THE BOURSE WHISPERER: Ramelius Resources (ASX: RMS) reported reaching December 2019 Quarter Production Guidance by producing 47,902 ounces of gold across its Western Australian operations.
Ramelius Resources explained the Group Quarterly gold production of 47,902 ounces easily beat its Guidance of 45,000 to 50,000 ounces.
Contributing operations were Mt Magnet with 30,230 ounces, Vivien with 7,726 ounces, and Edna May, which delivered 9,946 ounces.
Ramelius continued to progress development activities during the Quarter with key achievements including stoping production to commence at the Shannon underground mine at Mt Magnet, and the commencement of open pit mining at the Marda gold project at Edna May.
The company coffers are well endowed with cash and gold on hand sitting at $87.7 million at the end of the Quarter.
A touch lower than the September 2019 Qtr levels of $92.8 million, but the company has spent on planned capital investments into the ongoing development, including $5.4 million on exploration and $24.1 million in project development costs, comprising, $7.7 million on Shannon and Hill 60 (Mt Magnet) undergrounds, $5.2 million on the Stellar open pit (Mt Magnet), $2.6 million on Edna May underground, and $8.6 million on Marda pre-development work.
“The operations team continues to deliver consistent results, with production Guidance achieved once again whilst investing in new projects and exploration,” Ramelius Resources managing director Mark Zeptner said in the company’s announcement to the Australian Securities Exchange.
“We have maintained a strong cash balance throughout the first half of the year and will look to grow this strongly in the second half.
“Commencement of mining at Marda is a significant milestone for the company and we also look forward to development of the Greenfinch and Tampia projects in due course.
“We have had excellent exploration results at Eridanus, with significant resource growth and look forward to further exploration success at a number of our projects early in 2020.
“Drilling has already recommenced at Tampia South, Symes’ Find (southern extension) and Eridanus (deep diamond drilling).”