GOLD MINERS ROUNDUP
MAY 2018 • E&MJ; 35 www.e-mj.com
lion last year. The company posted a loss
for the year of $370 million, after posting
a profit of $254 million for 2016. AISC
rose 18% yoy to $1,128/oz, the highest
since 2013. Total ore processed fell 16%
yoy to 19 mt, and total gold output fell
7%, to its lowest level since 2012.
The back story is the rand-to-dollar
conversion. "In rand terms, the aver-
age price received of R536,378/kg was
9% lower than the average received for
2016," the company reported. That de-
velopment, and the build up to it, ren-
dered the Cooke operation uneconomical,
which was shuttered effective November
2017, and sparked a reduction in invest-
ment at the Beatrix West operations. The
latter "will continue operating its under-
ground workings and surface processing
with fewer employees," the company
reported. "Should the section return to
loss in any three-month period, there will
be no alternative but to place it on care
and maintenance."
The cessation of underground opera-
tions at Cooke contributed to the decline in
company-wide production numbers. "Un-
derground production from the Cooke oper-
ations decreased by 52%," Sibanye-Still-
water reported. "At Beatrix, underground
gold production decreased by 8%."
Underground production declined
21% yoy at Driefontein due to lower
grades. Total gold output at Kloof un-
derground production increased 8% yoy,
with mill throughput reaching 2.2 mt, the
company reported. "Surface throughput
increased by 34% to 3.6 mt, owing to the
greater volumes of Venterspost surface
material treated at the Ezulwini plant."
As of December 31, 2017, the com-
pany reported reserves of 25.7 million oz.
"This represents a reduction of 3 million
oz (10%), which, after accounting for de-
pletion of 1.5 million oz due to mining
activities in 2017, equates to a 6% de-
crease yoy."
The company predicts 2018 gold pro-
duction of between 1.24 million oz and
1.29 million oz. In March, the company
will transfer assets from its West Rand
