Regis Announces Production Jump in 2019

Australia Investing

Regis Resources reported that at the end of December, gold output was up 3,216 ounces from the previous quarter to 90,849 ounces.

Regis Resources (ASX:RRL,OTC Pink:RGRNF) reported that at the end of December, gold output was up 3,216 ounces from the previous quarter to 90,849 ounces.

Highlights are as follows:

Quarterly gold production of 90,849 ounces saw cash flow from operations increase by AU$17.5 million to AU$100 million for the December quarter
Cash and bullion increased by AU$21.4 million to AU$168.8 million at the end of the quarter, after payment of AU$32.4 million in capitalised mining costs, AU$10.4 million on exploration and feasibility projects, AU$15.2 million in income tax payments and AU$17.0 million on a number of significant capital projects.
Cash cost before royalties for the quarter were AU$866 per ounce. This reduction in quarterly cash costs was favourably impacted by the higher gold production as well as ongoing capitalised development of satellite pits during the December quarter.
AISC for the quarter reduced from AU$1,234 per ounce in the September quarter to AU$1,219 per ounce in the December quarter with this reduction principally driven by the higher gold production this quarter.
Full year production guidance remains unchanged with a production range of 340,000-370,000 ounces.
After excluding the royalty cost impact associated with the higher prevailing gold price (currently ~AU$18 per ounce), the full year AISC is now forecast to be at the upper end of the AU$1,125-AU$1,195 per ounce* guidance range, primarily driven by accelerated material movement and higher drill and blast costs which are currently the focus of a cost improvement project.
Rosemont underground development continued to progress with key ventilation and escape way infrastructure underway. Still targeting first stoping trials in the current March quarter.
Potential for significant mine life extension for Rosemont underground resources with high grade gold (0.3 meters at 43.9 grams per tonne (g/t)) intersected 750 meters below surface, 285 meters below the deepest existing planned development.
With the completion of the McPhillamys development application and the environmental Impact statement public exhibition period, the process of responding to submissions received has commenced.
This will be submitted to the NSW department of planning, industry and environment in due course.
Continued encouraging results for the potential Garden well underground including 2.7 meters at 6.5 g/t and 8 meters at 4.7 g/t gold. The underground project progressed well with the scoping study nearing completion. The preliminary feasibility study( PFS) is expected to start in the current March quarter.
Significant drill intercepts at the Baneygo project continues to support the potential for underground resources. Results include 6 meters at 6.7 g/t and 2 meters at @ 9.9 g/t gold. In addition, shallow intercepts provide encouragement for additional open pit oxide resources including 4 meters at 14.3 g/t from 20 meters down hole and 4 meters at 2 g/t from 20m down hole.
Promising results received from shallow drilling at the ranch open pit prospect located 4km south of Baneygo show potential for additional oxide Resources with 4 meters at 16.2 g/t and 12 meters at 1g/t gold.
Early drill testing of the Gloster underground target continues to deliver high grade drill intercepts. Results included 1 meter at 57.7 g/t and 2 meters at 5.2 g/t gold.