Centamin warns of delays to Stage 4 expansion project

Gold miner Centamin has warned investors that its Stage 4 expansion project has experienced some delays for key items, materials and services.

Gold miner Centamin has warned investors that its Stage 4 expansion project has experienced some delays for key items, materials and services.

Partly as a result of the delay, as well as general cost inflation, the group now estimates the total capital cost of Stage 4 will be $325m, including contingency, as compared with the previous $287.6m, excluding contingency.

The group said: "We now anticipates the bulk of commissioning activities of the expanded plant will commence during the second half of 2013, although there is no change to our expectation that the plant will be fully operational before the end of the year."

In the same announcement, the company also revealed that the forecast production for the year 2013 from the Sukari Gold Mine is 320,000 ounces of gold, up 22 per cent on 2012 levels.

The gold will be produced at a cash operating cost of $700 per ounce with fuel at international prices.

If the predicted production levels are achieved, it will mark the third successive year of output growth at Sukari and will see the company move towards its long-term target of 450-500,000 ounces per annum from 2015 onwards.

The share price fell 0.93% to 53p by 08:35 on Thursday.

NR

Recommended

Broker safety – your questions answered
Investment strategy

Broker safety – your questions answered

Cris Sholto Heaton answers more of your questions about the safety of stockbroker accounts
25 Mar 2020
How demographics affects stock valuations
Investment strategy

How demographics affects stock valuations

New research suggests that stock and bond valuations are driven by the age of the population – at least in the US.
24 Feb 2020
Do you own shares in Sirius Minerals? Here’s what you need to do now
Stocks and shares

Do you own shares in Sirius Minerals? Here’s what you need to do now

Mining giant Anglo American has proposed a cash takeover of Yorkshire-based minnow Sirius Minerals. Unhappy shareholders must decide whether to accept…
20 Feb 2020
Why investors should be “cautiously bullish” for 2020
Stockmarkets

Why investors should be “cautiously bullish” for 2020

Analysts have been out in force making rosy predictions for stockmarkets in 2020, but while there is certainly a case for optimism, investors should r…
17 Jan 2020

Most Popular

Here’s why you really should own at least some bitcoin
Bitcoin

Here’s why you really should own at least some bitcoin

While bitcoin is having a quiet year – at least in relative terms – its potential to become the default cash system for the internet is undiminished, …
16 Sep 2020
Central banks want politicians to take charge – but what will they do?
US Economy

Central banks want politicians to take charge – but what will they do?

The US Federal Reserve has come to the end of the road in terms of what it can do to accelerate any recovery, says John Stepek. It's over to the polit…
17 Sep 2020
IAG's share price is ready for take-off - here's how to play it
Trading

IAG's share price is ready for take-off - here's how to play it

The owner of British Airways has had a turbulent year, but is now worth a punt. Matthew Partridge explains the best way to play it.
8 Sep 2020