Sara­cen’s record break­ing re­sults

“Con­tin­ued growth in our in­ven­tory will un­der­pin our push to become a 400,000ozpa pro­ducer with 10 year mine lives at both op­er­a­tions.”

The Australian Mining Review - - NEWS - JES­SICA CUM­MINS WA

SARA­CEN Min­er­als capped off FY18 with a net profit surge of 166 per cent to $76 mil­lion; an in­crease from $28.4 mil­lion a year prior.

Re­sults stemmed from in­creased gold sales of 317,675 ounce and lower AISC of $1139/oz.

Un­der­ly­ing NPAT – ex­clud­ing the $10.6 ab­nor­mal profit re­ceived from its sale of King of the Hills; dou­bled to $67.3 mil­lion.

In early August, Sara­cen re­ported a 64 per cent in­crease in re­serves at its Karari Dervish project to 1 mil­lion ounces, and an in­crease in re­serves to 980,000oz at Thun­der­box.

Sara­cen man­ag­ing di­rec­tor Raleigh Fin­layson said the strong re­sults were par­tic­u­larly pleas­ing given the com­pany was in the mid­dle of a ma­jor growth phase.

“Profit and free cash­flow surged as we grew pro­duc­tion and re­duced costs,” Mr Fin­layson said.

“This com­bi­na­tion stemmed in part from our huge ex­plo­ration suc­cess.

“This is the key to our on­go­ing growth and there­fore we have com­mit­ted $60 mil­lion to ex­plo­ration in FY19.

“Con­tin­ued growth in our in­ven­tory will un­der­pin our push to become a 400,000ozpa pro­ducer with 10 year mine lives at both op­er­a­tions.”

Other sig­nif­i­cant FY18 re­sults in­cluded St Bar­bara which posted a net profit af­ter tax of $227 mil­lion.

Im­age:Sara­cenMin­er­alHold­ings.

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