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Randgold Resources Limited Announces Q4 Results

Jersey, Channel Islands -- (MARKET WIRE) -- 02/04/08 --

Incorporated in Jersey, Channel Islands
Reg. No. 62686
LSE Trading Symbol: RRS


London, 4 February 2008 (LSE:RRS)(Nasdaq: GOLD) - Randgold Resources today announced that its board had approved the development of a new gold mine at Tongon in the Cote d'Ivoire, subject to the conclusion of a mining convention with the Government.

Reporting its results for the fourth quarter of 2007 and the year to December, the company also said a strong performance from its Loulo operations in Mali had boosted Q4 net profit to US$14.5 million, up 26% on the previous quarter and 34% up on the comparable quarter in 2006. A dividend of 12 US cents, up 20% on 2006, was declared for the year.

Attributable gold production for the year of 444 573 ounces was in line with forecast, due in part to Loulo's increased contribution of 264 467 ounces at a total cash cost of US$372/oz (2006: 241 575 ounces at US$328/oz). This compensated for the shortfall in production at Morila, which delivered 449 815 ounces at a total cash cost of US$332/oz against a forecast of 475 000 ounces. The company said the shortfall was attributable to operational problems related to planning, grade control and plant lock-up.

Net profit for the year was down from US$50.9 million to US$45.6 million as a result of a tax adjustment of US$3.2 million at the Morila joint venture; a rise of US$7.1 million in exploration and corporate expenditure, mainly as a result of increased spending on Tongon; and costs associated with a programme to improve Loulo's operational flexibility. The company said its annual profit would have exceeded the previous year's had it not been for these exceptional items.

The company also announced today that Randgold Resources (Mali) was taking over the operational responsibility for Morila from its joint venture partner AngloGold Ashanti. AngloGold Ashanti has advised Randgold Resources that it is considering the disposal of its 40% stake in Morila and the two companies have agreed that in the circumstances it would be best for all stakeholders if Randgold Resources assumed the operatorship as soon as possible, given its continuing presence in and commitment to the region.

At Tongon, a Type 3 feasibility study was concluded and on the strength of this the Randgold Resources board has given the green light for mine development to proceed. An initial draft of a proposed mining convention has been submitted to the Cote d'Ivoire's Ministry of Mines and Energy. Subject to agreement on this, construction of the mine will start at the end of 2008 with first gold production scheduled for the fourth quarter of 2010. Funding for Tongon has already been secured through last year's successful US$240 million private placement of shares.

Meanwhile the development of the Yalea underground mine at Loulo has continued to make steady progress, with the shaft advancing by a record 260 metres in January. Development ore should be accessed later this quarter with the first mining faces established by mid-year. It has been decided to replace the raiseboring shaft with an additional decline shaft to extend access to the orebody.

On the exploration front, Massawa in Senegal has emerged as a significant new drilling target. RAB drilling has returned high-grade results, confirming continuous mineralisation over a 2.8 kilometre strike length. A 5 000 metre diamond drilling programme is scheduled to start this quarter.

Chief executive Mark Bristow said at a time when the gold industry was faced with declining output and a dearth of quality projects, Randgold Resources was gearing up to grow production and profits. With Loulo targeting production of 400 000 ounces per year by 2010 and Tongon stepping in to replace the declining Morila, group attributable production was set to increase by 50% to 600 000 ounces per year by 2011. In addition, a robust exploration project portfolio led by Massawa offered additional organic growth potential.

"We're strong in equity and cash and so also well placed to make the most of any corporate opportunities that meet our profit criteria and fit in with our pure gold strategy," he said.

Chief Executive           Financial Director
Dr Mark Bristow           Graham Shuttleworth
+44 788 071 1386          +44 779 614 4438
+44 779 775 2288          +44 20 7557 7730
+223 675 0122

Investor & Media Relations
Kathy du Plessis
+44 20 7557 7738


*  Net profit up 26% quarter on quarter
*  Gold production, supported by increased ounces from Loulo, in line
   with forecast
*  Dividend increased by 20%
*  US$240 million private placement secures financing for Tongon
*  Board approves Tongon mine development
*  Loulo underground redesign allows early access to ore
*  Randgold Resources to assume operatorship at Morila
*  Massawa in Senegal grows into significant drill target

Randgold Resources Limited had 76.1 million shares in issue as at
31 December 2007

US$000                     Unaudited       Unaudited       Unaudited
                             quarter         quarter         quarter
                               ended           ended           ended
                              31 Dec          30 Sep          31 Dec
                                2007            2007            2006

Gold sales#                   89 855          70 701          68 857
Total cash costs*             47 093          38 189          38 125
Profit from mining            42 762          32 512          30 732
Exploration and               12 933           7 872           7 412
corporate expenditure
Profit before income          22 323          18 319          15 763
Net profit                    14 492          11 540          10 790
Net profit                    13 385          11 474           9 980
attributable to
equity shareholders
Net cash generated            31 741           2 262           8 645
from operations
Cash and financial           343 133         131 086         143 356
Attributable                 119 736         110 247         116 821
production+ (ounces)
Group total cash                 393             346             326
costs per ounce*+
Group cash operating             347             305             288
costs per ounce*+

US$000                     Unaudited          Unaudited
                           12 months          12 months
                               ended              ended
                              31 Dec             31 Dec
                                2007               2006

Gold sales#                  289 841            262 717
Total cash costs*            158 318            132 540
Profit from mining           131 523            130 177
Exploration and               35 920             28 805
corporate expenditure
Profit before income          66 901             73 973
Net profit                    45 628             50 876
Net profit                    42 041             47 564
attributable to
equity shareholders
Net cash generated            62 233             70 410
from operations
Cash and financial           343 133            143 356
Attributable                 444 573            448 242
production+ (ounces)
Group total cash                 356                296
costs per ounce*+
Group cash operating             315                258
costs per ounce*+

#  Gold sales do not include the non-cash profit/(loss) on the roll
forward of hedges.
*  Refer to explanation of non-GAAP measures provided.
+  Randgold Resources consolidates 100% of Loulo and 40% of Morila.

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