JOHANNESBURG (miningweekly.com) – Johannesburg- and London-listed gold mining company Pan African Resources has joined Harmony Gold, DRDGOLD, Gold Fields and AngloGold Ashanti on the Van Eck Gold Miners’ GDX index, an exchange traded fund managed in the US.

The GDX seeks to replicate the price and yield performance of the New York Stock Exchange’s Arca Gold Miners Index, which is intended to track the overall performance of gold mining companies.

“It’s an exciting milestone for Pan African to be recognised and included,” Pan African investor relations head Hethen Hira said in response to Mining Weekly.

Pan African qualifies owing to its market capitalisation now being more than $700-million and liquidity improving to $1-million a day.

The fund invests on all recognised exchanges and the current holding was acquired through the Johannesburg Stock Exchange.

Meanwhile, the production guidance of Pan African for the new financial year has been set at 215 000 oz to 225 000 oz, with the expected increase in production largely attributable to the contribution from the Mogale Tailings Retreatment plant, which is scheduled to be officially opening next week.

The R2.5-billion Mogale is expected to produce an average of 50 000 oz/y of gold over the 20-year-plus life of the operation, which is located within the West Rand’s Krugersdorp and Kagiso areas in Gauteng, the province of gold.

Revenue increased by 16.8% to $373.8-million, supported by a 4.9% increase in gold sales to 184 885 oz from the 176 216 oz in 2023, and an 11.3% increase in the average dollar gold price received in the period.

Additional production from Mogale is entrenching Pan African’s position as a midtier producer, with production growing by about 25% and a commensurate reduction in the unit costs of production.

All-in sustaining costs (AISC) of $1 354/oz, in the 12 months to June 30, were marginally above guidance of between $1 325/oz and $1 350/oz, with the delay in commissioning Evander Mines’ subvertical hoisting shaft negatively impacting on unit costs.

AISC guidance for the 2025 financial year is set at $1 350/oz to $1 400/oz, with Mogale’s low-cost production offsetting inflationary pressures.

This production guidance could potentially be impacted by about 5 000 oz by the delay in the commissioning of Evander Mines’ subvertical shaft, which is scheduled to be completed during September.

However, Evander Mines’ underground vamping operations and earlier production from Mogale may offset the impact of this delay.