Saracen shares gain on record production

Saracen Mineral Holdings has achieved record gold production and sales for the September quarter.

Saracen said today that it had produced 41,241 ounces in the quarter, eclipsing its previous record of 36,430oz by 13 per cent.

It sold 43,096oz for revenue of around $66 million, based on an average gold price of $1,351/oz.

Saracen says it is now in a net cash position, compared with last quarter when it was in a net debt position of $8.7 million.

The Perth-based miner has worked towards cutting costs in recent months, following an announcement in August that it expected to take a one-off hit of $75 million to $80 million due to the reduction in value of its mining assets. 

Saracen shares gained 15 per cent on the back of the news to reach 23 cents at 12:45PM WST.