Johannesburg, South Africa — 17 April 201 – Gold Fields Limited “’ one of the world’s largest gold producers with eight operating mines in South Africa, Australia, Ghana and Peru “’ has maintained its production levels in the first quarter of 2012, while Harmony Gold Mining Company “’ South Africa’s third largest gold producer “’ has confirmed that its gold production from January to March 2012’s was 18% lower than the period to end December 2011.
Gold Fields first-quarter production was 827,000oz, largely flat compared to 830,000oz in Q1 of 2011. Miningmx quotes the group as saying in a statement here that the figure underpinned the 2012 full year production guidance of 3.5 million to 3.7 Moz. Total cash costs and notional cash expenditure for the quarter were expected to be approximately US$875/oz and US$1,285/oz respectively, based on an average exchange rate of R7.77/$.
The company said it would release full results for the period on 17 May.
Meanwhile Harmony Gold attributed its 18% drop in first quarter production to: safety stoppages; the festive season and public holiday disruptions associated with the March quarter; shifts lost due to the one day protected strike of the Congress of South African Trade Unions; heavy rains in Papua New Guinea which impacted gold production at Hidden Valley; the upgrade of the infrastructure at Doornkop; lower than expected grades at Tshepong, Masimong, Unisel and Joel which contributed to a 12% decline in overall underground grade.
“The March quarter is not in line with our expectations. Safety stoppages indicate that we need to do even more to ensure a safer working environment for our employees at all times,” said Harmony CEO Graham Briggs.
Source: Miningmx. For more information, click here.