St Barbara sets record gold production and profits

Gwalia. Image: St Barbara.

St Barbara has posted record annual profits for the fourth consecutive financial year.

The company posted a 26 per cent increase in underlying net profit after tax to $202 million, as well as a record low all-in sustaining cost (AISC) of $891/oz. Statutory net profits meanwhile were up 44 per cent to $227 million.

Record combined production of 403,089oz was also achieved at the company’s Gwalia mine in Western Australia and Simberi mine in Papua New Guinea. This combined production from the two mines represented a 5 per cent year-on-year (YoY) increase from the 381,101oz figure posted in the 2017 financial year.

The strong results have resulted in the issue of an eight cents-per-share final dividend, which, when combined with a four cents per share interim dividend results in a full year dividend of 12 cents per share worth $51.41 million. This will be paid to shareholders on September 26.

“For the fourth year in a row the company has achieved record production and costs from Gwalia and Simberi combined,” St Barbara managing director and chief executive officer Bob Vassie said.

“We continue to build out the growth pipeline through the Gwalia extension project, further study work on Gwalia mass extraction and the Simberi sulphides, increasing our exploration spend and adding investments in exploration juniors.

“In addition, our strong balance sheet allows us to pursue inorganic growth opportunities.”

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