Capricorn Metals Q3 2024 Production Update

Capricorn Metals Limited (ASX: $CMM) has reported a strong cashflow performance for the third quarter of the financial year 2024, despite facing challenges due to significant rainfall impacting mining operations and gold production at the Karlawinda Gold Project (KGP). The company achieved 26,017 ounces of gold production for the March 2024 quarter, in line with the previously provided update. The cash and gold on hand at 31 March 2024 stood at $177.8 million, reflecting a robust cash build of $27.6 million for the quarter.

Executive Commentary on Q3 Performance

It was a challenging quarter at the KGP with significant rainfall impacting mining operations and gold production. However, it was pleasing that despite these impacts the operation delivered a cash and gold build of $27.6 million for the quarter before the discretionary capital spend at Mt Gibson. The residual effects on mining productivity are still being felt and will be our key operational focus in the June quarter to set the project up for a strong operational performance in FY25.

Summary of Q3 Performance and Outlook

Capricorn Metals' Q3 performance reflects resilience in the face of adverse weather conditions, with a strong cash build and gold production in line with expectations. The company continues to work towards achieving the open pit material movements budgeted for the June 2024 quarter, with residual effects of the rainfall expected to impact operations. Despite the challenges, the company anticipates gold production in the range of 26,000 - 29,000 ounces for the June 2024 quarter, contributing to an annual production outlook of 112,000 - 115,000 ounces for FY24. Capricorn Metals remains focused on addressing the residual effects on mining productivity to position the project for a robust operational performance in FY25. Full operational and cost details will be provided in the Quarterly Report later in April 2024.