By: Creamer media

It also generated strong cash flow, with an increase in its net cash position to over $110-million, CEO Chris Eger says.

Group gold production of 75 962 was similar to the first quarter’s 5 497 oz, with the strong performance at Mako offsetting lower production at Syama.

All-in sustaining costs (AISC) of $1 668/oz were in line with group guidance.

Quarterly gold sales were 80 797 oz at an average realised price of $3 261/oz, compared with the 64 322 oz sold at $2 840/oz in the first quarter.

Quarterly capital expenditure (excluding exploration) of $17.6-million was in line with expectations, consisting of $9.6-million in non-sustaining capital and $8-million sustaining capital.

Quarterly operating cash flow generation of $84.6-million compared with that of $75.4-million in the first quarter, owing to the higher realised gold price and gold ounces sold.

Net cash was $110.4-million, including cash and bullion of $157.3-million and drawn overdraft balances of $47-million; and group available liquidity was $212.4-million following a $25-million payment for acquisition of the Doropo gold project and exploration-stage ABC project, in Côte d’Ivoire, from AngloGold Ashanti which closed on May 1.

Unaudited earnings before interest, taxes, depreciation and amortisation was about $211.2-million for the first half of this year and cash generation was $97.9-million before interest and debt payments and working capital movements.

Resolute says it continued progress extending the Mako mine, with exploration success at the adjacent Tomboronkoto and Bantaco projects.

An initial mineral resource estimate was announced at the Bantaco project, which is situated 20 km east of Mako, totalling about 266 000 oz of contained gold.

Resolute remains on track to produce between 275 000 oz and 300 000 oz of gold at an AISC of between $1 650/oz and $1 750/oz for the full-year.

Capital expenditure guidance for the full-year also remains at between $109-million and $126-million.

Gavin Harris was appointed COO, effective July 1, and Rob Cicchini project director of the Doropo project, effective July 15.