Sibanye Gold Output Gains 26% to Bring Full Year Back on Track

Sibanye Gold Ltd., South Africa’s biggest miner of the metal, is back on track to meet its annual production target of as much as 1.67 million ounces after boosting output in the second quarter.

Sibanye produced about 398,500 ounces of gold in the three months to June 2015, a gain of 26 percent on the previous quarter and 5 percent more than the same period last year, it said Thursday in a statement. All-in costs were $1,070 an ounce, compared with the current spot price of $1,146.60.

The result makes up for lower output and higher costs in the first quarter, when the company suffered operating hiccups including the failure of a conveyor system at its Kloof mine.

“The operational events which negatively affected production during the first two months of the year were largely resolved by the end of the March 2015 quarter,” Sibanye said in the statement.

The Kloof, Driefontein and Beatrix mines produced 351,000 ounces of gold in the second quarter, “marginally lower” than the same period in 2014, it said. Cooke contributed 47,550 ounces of gold in the period and 88,000 pounds of uranium in the six months ended June 30.

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