Business
Operational Update for the year ended 30 June 2020
Operational Update for the year ended 30 June 2020.
About this update from Pan African Resources Plc
[{"type":"text","content":"\n \n Pan African Resources PLC\n (Incorporated and registered in England and Wales under Companies Act 1985 with registered number 3937466 on 25 February 2000)\n Share code on AIM: PAF\n Share code on JSE: PAN\n ISIN: GB0004300496\n ADR ticker code: PAFRY\n (“Pan African” or \"the Company\" or “the Group”)\n OPERATIONAL UPDATE FOR THE YEAR ENDED 30 JUNE 2020\n Pan African is pleased to provide shareholders with the final production results, as well as an operational update, for the financial year ended 30 June 2020 (“reporting period”).\n Despite the challenges presented by COVID-19, the Group delivered a robust performance, with the salient features being:\n \n Gold production increased by 4.1% to 179,575oz, compared with 172,442oz for the financial year ended 30 June 2019 (“prior reporting period”) and 2% higher than the revised production guidance of 176,000oz.\n The Group maintained an industry leading safety performance, despite a slight regression in lost-time injury frequency rate (“LTIFR”) and reportable injury frequency rate (“RIFR”), with the regression largely attributable to reduced man hours worked due to COVID-19, when compared to the prior reporting period. Additionally, Barberton Mines achieved 3 million fatality-free shifts during June 2020, a record for the past decade.\n Operations have implemented stringent policies and protocols to deal with the ongoing COVID-19 pandemic.\n Group net debt decreased by 49% to USD62.5 million from USD123.7 million at December 2019. Net debt at the 2020 year-end was lower than the previously guided USD70 million as a result of better than anticipated production, depreciation in the ZAR/USD exchange rate and disciplined working capital management.\n Steady state production was achieved at Evander’s 8 Shaft pillar during June 2020, with expected production of 30,000oz per year for the next three years.\n Development into the first target block on 42 level of Barberton’s New Consort Mine - Prince Consort (“PC”) Shaft was completed during June 2020, with highly prospective grades recovered during the last month.\n The Pan African board has approved the construction of a 10MW solar power plant at Elikhulu, with the plant expected to materially reduce electricity costs, post its 12-month construction period.\n The independent feasibility study review for Evander’s Egoli project was ...