IGO metals production beats guidance

Nickel miner IGO has reported solid production for the financial year, including its Nova mine in Western Australia having exceeded guidance for all metals produced.

The Nova nickel-copper-cobalt mine in the Fraser Range produced 30,436 tonnes of nickel in the 2020 financial year, exceeding guidance of between 27,000t and 30,000t.

The mine also produced 13,772t of copper, beating guidance of 11,000-12,500t, as well as 1,142t of cobalt compared with guidance of 850-950t.

Output from the company’s 30 per cent-stake in the Tropicana joint venture with AngloGold Ashanti was also solid in FY20, with the mine having produced 141,169 ounces of gold – well within its guidance of between 135,000oz and 150,000oz.

Total gold produced from the mine in FY20 was 463,118oz; its guidance was 450,000-500,000oz.

By comparison, the Tropicana mine produced 518,172oz of gold in the previous financial year, while the Nova mine produced similar results in both FY19 and FY20.

However, IGO managing director Peter Bradford said the FY20 results reflected the company’s “resilience and adaptability” during challenging periods, including the COVID-19 pandemic.

“Our consistent operational performance is a credit to the quality of our assets and competence of our operational teams,” Mr Bradford said.

“This forms an outstanding platform from which IGO can pursue growth opportunities through both exploration and disciplined M&A.”

The company will release its full-year financial and operational results at the end of the month.

Its shares closed down 0.4 per cent to trade at $5.07.