UK Politics

Pan African Resources exceeded 2020 gold production guidance, on-track to grow again in 2021


Pan African Resources plc (LON:PAF) confirmed that 2020 gold production exceeded guidance, and it is firmly on track to hit its 2021 target of 190,000 ounces.

In todays results for the 2020 financial results confirmed a production tally of 179,457 ounces, marking a 4.1% improvement. It has driven a 25.9% rise in revenue to US$273.7mln for the year, up from US$217.4mln for 2019.

Profit improved 16.6% to US$44.3mln, from US$38mln, while headline earnings increased 93% to US$44.2mln.

READ: Pan African sees sales and earnings soar

Net cash generation from operating activity amounted to US$53.8mln, up 42.7%, and net senior debt decreased by 51.9% to US$62mln.

Chief executive Cobus Loots said the company showed resilience over the past year, and, the board has recommended a record dividend of ZAR312.9mln (which equates to 0.83582 US cents per share).

“This operational performance was achieved despite the impact of the COVID-19 pandemic and the resultant restrictions imposed to curb the spread of the virus – a testament to the robustness and operational flexibility of our diversified portfolio of assets,” Loots said.

“Gold production from Elikhulu and the Barberton Tailings Retreatment Plant (BTRP), our low-cost surface retreatment operations, have contributed significantly to the profitability of the Group and demonstrated the benefit of multiple producing operations.”

“We successfully levered the group's operational execRead More – Source