Canadian Mining Journal

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GOLD: Miners report 2013 output and 2014 guidance

Is it good planning or good luck when four major Canadian gold miners chose the same day, Feb. 13, to release their year end production numbers and 2014 guidance? Here is a quick look at what they reported (in US dollars).



Is it good planning or good luck when four major Canadian gold miners chose the same day, Feb. 13, to release their year end production numbers and 2014 guidance? Here is a quick look at what they reported (in US dollars).

Agnico Eagle Mines of Toronto exceeded both its production and cost guidance for the second year in a row during 2013. Last year the company recorded payable gold production of 1.10 million oz at total cash costs of $672/oz. All-in sustaining costs (AISC) were $952/oz, below Q3 guidance of $1,025.

In 2014 Agnico is forecasting payable gold production will be between 1.18 million and 1.20 million oz. Output will continue to grow through 2016 when it reaches the 1.28 million oz level. Total cash costs are estimated at $670 to $690 per ounce of gold. (Agnico-Eagle.com)

Toronto’s Barrick Gold Corp. produced 7.17 million oz of gold in 2013 at all-in sustaining costs of $915/oz. Production is expected to fall in 2014 to between 6.00 million and 6.50 million oz at AISC of $920 to $980 per ounce. Using a gold price of $1,100/oz, the company counted 99.4 million oz of gold in measured and indicated resources.

Barrick has become a copper producer in recent years, with output of 539 million lb in 2013 at cash costs of $1.81/lb. In 2014 the company plans to produced 470 million to 500 million lb of copper. Costs will be in the $1.90 to $2.10 range. (Barrick.com)

In Vancouver, Goldcorp recorded record production of 2.6 million oz, selling 2.7 million oz in 2013. All-in sustaining costs were $1,031/oz. At the end the year, gold in reserves was estimated to be 54 million oz.

This year the company expects a 13% to 18% increase in gold output, reaching between 3.00 and 3.15 million oz. AISC will be between $950 and $1,000 per ounce. Guidance is to be revised following the closing of the Marigold mine sale in April 2014. (Goldcorp.com)

Kinross Gold Corp. of Toronto is a copper as well as gold producer. It offered production numbers in gold equivalent ounces. For the full year production of 2.63 million oz of AuEq was higher than the original guidance number. All-in sustaining costs were below guidance at $1,063/oz of gold sold. At the end of 2013, the company had 39.7 million oz of gold in reserves.

Output is going up in 2014 to the 2.5 million to 2.7 million oz AuEq range. As for AISC, they are expected to be $950 to $1,050 per ounce. (Kinross.com)

These gold producers will undoubtedly appear in the August 2014 Top 10 issue. That should be interesting to read as all four companies mentioned above reported net losses for 2013.