Randgold ‘bullish’ over gold prospects as profits rise 38pc

GOLD miner Randgold Resources has plenty of prospects in the pipeline, boss Mark Bristow said, as it reported a jump in sales and profits.

Randgold, which operates across west and central Africa, has made a number of “significant advances” as it hunts for its next “world-class” gold deposit.

“One of the big highlights of the year so far has been the exploration progress we’ve made,” said Mr Bristow, the chief executive and co-founder of London’s biggest listed gold miner. Randgold has begun a feasibility study of its Massawa deposit in Senegal, as well as two targets in the Ivory Coast and another prospect in the Democratic Republic of the Congo.

“We’re pretty bullish,” said Mr Bristow. “I’ve just been in the field with the geologists. We review everything at this time of year to make sure we’re putting money in the right place.”

Pre-tax profits jumped 38pc to $269.7m (£205m) in the six months to June 30, on revenue that rose 16pc to $653m. Production for the first half was 16pc higher than the year before, with Randgold reaffirming it would hit its guidance for the year. More high-grade gold is expected to flow from its Kibali mine in the DRC, where the company has moved to underground mining.

Mr Bristow acknowledged that the operating environment for miners was becoming tougher as governments looked to reassert control over their natural resources. Randgold shares closed up 3.4pc at £72.35.

Separately, gold miner Centamin raised its interim dividend by a quarter to 25 US cents a share, despite a yearon-year fall in first-half profits.