Half Year Report

RNS Number : 2027N

Centamin Egypt Limited

30 August 2011

 



For Immediate Release

30 August 2011

CONSOLIDATED FINANCIAL REPORT

FOR THE HALF YEAR ENDED

30 JUNE 2011

 HIGHLIGHTS FOR the Six Months ended 30 June 2011

		Half year ended 30 June 2011	* Six Month Financial Period ended 31 December 2010
Open Pit Ore Mined	('000t)	(1)  2,251	3,805
Total  Open Pit Material Mined	('000t)	7,053	10,891
Strip Ratio	waste/ore	2.1	1.85
U/ground Development Ore Mined	('000t)	80	40
U/ground Ore Mined	('000t)	4	0
Ore Processed	('000t)	1,590	1,378
Head Grade	(g/t)	1.92	2.06
Gold Recovery	(%)	86.2	85.4
Gold Produced - Dump Leach	(oz)	5,919	5,436
Gold Produced - Total(2)	(oz)	93,195	83,432
Cash Operating Cost of Production (3)	US$/oz	567	549
Gold Sold	(oz)	113,502	66,378
Average Sales Price	US$/oz	1,467	1,308

Notes:-

⁽¹⁾ Includes 1,262k tonnes @ 0.48 g/t placed on dump leach pads.

⁽²⁾ Gold produced is gold poured and does not include gold-in-circuit at period end.

⁽³⁾ Cash operating costs excludes royalties, exploration and corporate administration expenditure.

* Refer to Note 1 for an explanation of the comparative period.

Highlights for the Six Months ended 30 June 2011

·      For the six months to June 2011gold production of 93,195 ounces was achieved from the Sukari Gold Mine.

·      Cash operating costs averaged US$567 per ounce for the same period.

·      Average gold sales price received was US$1,467 per ounce.

·      The underground operation commenced Commercial Production during the period with a total of 43kt @ 12.5 g/t being extracted. At the end of the period proven ore reserves were 126,000t @ 11.9 g/t with definition drilling ongoing.

·      Open pit and underground mining operations were affected during the year by two separate occurrences both of which affected the supply of explosives. The first was the delayed clearance, transportation and delivery to Sukari of blasting accessories which took place in the 1^st quarter. The second was the restricted issue of blasting products by Police Blast Inspectors in Sukari. Both these issues have been resolved. However the cumulative impact of both these events resulted in excessive delays and slowing of mining activities which has resulted in a revised guidance for 2011 of 200,000 - 210,000 ounces production.

·      The Stage 4 expansion to a 10Mtpa process plant was approved by the Board for a capital cost of US$255m (excluding contingency). Long lead items have been ordered and significant contracts awarded with commissioning expected to take place in the first quarter of 2013.

·      Planning and modelling commenced for a secondary decline development accessing the northern high grade Julius Zone at the base of the Sukari porphyry.

·      Regional exploration returned significant intercepts at the V Shear prospect (approximately 2.5km north east of the Sukari process plant) including 16m @ 3.00g/t from 151m. Follow up programmes are currently being planned.

Click on, or paste the following link into your web browser, to view the associated PDF document.

http://www.rns-pdf.londonstockexchange.com/rns/2027N_-2011-8-30.pdf

 

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