Shanta Gold Limited (LON:SHG) is on track to produce between 80,000-84,000 ounces of gold this year after the first quarter saw output rise to 22,400oz.
The Tanzania-focused gold miner added it expects to be debt-free by the middle of next year.
Underlying earnings in the quarter (EBITDA) were US$11.4mln, a 15% increase on the previous three months.
Production costs on a sustaining basis were US$701 per oz compared to guidance for this year of between US$740-780oz.
Eric Zurrin, chief executive, described the quarter as an exceptional start to the year, with costs well below guidance.
Zurrin also highlighted the production of first ore from the Ilunga deposit with almost 6,000 tonnes mined at a head grade of more than six grams per tonne.
Feedback has also been good for the planned IPO of the Singida asset on the Dar es Salaam stock exchange.
Shore Capital said production in the quarter was ahead of expectations and Shanta looks well-positioned to meet its 2019 target.