Sibanye Gold reported an operating performance for the second half of the year ended 31 December 2013, which was significantly better than that of the first half, with production increasing by 18% and all-in cost 10% lower.
This was achieved by establishing a production-friendly environment that delivers safety improvements, Sibanye said in a statement. “Despite the depth and labour intensive nature of the operations, safety indicators are starting to approach global mining safety benchmarks.”
“Sibanye Gold is now comfortably positioned in the lowest quartile of the global all-in cost curve and is capable of generating solid cash flow under lower gold prices than currently prevail said Neal Froneman, Sibanye CEO.
“I am confident that we have now sustainably arrested the declining production and rising cost trends that have characterized these operations for many years, and that the higher production levels can be maintained. The reset cost base meaningfully extends the operating lives of our mines and positions the company for value accretive growth. Sibanye Gold will remain true to its dividend yield policy, continuing with our strategy to deliver superior value for all stakeholders,” he concluded.