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Gold mine in Ontario helps Australian Evolution Mining to increase production

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(Kitco News) - Australian gold miner Evolution Mining today reported that the group’s gold production for the December 2020 quarter was 180,305 ounces, which is 6% more than in September quarter (170,021oz) at an AISC of A$1,166/oz (Sep qtr: A$1,198/oz).

In Australia, the company’s Ernest Henry mine produced 24,473oz at an AISC of negative A$710/oz generating net mine cash flow of A$73.7 million; Cowal mine produced 54,926oz at an AISC of A$958/oz generating net mine cash flow of A$39.2 million; Mt Rawdon produced 24,306oz at an AISC of A$1,170/oz generating net mine cash flow of A$24.2 million.

Production at Evolution's Red Lake gold mine in Ontario increased by 27% to 33,709oz at an AISC of A$1,937/oz generating net mine cash flow of A$10.3 million. This places it ahead of schedule for Stage 1 of the transformation plan to increase annual production to 200,000 ounces at an AISC of less than US$1,000 per ounce.

Evolution said it has delivered mine operating cash flow and net mine cash flow of A$258.9 million and A$170.5 million respectively (Sep qtr: A$272.3M; A$183.4M).

The company added that it is on track to achieve FY21 group guidance of 670,000 – 730,000 ounces at an AISC of A$1,240 – A$1,300 per ounce.

Evolution Mining is a leading, growth-focused Australian gold miner. Evolution operates five wholly-owned mines – four in Australia and one in Ontario, Canada. In addition, Evolution holds an economic interest in the Ernest Henry copper-gold mine in Queensland.

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