Ramelius shares gain on record FY gold production
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More news: Shares in Ramelius Resources rose on the ASX after the gold miner posted record full-year output for FY24, despite quarter-on-quarter production slowing in the three months to June.
Ramelius shares were up 2.4% to $1.96 by 12:35pm AEST.
RBC Capital Markets analyst Alex Barkley said Q4 production was a "slight beat" to consensus estimates, with the quarter already expected to be strong following an upgrade to FY24 guidance in April.
Noting "another incrementally good result for a highly regarded company", Barkley said he expects "around one more year of strong cash flow" before the construction of Ramelius' Rebecca gold project in FY26.
Ramelius lifts FY gold output despite slower June quarter
The news: Gold miner Ramelius Resources has notched up record output for the fiscal year 2023/24 despite production slowing slightly on a sequential basis in the June quarter.
The numbers: The West Australian miner said output rose to 82,058 ounces in the three months to June, taking full year production to a record 293,033 ounces.
That was near the top end of its upgraded guidance of 285,000 to 295,000 ounces. The company had reported a record quarterly production of 86,928 ounces in the March quarter.
The context: As a result of the higher production, all-in sustaining cost (AISC) for the full year is expected to be near the lower end of the $1,550 to $1,650 per ounce guidance range, and also well below its second-half guidance of $1,700-$1,800 an ounce, the company said.
Ramelius, which has built up a nearly 18% "strategic" stake over the last month in smaller rival Spartan Resources, said it held net cash and gold worth $446.6 million at June-end, and expected strong underlying free cash flows to continue in FY25.
The sources: ASX announcement, RBC Capital Markets research
