Despite full year gold production of 767,883 ounces at all-in sustaining costs (AISC) of US$875 per ounce, Acacia Mining has post net loss of US$707 million.
Peter Geleta, the company’s Chief Executive Officer remains optimistic , though the books are in the red.
“We delivered resilient operational performance during a challenging 2017,” said Geleta.
Acacia Mining was impacted by several events last year but took decisive action to stabilize the business and believes its operations are now well placed to deliver in 2018.
“The challenges in our operating environment led to our production guidance being revised during 2017, whilst the ongoing ban on the export of gold/copper concentrate meant that we were unable to export and sell 185,800 ounces of produced gold which led to a substantial cash outflow.
“As expected, Acacia Mining will see a step-down in production in 2018 to 435,000-475,000 ounces as Buzwagi transitions to processing stockpiles and Bulyanhulu, whilst in reduced operations, solely re-processes tailings,” said Geleta.
The company says the focus remains on delivering optimal performance from all aspects of the business within our control in the current operating environment, returning the business to free cash generation and delivering value for all of our stakeholders.
“We are supporting efforts towards achieving a negotiated resolution with the Tanzanian government.”