OceanaGold Corporation
OceanaGold Corporation
Full text is available to Level 2 subscribers only
Subscribe to Mining Business Media
Mining Business Media's unique blend of global mining sector news and commentary is available by subscription only.
$A275 per year (1-10 users)
(GST included in Australia)
Direct debit/cheque/credit card:
Click here
Subscription inquiries, email subscribe@miningbusiness.net or call 61+413 772 044.
Related Content
OceanaGold posted March qtr (Q1) gold production of 125,646oz, down from 166,211oz in the previous period but in line with expectations despite severe cold weather that impacted its Haile operation in the USA early in the period.
AISC rose to $US799/oz (Q4FY2017: $564/oz) also in line with expectations due to the lower production.
Revenue fell to $196.7M ($246.1M), generating net profit of $44.5M ($88.6M) and EBITDA of $100.9M ($148.6M).
OceanaGold has begun the permitting process for the brownfield Martha project at its Waihi project in New Zealand, acquired from Newmont Mining in 2015.
The project comprises openpit and underground mining areas beneath the current Martha pit.
OceanaGold declared a maiden gold resource of 158,000oz in 2016, and has established an exploration target of 500,000-700,000oz (2.5-5Mt @ 5-7g/t) for the Martha underground.
The company aims to continue drilling from two exploration drives beneath the Martha openpit for resource conversion over the next two years.
Record production and revenue has seen international gold-copper miner OceanaGold post a record Dec 2017 year (FY/CY17) net profit up to $US172M from 2016’s $136.4M.
The result was on gold production of 574,606oz from 416,741oz, albeit with copper down to 18,351t from 21,123t, at cash costs also down to $347oz from $452oz and AISC to $617oz from $708oz. But the company has already flagged lower Dec 2018 year (FY/CY18) gold production from its 4 operations to 480,000oz-530,000oz and AISC well up to $725oz-$775oz.
With the warnings out for lower FY18 production from its 4 operations, Oceanagold has posted record FY17 production and revenue for a best ever $172M profit.
Gold miner OceanaGold will pay $C4.4M to maintain its 15.8% stake in Gold Standard Ventures via a non-brokered private placement, following GSV’s recently announced raising of up to $23M from a syndicate of underwriters, primarily to advance its 100%-owned Railroad-Pinion Gold Project within the prolific Carlin Trend, Nevada, US.
Goldcorp will also complete a non-brokered private placement to increase its Gold Standard ownership to 9.99% for $3.7M.
Gold Standard Ventures is raising up to $C23M from a syndicate of underwriters, primarily to advance its 100% owned Railroad-Pinion Gold Project within the prolific Carlin Trend, Nevada, US.
The syndicate, co-led by Macquarie Capital Markets Canada and BMO Capital Markets, is for 9.75M common shares at $2.05ps for $20M with an option for another 1.46M shares at the same for $3M. The public offering is expected to close by Feb 22, 2018.
Gold miner OceanaGold has flagged lower Dec 2018 year (FY/CY18) production from its 4 operations to 480,000oz-530,000oz from FY/CY17’s record 574,606oz and AISC well up to $US725oz-$775oz from $617oz.
OceanaGold is expecting FY18 gold production down to a top end 530,000oz from FY17’s record 574,606oz on the back of increases at its Haile and Macraes operations, but falls at Waihi and Didipio. By Mark Mentiplay
International miner OceanaGold plans to commence permitting for the expansion of Haile gold mine in South Carolina, USA after its strong first full quarter of commercial operations helped it deliver record gold production of 574,606oz for the year to end-Dec (FY2017), up from 416,741oz in the prior year.
AISC improved to $US617/oz (FY2016: $708/oz).
Copper production was 18,351t (21,123t).
OceanaGold increased cash balance to $73M, from $61M at end-Sept, and reduced net debt to $167M after about $73M debt facility repayments.
Australian royalty investor Royalco Resources may delist from the ASX amid other cost-cutting measures as it struggles to cope with its reliance uncertain mineral resource interests and a single current income source, a petroleum sector royalty that delivered under $A547,000 in the last year.