Caledonia Mining produced 14 952 oz of gold at its 49%-owned Blanket mine, in Zimbabwe, during the quarter ended December 31, 7% higher than the third quarter.
This brought production for the full year to 54 512 oz, in line with the guided 54 000 oz to 56 000 oz.
Caledonia expects its output for this year to be between 53 000 oz and 56 000 oz.
The company remains on track to achieve production of about 80 000 oz/y of gold from 2021, following completion of the central shaft.
The central shaft is currently at a depth of 1 150 m and will be sunk to a depth of 1 204 m.
It is anticipated that shaft sinking will be completed towards the middle of this year, after which the shaft will be equipped and commissioned.
Meanwhile, Caledonia has entered into gold price hedging contracts for the five months from February to June for 22 500 oz of production through the purchase of put options with a strike price of $1 250/oz.
The hedge will ensure that the miner receives a minimum price of $1 250/oz of gold for the duration of the contracts, while maintaining full upside participation.