Evolution delivers record low gold production costs

The Cowal mine

Gold miner Evolution Mining has set a new standard for its production costs in the March quarter.

Evolution produced 191,474oz of gold in the three-month period, which improved on the 186,488oz it delivered in the December quarter.

The miner continued to lower its costs per ounce at the same time. Its all-in sustaining cost (AISC) of $768/oz was a new quarterly record, down on the previous quarter’s $784/oz and the $825/oz it registered in the same period last year.

Evolution produced 598,933oz of gold in the first nine months of the 2018 financial year, putting the company on track to meet its updated guidance of 790,000–805,000oz.

The Cowal mine in New South Wales was a standout producer with 61,749oz during the March quarter. Cowal also set a new mill record for the second straight quarter with throughout of 1.996Mt.

Evolution is ramping up construction work on a float tails leach project at Cowal in the June quarter.

“Major construction works on the float tail leach commenced in the March 2018 quarter,” Evolution announced in a quarterly update. “The project remains on schedule and on budget, and is expected to increase recoveries by 4–6 per cent once commissioned in the December 2018 half year.”

Cowal is expected to deliver at or above the top end of the 235,000–245,000oz guidance range in fiscal 2018, Evolution added.

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