Pan African Resources reports 12.3% increase in gold production for the year

Pan African Resources PLC (LON:PAF) reported a 12.3% increase in gold production to 201,608 ounces for the year to end June 2021, boosted by underground operations at its Barberton and Evander mines in South Africa.

Gold output was also 3.4% higher than the revised production guidance of about 195,000 ounces given in May 2021.

READ: Pan African Resources increases production guidance as Evander volumes improve

“We are very pleased with the group’s operational performance over the last year, and the fact that our team managed to exceed the revised production guidance for this period,” said chief executive Cobus Loots.

The group also slashed its net senior debt by 45.5% from June 2020 to US$33.8mln.

“We have now largely achieved the de-gearing of our balance sheet, and current debt levels are very manageable, enabling the group to fund all its capital requirements from internally generated cashflows and existing facilities,” said Loots.

Pan African expects to produce about 195,000 ounces of gold in the year to end June 2022.

It is also looking to expand its renewable energy capacity in the coming years following the recent announcement by the South African government that allows private consumers to generate up to 100MW of electricity.

Story by ProactiveInvestors