-listed Caledonia Mining’s 49%-owned Blanket gold mine, in Zimbabwe, has delivered another record production quarter, ending the year to December 31, 2016, on an all-time production high.

During the fourth quarter of 2016, gold output increased 18% year-on-year and 1.2% quarter-on-quarter to 13 591 oz, taking full-year output to a record 50 351 oz, a 17.6% increase on the prior year and surpassing the previous year-end record of 45 530 oz set in 2013.

"2016 was a significant year for Caledonia as the continued investment at Blanket begins to bear fruit,” Caledonia CEO Steve Curtis said in an update to shareholders on Wednesday, attributing the shining performance to the start of production from below 750 m, improved underground infrastructure and the commissioning of the new ball mill.

Blanket is now aiming for a 20% output increase in 2017, targeting gold production of 60 000 oz at an estimated on-mine cost of between $600/oz and $630/oz and an all-in sustaining cost of between $810/oz and $850/oz.

Blanket remains on track to increase production to 80 000 oz/y of gold by 2021.

“As we increase production, we expect earnings will continue to benefit from the increased sales volumes and from a lower average cost an ounce, as fixed production costs and overheads are spread across higher production,” Curtis said.

Caledonia will publish its financial results for the year ended December 31, on March 21.

Edited by Creamer Media Reporter

Comments

Showroom

Booyco Electronics
Booyco Electronics

Booyco Electronics, South African pioneer of Proximity Detection Systems, offers safety solutions for underground and surface mining, quarrying,...

VISIT SHOWROOM 
Rio-Carb
Rio-Carb

Our Easy Access Chute concept was developed to reduce the risks related to liner maintenance. Currently, replacing wear liners require that...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.105 0.16s - 156pq - 2rq
Subscribe Now