Centamin Q1 gold production exceeds forecasts; reiterates FY guidance

Centamin said first quarter production at its Sukari gold mine in Egypt exceeded expectations as it reiterated full year targets.

Sukari produced 116,183 ounces of gold in the first quarter, above forecast of 105,000 - 115,000 ounces. Centamin reiterated 2019 guidance, with gold production of 490,000 - 520,000 ounces, at cash costs of $675-$725 per ounce produced and all-in sustaining costs of $890 - $950 per ounce sold.

Centamin generated $13.9m group free cash flow, net of profit share payments to the Egyptian government and investing activities.

Chief executive Andrew Pardey said a stronger second half for the year was forecast, delivering approximately 55% of the annual production guidance during the period.

“This will be driven by increasing quarter on quarter open pit ounce contribution, as the grade profile improves with depth, and further optimisation of our underground operations,” he said.