Centamin's Egypt gold output slightly below forecast

Reuters, Thursday 12 Apr 2012

The country's biggest gold producer announces steady results for the first quarter of 2012 despite workers' strikes

Centamin Plc said gold production at its flagship mine in Egypt was marginally below its estimates despite a strike in the first quarter, sending the miner's London-listed shares up 4 per cent.

The company's shares dropped sharply on March 6 after it said operations at its Sukari mine had been halted due to labour unrest. It resumed operations on March 12.

The Egypt-focused miner said production in the first quarter rose 9 per cent to 49,071 ounces. It had expected to produce 50,000 ounces.

Centamin said it mined and processed fewer tonnes than in the fourth quarter because of the disruptions.

The plant achieved record productivity, with tonnes per hour rates exceeding 5 million tons per annum during the period, the company said.

Centamin shares, which have lost a fifth of its value since the company said it was halting operations at Sukari, rose to 66.18 pence at 0735 GMT on Thursday on the London Stock Exchange.

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