Petropavlovsk expects annual gold output of 600,000–700,000 ounces

MOSCOW, May 27 (PRIME) -- Russian gold producer Petropavlovsk Plc expects its gold production to stay within the range of 600,000–700,000 ounces per year in 2021–2024, the company said in a presentation on Wednesday.

The figures include refining of the company’s own ores and third-party concentrates, and the company will produce 450,000–500,000 ounces per year from its own raw materials. The guidance for total cash costs is U.S. $800–900 per ounce.

In 2020, the company plans to produce 620,000–720,000 ounces of gold, including 430,000–460,000 ounces produced from its own raw materials.

Average annual capital expenditures should amount to $45 million in 2021–2024, down from $70–80 million in 2020.

The company also wants its ratio of net debt to earnings before interest, taxed, depreciation, and amortization (EBITDA) to contract to 2x soon from 2.1x as of the end of 2019.

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