ENP Newswire -
Release date- 29082014 -
H1 2014 Highlights
Gold production increased by 14% year-on-year ('YoY') to 476.1 thousand ounces ('koz'). Based on this strong production performance, guidance for the FY 2014 has been increased to 900 - 950 koz.
EBITDA increased by 24% to
Total cash costs decreased by 22% to
Cash flow from operating activities of
The Board has declared a dividend of 3.81 US cents per share / GDR for Q2 2014, bringing the total dividend for H1 2014 to 5.34 US cents per share / GDR.
LTIFR improved by 49% to 0.73 compared to LTIFR of 1.42 in H1 2013.
Operating and Financial Highlights
Gold production in Q2 2014 was 265.0 thousand refined gold ounces, a 14% increase compared with Q2 2013 (232.6 koz) and a 26% increase compared with Q1 2014 (211.1 koz).
In H1 2014 gold production reached 476.1 koz, a 14% increase compared with 416.3 koz in H1 2013. During the first six months of the year eight out of Nordgold's nine mines achieved a YoY production increase mainly as a result of measures the Company has implemented to improve operational efficiency at the mines. Double-digit growth was recorded at Bissa, Taparko, Lefa, both the
Despite a lower gold price, revenue in Q2 2014 was
EBITDA for Q2 2014 increased by 42% YoY and by 37% quarter-on-quarter ('QoQ') to
Net profit for Q2 2014 was
Normalised net profit attributable to shareholders for Q2 2014(4) was
In Q2 2014, total cash costs ('TCC') were
The main drivers of the YoY TCC improvement were Lefa (down 40%), Taparko (down 11%),
In H1 2014, eight out of Nordgold's nine mines achieved significant improvement in all-in sustaining costs compared with H1 2013. As a result, Nordgold's consolidated
In H1 2014, Nordgold generated
Capital expenditure ('capex') for H1 2014 decreased by 46% YoY to
The Company delivered
Cash and cash equivalents as at
The Board of Directors has approved an interim dividend of 3.81 US cents per share or per Global Depositary Receipt ('GDR') in respect of the three months ended
Suzdal's dore produced in Q1 2014 was refined and sold during Q2 2014 and therefore was accounted in Q2 2014 revenue, EBITDA, net profit and Operating Cash Flows.
Normalised Net Profit attributable to shareholders adjusted for the non-current assets and inventories impairment or utilisation of impairment.
Based on the robust operating performance delivered in H1 2014, Nordgold is revising upwards its 2014 full year production forecast to 900 - 950 koz from the original guidance of 870 - 920 koz.
Nordgold expects FY 2014 capex of approximately
Based on the significant improvement in
Message from the CEO
This has been an extremely strong financial and operating performance for the Company in the first half of the year. We continue to successfully drive down operating costs across our mine sites, which combined with our strong production results and stringent focus on capex has enabled us to more than offset the on-going gold price weakness. I am delighted that as a result we have reported a rise in EBITDA and are able to restate our full year expectations for production, capex and
The market environment remains challenging, but we have clearly demonstrated our ability to achieve sustainable value for our shareholders through outstanding operating performance and a track record of cost reduction.
This puts us in a strong position to achieve our full year targets. Looking ahead, we will continue to focus on organic growth and driving value through the existing portfolio, while seeking to advance our development projects carefully, complemented in the period by the bolt-on acquisitions of the very promising
Conference Title: Nordgold's Presentation of Q2 and H1 2014 Financial Results
To participate in the telephone conference, please dial:
The presentation will be broadcast live over the Internet and will also be available as a recording after the conference. To participate in the webcast please follow the link: http://www.anywhereconference.comUserAudioMode=DATA&Name=&Conference=135289100&PIN=703552
Tel: +7 495 644 44 73
Tel: +7 495 644 44 73
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