Lundin Gold Exceeds 2021 Production Guidance With 428,514 Ounces
Lundin Gold Inc. (TSX: LUG) announced on Monday the production results for Q4 2021 and full-year 2021 at its Fruta del Norte gold mine in southeast Ecuador. The annual production yielded 428,514 gold ounces, beating the firm’s 2021 guidance of 380,000 – 420,000 ounces.
The 2021 yield is also an increase from 2020 gold production of 242,400 ounces. Further, the company milled a total of 1.4 million tonnes of ore material with an average head grade of 10.6 g/t gold for 2021, up from 0.9 million tonnes with a grade of 9.5 g/t gold last year.
The gold company was also able to increase its average throughput in 2021 to 3,878 tonnes per day from 3,355 tonnes per day in 2020. During the fourth quarter, this increased to 4,121 tonnes per day.
In Q4 2021, the firm produced 107,915 gold ounces, marginally up from Q3 2021’s 107,663 gold ounces and an increase from Q4 2020’s 96,830 gold ounces.
“This achievement would not have been possible without our team’s hard work at Fruta del Norte that resulted in improving recoveries and completing the plant expansion on time and on budget to increase the average plant throughput from 3,500 tpd to 4,200 tpd,” said CEO Ron Hochstein.
The mining firm relayed that it will release its full 2021 results on February 23, 2022, after the markets close.
The company recently saw analysts drop the consensus 12-month price target to $13.97 after the announcement of its three-year production outlook.
Lundin Gold last traded at $9.53 on the TSX.
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