Superior Gold production dropped 19% YoY

May 09, 2023

Superior Gold Inc announces financial results for the fourth quarter (4Q) and full-year 2022 for the Company’s 100%-owned Plutonic Gold operations, located in Western Australia. The report say, their production of 14,448 ounces of gold, shows a 31% decrease over the comparative quarter of 2021 as a result of lower grades in both the underground and surface material milled.

Total sold 14,794 ounces of gold at total cash costs of $1,964 per ounce sold, an increase of $674 per ounce sold or 52% in comparison to the fourth quarter of 2021 due to fewer ounces produced!

All-in sustaining costs increased by $675 per ounce sold or 48%, in comparison to the fourth quarter of 2021, to $2,091 per ounce sold, above the realized gold price1 of $1,704 per ounce, due to higher total cash costs, partially offset by lower sustaining exploration and capital expenditures.

The report for the Full-Year said, production of 62,336 ounces of gold, registered a 19% decrease over the prior year as a result of lower grades in both the underground and surface material milled. Sold 62,218 ounces of gold at total cash costs1 of $1,761 per ounce sold, an increase of $406 per ounce sold or 30% in comparison to the year ended December 31, 2021 due to fewer ounces produced.

All-in sustaining costs1 increased by $459 per ounce sold or 31%, in comparison to the year ended December 31, 2021, to $1,931 per ounce sold, above the realized gold price1 of $1,807 per ounce, due to higher total cash costs1 as well as higher sustaining exploration and capital expenditures.

Chris Jordaan, President, and CEO of Superior Gold stated, “The Company experienced several headwinds in 2022, largely a result of high absenteeism due to Covid-19 that affected our employee and contractor work teams across Q2 and into Q3 with Covid-19 infection rates as high as 15% of the workforce. This had a significant impact on development rates in the underground which had a lingering effect into Q3 as the Company worked to increase development back to previous levels.

Production from both the underground and open pit operations were impacted. Following continued underperformance of the open pit, activities were temporarily suspended in Q4. Additionally, a focused improvement strategy on the underground was developed in Q3 and implementation started in Q4. The Company has started to experience improved performance from the underground mine as a single source of ore.

The focus continues to be on the leading underground performance indicators of increasing development and production drilling and improving developed inventories in both drilled and broken stock. These will remain the focus for 2023 and will enable greater stope availability and access to higher grade stopes for increased milled grade. The suspension in open pit mining resulted in a 47% increase in grade achieved in Q1 2023 when compared to Q4 2022.”

You May Also Like

HZ is the Official Supporter of :

Member Of

Founder Member Of