Sibanye gold production in line with guidance - CNBC Africa

Sibanye gold production in line with guidance

Earnings

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Sibanye Gold production for the year ended 31 December 2014 was 1.59Mozs. PHOTO: Wall Street Daily

"Gold production for the year ended 31 December 2014 was in line with guidance at 49,432kg (1.59Mozs). This is despite the loss of over 500kg due to the underground fire at Driefontein early in the year and the ESKOM load shedding in the latter half of the December quarter," the company said in a statement

Total gold production for the year ended 31 December 2014 was 1.59Mozs. This was achieved despite complications of an underground fire at Driefontein, which cost the company over 500kg, and the Eskom load shedding.

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The Kloof, Driefontein and Beatrix operations produced 1.45Mozs of gold. While the Cooke Operation, which progressed slower than expected, produced 138,400oz.

“This underperformance occurred primarily at Cooke 4 shaft, resulting in the initiation of a Section 189 restructuring process,” the company said.

At year end, Uranium production from the Cooke Operation was a stockpile of 180,000lbs

[DATA SGL:Sibanye Gold] predicts that gold production for the year ending 31 December 2015 will be between 1.61Moz and 1.67Moz.

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The company foresees a rise in capital expenditure by 10 per cent to 320 million dollars, due to an increase in expenditure on projects. These projects include sustaining the operation of the mines for a longer period as well as growth focused projects.

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