Pan African’s gold sales increase by double digits
Group sales for the six months to the end of November rose 14.7%, with the company reporting a decrease in debt
Gold miner Pan African Resources, whose share price rose by more than a third in 2019, said on Friday gold sales climbed 14% in its six months to end-December, with the company on track to meet its full-year production guidance.
Pan African, which is listed in Johannesburg and London, expects to produce 185,000oz in its year to end-June, which would represent an increase of about 7.5% from the prior comparative period.
“The first six months of the year saw higher production from Pan African’s high-margin operations and investment in our growth projects, with the group demonstrating its ability to reduce debt and pay dividends to our shareholders,” said CEO Cobus Loots.
Total net debt fell almost 5% to R1.74bn at the end of the period, when compared with the end of June. This is not inclusive of 71.3kg of gold delivered to Rand Refinery in December, but which had not been settled by the end of the month.
In morning trade on Friday Pan African’s share price was unchanged at R2.25.