LONDON (Alliance News) - A number of operational issues held back Acacia Mining PLC's production in the first quarter of 2019, the miner said Thursday.
Acacia produced 104,899 ounces of gold during the first three months of 2019, 13% lower year-on-year. Gold sold fell 10% to 104,985 ounces.
Acacia attributed the lower production to fall of ground at the Gokona underground mine in Tanzania, a breakdown of an excavator at Nyabirama's open pit, and an expected fall in output at Buzwagi as it moved to a lower grade processing operation.
Despite the production decline, Acacia remains on track to achieve 2019 guidance of 500,000 ounces to 550,000 ounces of gold.
The company's quarterly revenue fell 12% year-on-year to USD138 million due to lower gold prices and 5% rise in all-in sustaining costs.
Acacia's earnings before interest, taxes, depreciation, and amortisation slumped 72% to USD24 million, due to the lower revenue and the non-repeat of the sale of a royalty a year prior. Adjusted Ebitda was 46% lower year-on-year.
The UK listed miner also said that has appointed three new non-executive directors, who join immediately: Alan Ashworth, Deborah Gudgeon, and Adrian Reynolds. This comes with Mike Kenyon and Andre Falzon set to depart as non-executives on July 31.
Commenting, Interim Chair Rachel English said: "I am delighted Alan, Deborah and Adrian will be joining the board as independent non-executive directors. Between them, they have broad technical and financial expertise, as well as a wealth of African mining experience."
"These complement the existing skills of the board well, and we are looking forward to working with each of them."
"On behalf of the board, I would also like to thank Andre Falzon and Mike Kenyon for their service and commitment to the company over the past nine years, and additionally to thank them for their support in the handover and succession process with our new directors," she added.
Acacia shares were down 2.3% on Thursday morning at 157.20 pence each.
