Modern Mining November 2015

GOLD

Record-breaking quarterly

Randgold Resources boosted production to a new record level in the third quarter of the year on the back of a steady all-round operational performance while stepping up ex- ploration programmes designed to find its next world-class discovery as well as to expand its existing reserves.

against the previous quarter’s US$59,2 million. Chief Executive Mark Bristow said consid- ering that the gold price had declined by 6 % over this period to its lowest point since the first quarter of 2010, Randgold’s profit perfor- mance continued to be creditable. He noted that the company remained debt-free, with net cash increasing significantly from US$109 mil- lion to US$168 million, further strengthening its balance sheet. During the quarter, Tongon in Côte d’Ivoire paid back the last of its shareholders’ loans of US$448 million (see also page 16), and can now start paying dividends, Kibali repaid another tranche of its shareholders’ loans and Gounkoto declared a dividend of US$11 million, bringing its total for the year to date to US$51,7 million. Kibali remains on track to exceed its full-year production guidance of 600 000 ounces and the group as a whole is expected to be within its guidance range. Bristow said the group’s intensified

G old production for the quarter ended 30 September was 305 288 ounces, up more than 5 000 ounces on Q2, with Kibali in the north-eastern DRC and Morila in Mali doing exceptionally well. Heavy rains in Mali resulted in a pump system failure at Loulo, which temporarily cut off access to the high grade ore sections underground at Yalea. This resulted in lower than forecast grades and production, impacting on total cash cost per ounce, which rose to US$699/oz (Q2: US$684/ oz). A further drop in the gold price also de- pressed profits, which were US$48,8 million

Underground mining at Loulo in Mali. The Loulo underground mines are Yalea and Gara.

28  MODERN MINING  November 2015