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Resolute did not meet 2020 guidance due to production disruptions

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(Kitco News) - Resolute Mining presented today gold production and preliminary cost results for the full-year 2020 and production and cost guidance for the full-year 2021.

The company said that gold poured during the December 2020 quarter was 89,888oz bringing total gold poured in 2020 to 395,136oz which was marginally below the lower end of the revised production guidance of 400,000oz.

Resolute noted that AISC for 2020 of US$1,074/oz was maintained within the revised cost guidance range of US$980/oz to US$1,080/oz.

The company added that the key impacts on production in the December quarter were at the Syama gold mine in Mali where the Cashew Satellite Oxide open pit operations experienced mining equipment availability and process plant material handling issues.

In addition, the team at Syama managed the impacts of 15 days of industrial disruption during the quarter while maintaining production through both the sulphide and oxide processing plants by utilising available ore and redeploying staff as required.

Production from the Mako gold mine in Senegal continued in line with expectations producing 43,387oz for the December quarter.

Cash and bullion at 31 December 2020 totalled US$106m.

Total debt as at 31 December 2020 was US$337m with net debt of US$231m.

Resolute is forecasting total gold production for 2021 of 350,000oz to 375,000oz at an AISC/oz of US$1,200/oz to US$1,275/oz.

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