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Gold & silver

Medusa Mining ups production guidance

Despite some scheduled infrastructure work on the service shaft, Medusa has raised production guidance for the next financial year at its flagship gold mine in the Philippines.

Medusa Mining (ASX:MML) has upped production guidance for the year to end-June 2016 at its flagship Co-O gold mine in the Philippines.

The company said it expects production will fall somewhere between 120,000 and 130,000 ounces of gold in fiscal 2015/16, while production for fiscal 2016/17 is expected to rise to 135,000 – 145,000 ounces.

Guidance for the year to June 2016 has been raised despite some infrastructure projects scheduled to coincide with the installation of the service shaft.

“It is pleasing to see an anticipated increase in production guidance by 20 to 30% for the forthcoming financial year, despite the fact that production will be affected by the underground activities associated with the installation of the service shaft,” said Medusa’s chief executive, Geoff Davis.

The company said cash costs for the financial year about to start are estimated at US$380 to US$430 an ounce, while the all-in sustaining cost is tipped to be somewhere in the range of US$960 to US$1,060 an ounce.

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