- Ramelius Resources (RMS) ends the 2021 financial year just shy of its production targets, due partly to “numerous rainfall events”
- The company produced 272,109 ounces of gold over the last 12 months, missing its estimated range of between 275,000 and 280,000 ounces
- However, the figure represents a record for Ramelius and comes despite the impact of heavy rainfall and COVID-related lockdowns
- Ramelius has roughly $234 million in cash and gold on hand, compared to $230.6 million at the end of the March quarter
- Ramelius Resources finished trading yesterday at $1.74 per share
Ramelius Resources (RMS) has ended the 2021 financial year just shy of its production targets, due partly to “numerous rainfall events.”
The Perth-based company produced 272,109 ounces of gold over the last 12 months, missing its estimated range of between 275,000 and 280,000 ounces.
Likewise, production for the June quarter came to 61,840 ounces of gold, also falling short of the most recent estimate of between 65,000 and 70,000 ounces.
However, Ramelius’ production figures are strong compared to previous years and represent a record period for the company, despite the impact of heavy rainfall and COVID-related lockdowns at its operations in Western Australia.
“During June 2021, several minor issues had a cumulative impact on gold production at the Edna May production centre,” the company said in a statement.
“In particular, numerous rainfall events in the region reduced haulage volumes from the Marda operation, periodic personnel shortages impacted production from the Edna May underground operation, and the COVID-19 related lockdown at the end of the month limited the company’s ability to over-achieve late in the quarter.”
Ore shipments from the Tampia gold mine to the Edna May processing plant began on July 1, as scheduled, after the mine began production in mid-June. Ramelius noted that the Tampia route is likely to be more resilient during periods of heavy rainfall than others, like the Marda route, which includes a gravel section stretching 100 kilometres.
At the end of the year, and following the payment of $8.1 million to settle a finance facility, Ramelius has roughly $234 million in cash and gold on hand, compared to $230.6 million at the end of the March quarter.
The company said it continues to deliver gold into its forward sales book and that further details will be made available in its full results later this month.
Ramelius Resources finished trading yesterday at $1.74 per share.