Resolute Cuts Syama Gold Output Guidance to 150k-160k Oz
Resolute Mining lowers Syama production target due to supply disruptions, raising AISC to $2,300-$2,400.
Key points
- Syama mine production guidance is cut to 150,000-160,000 oz with AISC rising to $2,300-$2,400/oz.
- Mali supply disruptions and wet conditions delayed underground development and open-pit ore access.
- Full-year company output guidance drops to 205,000-225,000 oz as Mako and Doropo remain on track.
Resolute Mining has reduced its full-year gold production guidance for the Syama mine in Mali to a range of 150,000 to 160,000 ounces. This revision reflects persistent operational difficulties that have constrained ore availability and processing throughput since the second quarter.
The company simultaneously increased the all-in sustaining cost (AISC) for Syama to between $2,300 and $2,400 per ounce. The adjustment stems from delays in accessing higher-grade ore and reduced plant efficiency, factors that directly elevate the per-unit cost of production.
Mali operational constraints drive cost increases
According to Mining Weekly, the production shortfall is attributed to a challenging operating environment in Mali that disrupts critical supply chains. Intermittent explosive availability during the wet season forced the use of less effective substitutes, slowing underground development and delaying new draw points.
Open-pit mining at the A21 area also progressed below planned rates, further delaying access to higher-grade material. These combined factors reduced plant throughput and recovery rates, necessitating the upward revision in AISC despite stable gold prices.
Corrective actions target third-quarter recovery
Resolute is implementing remedial measures to stabilize explosives supply, including the construction of an emulsion plant. The company is also working with a new mining contractor to accelerate fleet mobilization and improve overall equipment availability at the site.
Management reports that operational performance has begun to improve since July. As a result, the company anticipates September gold production of approximately 15,000 ounces, bringing the total third-quarter output to around 31,000 ounces.
Other assets maintain stable production guidance
Despite the Syama revision, Resolute states that operations at its Mako gold mine in Senegal are tracking in line with guidance. Construction at the Doropo mine in Côte d'Ivoire remains on schedule and within budget, while drilling at the ABC project continues without significant interruption.
The overall corporate guidance for full-year production has been adjusted to 205,000 to 225,000 ounces, with an AISC of $2,250 to $2,350 per ounce. This represents a significant reduction from the previous target of 250,000 to 275,000 ounces at a lower cost base.
