Evolution becomes a leading low-cost gold producer

Evolution Mining

The Cowal gold mine. Image: Evolution Mining.

Evolution Mining has dropped its gold production costs, helping it overcome a fall in output caused by poor weather earlier this year.

Evolution produced 161,316 ounces of gold for the March quarter, about 19,000 ounces down on the previous quarter.

The decline was largely due to heavy rainfall at Queensland’s Mount Rawdon gold mine, which saw its 855,000 tonnes of processed ore mostly sourced from lower-grade stockpiles.

As a result, Evolution produced less than 12,000 ounces at the mine, which is less than half of last quarter’s figure.

The company reduced its production targets for the 2021 fiscal year from 670,000-730,000 to 695,000-710,000 ounces.

Despite the record rainfall across Australia’s east coast, the company set itself as one of the lowest cost gold producers among the world’s major and mid-tier gold companies.

Evolution’s all-in sustaining costs (AISC) for the quarter was $1268 per ounce, with Evolution improving its 2021 fiscal year guidance from $1240-$1300 an ounce to $1190-$1220 an ounce.

Evolution’s strongest operation for the quarter laid in the Cowal mine in New South Wales, where over 50,000 ounces of gold were produced.

In March, Evolution became a part of the United Nations’ (UN) Global Compact, which outlines 10 principles to obey on human rights, labour, environment and anti-corruption.

Evolution stated the company was proud to become a part of the global cause.

“We are enthusiastic to making the UN Global Compact and its principles part of our ESG strategy, taking practical actions to implement these principles in our culture and day-to-day operations, and leading all of our stakeholders and local communities on this journey,” Evolution stated.

The Global Compact includes over 13,000 companies from 160 countries that are striving to advance societal goals and ideals.

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