Altus Strategies gold Cote d'ivoire
Image: 123rf.com

It remains on track to meet or exceed the upper end of its total gold production forecast range of between 970,000 – 1,030,000 ounces with total consolidated cash operating costs forecast to be between $500 – $540 per ounce and total consolidated AISC forecast to be between $870 – $910 per ounce.

The Company’s 2021 production guidance does not currently include the potential upside to increase Fekola’s gold production in 2021 from the nearby Cardinal resource with production now expected to commence from Cardinal in the third quarter of 2021 and the higher than budgeted processing capacity realized to date at the expanded Fekola mill. 

RELATED:
B2Gold begins international arbitration against Republic of Mali
Is renewable energy mining’s new normal?

For full-year 2021, as budgeted, the Company’s consolidated gold production from its three operating mines is expected to be significantly weighted to the second half of 2021 due to the planned higher waste stripping campaigns at both the Fekola and Otjikoto mines which were largely completed in the first half of 2021.

READ MORE ARTICLES ABOUT GOLD

For the second half of 2021, consolidated gold production is expected to significantly increase over the first half of 2021 to between 555,000 – 585,000 ounces when mining reaches the higher-grade portion of Phase 5 of the Fekola Pit and Phase 3 of the Wolfshag Pit.

Based mainly on the weighting of production and timing of stripping, consolidated cash operating costs are expected to be between $620 – $660 per ounce in the first half of 2021, before significantly improving to between $380 – $420 per ounce during the second half of 2021. In addition, consolidated AISC are expected to be between $1,040 – $1,080 per ounce in the first half of 2021, before significantly improving to between $745 – $785 per ounce during the second half of 2021.

The Company is currently compiling its consolidated cash operating costs and consolidated AISC results for the second quarter and first half of 2021, which will be released along with its second quarter and first half of 2021 financial results after the North American markets close on Wednesday, August 4, 2021.

For the second quarter of 2021, consolidated gold revenue was $363 million on sales of 200,071 ounces at an average price of $1,814 per ounce, compared to $442 million on sales of 257,100 ounces at an average price of $1,719 per ounce in the second quarter of 2020. The decrease in gold revenue of 18% ($79 million) was 22% attributable to the decrease in gold ounces sold (mainly due to the lower gold production and timing of gold shipments), partially offset by a 4% impact from the increase in the average realized gold price. 

For the first half of 2021, consolidated gold revenue was $725 million on sales of 402,401 ounces at an average price of $1,802 per ounce compared to $822 million on sales of 496,600 ounces at an average price of $1,656 per ounce in the first half of 2020. The decrease in gold revenue of 12% ($97 million) was 19% attributable to the decrease in gold ounces sold (mainly due to the lower gold production and timing of gold shipments), partially offset by a 7% impact from the increase in the average realized gold price.