Lundin Gold (TSX: LUG) is anticipating slight growth in its production profile in 2025, as revealed through the release of its 2025 guidance and three year outlook released this morning.
The gold miner is expecting to produce between 475,000 and 525,000 ounces of gold in 2023, which represents a 5% increase on a midpoint basis from the 2024 production guidance of 450,000 to 500,000 ounces.
While production estimates have increased, so to have expected costing. Cash operating costs are expected to come in at a range between $730 and $790 an ounce, as compared to a range of $680 to $740 in 2024. All in sustaining costs are estimated to be between $935 and $995 per ounce, as compared to a range of $840 to $910 in 2024.
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Notably, both metrics had previously been guided to decline in 2025, with cash operating costs previously guided to be between $650 to $710 and all in sustaining costs between $840 and $910 an ounce for 2025. Sustaining capital is also slated to see an increase from prior guidance, climbing from $65 to $80 million to a range of $75 to $85 million.
In terms of exploration, Lundin is planning on spending $32 million this year on its near mine exploration program, which will see 65,000 metres of drilling conducted. A regional exploration program is also slated to be undertaken, at a cost of $8 million.
As for the three year strategy, Lundin Gold is expecting production to remain flat at a range of 475,000 to 525,000 ounces from 2025 through to 2027, with slight increases to costing in 2026. Mill throughput is expected to improve as well, climbing from 5,000 tonnes per day in 2025 to 5,500 tonnes per day in 2026.
Lundin Gold last traded at $35.46 on the TSX.
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