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Mangazeya "has increased the volume of gold production by more than a quarter

02 December 2020


For nine months of 2020, the Mangazeya group of companies increased gold production by 28%. The company reported on the production and financial results of its gold mining assets for the third quarter of the year, the press service of Mangazeya reported to MK in Chita on December 1.


As noted in the group of companies, the total volume of gold production in the first nine months of 2020 increased to 34.23 thousand ounces (1065 kg). The volume of ore processed exceeded 1,014 thousand tons, which is 26% more than in the same period in 2019.


“For nine months of 2020, revenue growth of Mangazeya Mining Ltd amounted to 76% compared to 2019. In the third quarter of 2020, revenue of Mangazeya Mining Ltd increased by 42% compared to the same period in 2019 and amounted to $ 45.75 million (34.35 million USD), with an estimated weighted average selling price of $ 2,617 (1,965 USD) per ounce " , - noted in the group of companies.


The press service of Mangazeya explained that the growth in indicators is associated with the start of production at the Nasedkino field in the Trans-Baikal Territory. In the third quarter, the volume of production at it amounted to 6.26 thousand ounces (195 kg), while 4.05 thousand ounces (126 kg) of Nasedkino gold were sold.


The gross profit of Mangazeya Mining Ltd for the nine months of 2020 doubled from $ 19.96 million (USD 15.09 million) in 2019 to $ 40.01 million (USD 29.57 million) in 2020. In the third quarter of 2020, gross profit amounted to $ 23.86 million (17.91 million USD), in 2019 the figure did not exceed $ 17.23 million (13.05 million USD). The growth was driven by higher sales and a decrease in cost per ounce of gold sold. The gross profit margin for the third quarter and nine months of 2020 is 52% and 53%, respectively, in 2019 for the same period, the profitability was estimated at 54% and 47%, respectively.