Pan African reports record half-year gold production amid expansion

Published 11/06/2025, 08:48
Pan African reports record half-year gold production amid expansion

JOHANNESBURG - Pan African Resources PLC announced record gold production for the second half of fiscal year 2025, with output estimated at approximately 112,000 ounces, representing a 32% increase compared to the first half, according to a company press release.

The mining company expects total production for FY25 to reach approximately 197,000 ounces, a 6% increase from the previous year, though slightly below its original guidance range of 205,000-215,000 ounces. The company cited slower-than-expected ramp-up at its Evander underground subvertical shaft project and delays in commissioning filter presses at its Tennant Mines plant.

Pan African also reported a substantial reduction in debt, with net debt expected to decrease to approximately $155 million as of June 30, 2025, down 32% from $228.5 million at the end of December 2024. The company projects it will be fully degeared during FY26 at current gold prices.

The board approved a share buyback program to purchase up to ZAR200 million (approximately $11.1 million) of ordinary shares in the market, beginning June 17, 2025.

For FY26, Pan African forecasts production to increase by approximately 40% to between 275,000 and 292,000 ounces, with all-in sustaining costs expected between $1,475 and $1,525 per ounce.

The company also reported a fatal accident at its Barberton Sheba Mine on June 6, 2025, and stated it would continue focusing on safety performance initiatives.

Pan African’s improved performance stems from successful ramp-up at its Mogale Tailings Retreatment operation, steady production at Elikhulu and Barberton Tailings Retreatment Plant, improved grades following commissioning of the Evander subvertical shaft, and increased production from Barberton underground operations.

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