Karora Resources (TSX: KRR) this morning released the results of its 2020 gold production efforts, while also announcing an increase to guidance for 2021. The company this morning reported gold production of 99,249 ounces, along with sales of 98,646 ounces in 2020.
The production figure for the year represents a beat of the firms prior guidance by 7%, with the firm at the mid-point of 2020 anticipating total production for the year being somewhere between 90,000 to 95,000 ounces. The fourth quarter alone saw production of 25,637 ounces, which represents the firms strongest quarter of production.
Looking ahead to 2021, the company expects gold production to come in between 105,000 and 115,000 ounces, at an average all in sustaining cost of somewhere between US$985 and US$1,085 per ounce. The guidance represents a 19% increase over the previous years guidance in terms of gold production, as well as an 8% decrease in terms of expected costs.
The company this morning also provided guidance with respect to its HGO, Beta Hunt, and Spargos drilling and exploration expenditures. Such expenditures are expected to be roughly A$20 million for the year, with the budget focused on further resource definition exploration and drilling. The budget is double that of the initial 2020 guidance.
Lastly, the company announced a cash position of $79.5 million as at December 31, 2020, an increase from the $67.3 million reported as of September 30, 2020.
Karora Resources last traded at $3.60 on the TSX.
Information for this briefing was found via Sedar and Karora Resources. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
