ransparent_placeh Resolute generates robust cash flow in 2024, but expects higher costs costs
https://newsletter.mw.creamermedia.com
Exploration|Flow|generation|Gold|Mining|PROJECT|Flow|Drilling|Operations
Exploration|Flow|generation|Gold|Mining|PROJECT|Flow|Drilling|Operations
exploration|flow-company|generation|gold|mining|project|flow-industry-term|drilling|operations

Resolute generates robust cash flow in 2024, but expects higher costs costs

Resolute's Syama gold mine

Resolute's Syama gold mine

30th January 2025

By: Marleny Arnoldi

Deputy Editor Online

     

Font size: - +

Australia- and London-listed gold producer Resolute Mining says 2024 had been one of its strongest years from an operational and cash generation point of view, with operations at the Syama mine, in Mali, continuing to perform well following improvements.

Acting CEO Chris Eger says the Mako operation also continues to generate substantial cash flows despite some rain impacts in the second half of the year and lower grades.

The company plans to stop openpit mining at Mako by the second quarter and start with lower-grade stockpile material processing; therefore, it has lowered its 2025 full-year production guidance to between 275 000 oz and 300 000 oz.

Resolute produced 340 000 oz in 2024, which was slightly below guidance of between 345 000 oz and 365 000 oz.

The company reported earnings before interest, taxes, depreciation and amortisation of about $310-million for the year, compared with $161-million in the prior year, on the back of higher average realised gold prices.

Notably, the company generated an operating cash flow of more than $200-million after capital expenditure (capex), exploration and working capital spend.

The company’s net cash balance was at $66.3-million as of December 31, which reflects settlements of $160-million that Resolute paid to the Mali government.

Resolute spent $96.3-million on capex in the year, including just under $32-million for the Syama sulphide conversion project and $29-million in sustaining capital.

The company spent an additional $20-million on exploration in the year.

The group plans to spend between $109-million and $126-million on capex at the Syama and Mako operations, as well as exploration, in 2025.

While the company expects to produce more cash flow in 2025 than previously forecasted, the cost guidance has been significantly impacted owing to the adoption of Mali’s 2023 Mining Code.

Resolute expects an additional $250/oz in terms of Syama’s all-in sustaining costs (AISC) as a result of the new regulations. AISC guidance has been set at between $1 700/oz and $1 800/oz from the operation in 2025.

Commenting on the company’s exploration activities, Eger says there was significant progress across the group during 2024. The growing mineral resource at Tomboronkoto, in Senegal, was particularly encouraging and this remains a key satellite deposit that has the potential of extending the life of Mako.

“We are also optimistic about the initial mineral resource estimate for the Mansala prospect in Guinea, with more than 340 000 oz of gold having been identified.”

Another country was also added to the company’s portfolio of assets with the start of drilling at the La Debo project, in Côte d’Ivoire.

Edited by Chanel de Bruyn
Creamer Media Senior Deputy Editor Online

Comments

Showroom

Tractor & Grader Supplies
Tractor & Grader Supplies

Tractor & Grader Supplies (TGS™): Your Trusted, Genuine Source for New Replacement Parts for Earthmoving, Construction and Mining Machinery

VISIT SHOWROOM 
WearCheck
WearCheck

Leading condition monitoring specialists, WearCheck, help boost machinery lifespan and reduce catastrophic component failure through the scientific...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.212 0.287s - 147pq - 2rq
Subscribe Now