21/01/2014 - 11:43

Sandfire posts softer production

21/01/2014 - 11:43

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Sandfire Resources says it remains on track to achieve full-year production guidance, despite posting softer results from its DeGrussa copper-gold mine in the December quarter.

Sandfire posts softer production

Sandfire Resources says it remains on track to achieve full-year production guidance, despite posting softer results from its DeGrussa copper-gold mine in the December quarter.

Sandfire produced 15,492 tonnes of contained copper in the three months to December, down from 16,446t in the three months to September.

Gold production reached 5,957 ounces, well down from the 8,613oz produced in the September quarter.

The miner's copper and gold concentrate sales shipments were also lower during the December quarter.

Sandfire said it expected copper production for the 2014 financial year to come in at the mid-point of its guidance range of 65,000t-75,000t, with production weighted towards the second half of the year due to expected variability in mined head grade.

Gold production is expected to come in at the lower end of the company's guidance range of 35,000oz-45,000oz, which will in turn push cash operating costs towards the upper range of guidance.

Sandfire remains on the lookout for opportunities to evaluate new prospects near DeGrussa, signing a deal in December last year to farm into Talisman Mining's copper-gold prospects in the Bryah Basin.

This followed an agreement in October to farm into Ventnor Resources' Thaduna/Green Dragon copper project.

Sandfire shares were trading 21 cents lower at $6.49 at 11:30am WST.

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