Pan African Resources PLC (AIM:PAF, OTCQX:PAFRY, JSE:PAN, OTCQX:PAFRF) hit its revised 175,000oz target for annual gold production in the year to June just ended, adding output is rising again after the issues of the past 12 months.
South Africa has been plagued by power outages while Pan African had technical issues underground at its Barberton complex.
Production for the year totalled 175,209oz, comprising Barberton Mines: 64,586oz; Barberton Tailings Retreatment Plant (BTRP): 19,875oz; Elikhulu: 50,573oz and Evander Mines: 40,175oz.
Costs for the year reflected the challenges, coming in at between US$1,325/oz and US$1,350/oz (at an average exchange rate of US$/ZAR:17.77).
Pan African added it had seen a significant reduction in its net senior debt to US$18.9 million from US$49.9 million six months earlier.
For the current year, to end June 2024, the gold miner is guiding for production of between 178,000 and 190,000oz.
Cobus Loots, chief executive, commented: “Despite the previously flagged challenges experienced at our underground operations, the group delivered a robust financial performance for the reporting period.
“The continuous operations at our Barberton underground mines and other improvements are now positively impacting production, with increased production expected in the year ahead.”
Loots noted that safety had improved over the year after a series of campaigns to reduce the lost time injury frequency rate and reportable injury frequency rate, adding it remains an industry leader for its safety record.