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Northern Star sees cash flows soar

Northern Star sees cash flows soar

Photo by Bloomberg

9th July 2015

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – Record gold production during the June quarter has resulted in ASX-listed Northern Star Resources reporting a record A$183-million in free cash-flows for the full-year ended June.

During the three months to June, Northern Star sold 152 447 oz, taking full-year gold sales to 580 784 oz, well within the guidance of between 550 000 oz and 600 000 oz.

“Our production performance, throughout the year, was outstanding and our costs were tightly controlled. In these areas, we have met our market guidance comfortably,” said MD Bill Beament.

“But the real test of any mining company’s performance is what happens to its bank account and that of its shareholders. We have excelled in those areas, as shown by the significant increase in our cash position, the elimination of our bank debt and the payment of A$26.5-million in fully-franked dividends.”

Northern Star also spent some A$15.9-million on its drilling and exploration programme in the June quarter, taking its full-year exploration spend to A$50-million.

Beament said that the exploration programme was generating strong results, which would likely lead to further increases in the company’s gold inventory and mine lives.

Edited by Creamer Media Reporter

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