MINING REFINING

Pan African gold mines all performing well, says broker

Thu May 09 2024

Pan African Resources PLC (AIM:PAF, OTCQX:PAFRY, JSE:PAN, OTCQX:PAFRF)‘s trading update suggests 2024 fiscal year production at the upper end of guidance suggests Peel Hunt, with the Evander, Barberton and Elikhulu gold mine operations all performing well in the second half

Management has introduced 2025 production guidance at 215-225koz, a range that Peel Hunt said is above the broker’s 211,000 oz estimate, implying a faster ramp-up at tailings project MTR than expected.

“Regarding the project, management has confirmed it remains on schedule and budget, with commissioning expected in December.

“Management is also progressing with the extension of the project to the Soweto cluster of tailings dams.

“We had already included this life extension in our risked DCF, so it is pleasing to see a positive PFS come through and the permitting process start.”

Buy with a target price of 26p, is the broker’s stance.

Source: https://www.proactiveinvestors.com/