FAST NEWS

Centamin on track to meet 2011 gold target

The miner says it remains on track to produce 200-210,000 gold ounces from its Sukari mine in Egypt at a cash cost of about $550 an ounce.

Posted: Tuesday , 11 Oct 2011

LONDON (Reuters)  - 

Centamin Egypt Ltd said its gold production had returned to planned levels after the regular delivery of blasting products resumed in late July.

It produced 50,539 ounces of gold in the third quarter, up 5 percent from the second quarter and a jump of 67 percent from the year-earlier quarter.

The miner said it remains on track to reach its revised gold production target this year of 200,000-210,000 ounces, all from its Sukari project in Egypt, at a cash cost of about $550 an ounce.

Production for the first nine months totalled just over 143,500 ounces, requiring the company to produce about 56,500 ounces to meet the lower end of its target.

Centamin announced record quarterly throughput in the Sukari process plant as the ramp up to higher production rates continued.

"The company is pleased with the return to normal operations, the rapidly improving performance of the process plant and the consistent development and maturing of the underground operation, which positions Sukari well for a strong and consistent performance in the future," Chairman Josef El-Raghy said on Tuesday.

In August, the miner cut its output forecast for 2011 from 250,000-290,000 ounces after announcing lower-than-expected production in the second quarter due to local restrictions on blasting.