2013 Production
Centerra's 2013 consolidated gold production is forecast to be in the 605,000 to 660,000 ounce range.
In 2013, approximately 50% of Kumtor's gold production is expected to occur in the fourth quarter creating a potential variability to Kumtor's 2013 production guidance. Centerra estimates that the Kumtor mine will produce between 550,000 and 600,000 ounces in 2013. Ore production in the fourth quarter is planned to come from the high-grade SB Zone ore that has several years of production history. The high-grade ore from the SB Zone is only available for mining at the end of the third quarter when it is exposed by Cut Back 15.
According to the KS-13 mine plan, 2013 is expected to be the last year with a significant back-end loaded production profile as the mine continues to build stockpiles, which will allow for more consistent production on a quarterly basis going forward.
At the Boroo mine, gold production is forecast to be approximately 55,000 to 60,000 ounces, which includes about 24,000 ounces from heap leaching and 36,000 ounces from processing mill stockpiles. The Boroo mill is expected to process ore stockpiles during the year with an average grade of 0.82 g/t. The 2013 forecast assumes no mining activities at Boroo and Gatsuurt, and no gold production from Gatsuurt.
2013 All-in Unit Cash Costs
Centerra's 2013 all-in unit cash production costs per ounce are forecast as follows:
---------------------------------------------------------------------------- Kumtor Boroo Consolidated---------------------------------------------------------------------------- ($ per ounce ($ per ounce ($ per ounce produced) produced) produced)----------------------------------------------------------------------------Operating cash costs(1) $ 342 - 373 $ 1,055 - 1,151 $ 406 - 443----------------------------------------------------------------------------Capitalized stripping costs - cash 354 - 386 - 322 - 351----------------------------------------------------------------------------Operating cash and stripping costs $ 696 - 759 $ 1,055 - 1,151 $ 728 - 794----------------------------------------------------------------------------Sustaining capital (cash) 105 - 115 170 - 185 113 - 124----------------------------------------------------------------------------Growth capital (cash) 52 - 57 - 49 - 53----------------------------------------------------------------------------Operating cash costs including capital $ 853 - 931 $ 1,225 - 1,336 $ 890 - 971--------------------------------------------------------------------------------------------------------------------------------------------------------Corporate and other cash costs(2) - - 177 - 193----------------------------------------------------------------------------All-in cash costs (pre- tax)(1) $ 853 - 931 $ 1,225 - 1,336 $ 1,067 - 1,164--------------------------------------------------------------------------------------------------------------------------------------------------------Revenue-based tax and income tax 234 - 255 130 - 142 224 - 245--------------------------------------------------------------------------------------------------------------------------------------------------------Total all-in cash costs including taxes(1) $ 1,087 - 1,186 $ 1,355 - 1,478 $ 1,291 - 1,409----------------------------------------------------------------------------1. Operating cash costs, all-in cash costs (pre-tax) and total all-in cash costs including taxes per ounce produced are non-GAAP measures and are discussed under "Non-GAAP Measures".2. Corporate and other cash costs per ounce produced include corporate general and administrative expenses, global exploration expenses, and community investments.
