DRDGOLD reported a 9% year-on-year increase in gold production. The gold producer managed to produce 5 424 kilograms (174 385 ounces) for the financial year ended 30 June 2020.
The increase is mainly attributable to a larger contribution from DRDGOLD’s Far West Gold Recoveries operation.
The company had earlier provided production guidance of between 175 000 and 190 000 ounces. However, interruptions to its operations as a result of the national lockdown declared by the South African Government in response to the COVID-19 pandemic caused production to come in marginally below the estimated range.
Cash operating costs per kilogram are expected to be in line with the guidance provided of R490 000/kg. DRDGOLD’s cash and cash equivalents as at 30 June 2020 was R1 715.1 million after paying a cash dividend of R213.8 million in June 2020, and the company remains free of bank debt as at 30 June 2020.
The financial information provided is the responsibility of the directors of DRDGOLD, and such information has not been reviewed or reported on by the company’s auditors. Full operating and financial results for FY2020 will be announced later in the year.