St Barbara forecasts higher gold production

St Barbara has lifted its gold production guidance for the 2018 financial year.

The miner, which operates the Gwalia operation in Western Australia and Simberi mine in Papua New Guinea, now expects to produce from 365,000 to 385,000 ounces (oz) of gold in 2017–2018, an increase from its previous guidance of 350,000 to 375,000oz.

In its 2018 first half update, St Barbara reported that Gwalia produced 127,118oz of gold, while Simberi’s output was 70,650oz.

St Barbari has forecast Gwalia to produce from 250,000 to 260,000oz and Simberi from 115,000 to 125,000oz in the current financial year.

Bob Vassie, St Barbara managing director and chief executive, said the company’s operations continued to perform well.

“With a cash balance of $216 million and no debt the company has excellent flexibility to deliver further value to shareholders through our organic growth prospects and other growth opportunities,” Vassie said.

St Barbara’s other first half activities included further investments in Catalyst Metals and Peel Mining worth $10 million.

To keep up to date with Australian Mining, subscribe to our free email newsletters delivered straight to your inbox. Click here.