Randgold Resources Says Tongon On Track To Achieve 2015 Goals - Quick Facts

(RTTNews) - Randgold Resources Ltd. (RRS.L, GOLD) Monday said its Tongon gold mine in Côte d'Ivoire is on track to achieve its production and cost guidance for 2015.

During the past year, its management made significant progress in dealing with the recovery and throughput challenges that had hampered the operation in its early stages, chief executive Mark Bristow said.

Bristow said the commissioning of its new flotation circuit and the ongoing expansion of the crushing circuit were having the expected impact on production and costs, steadily lifting Tongon towards its designed performance level.

The construction of the upgraded flotation circuit is complete and automation and optimization are underway. At the same time, Sandvik and Randgold are still jointly working on optimizing the crushing circuit upgrade to meet Tongon's planned production outputs.

The mine is forecasting production of some 260 000 ounces of gold at a total cash cost of $820 per ounce in 2015. At the current gold price, it should be able to repay its capital this year as scheduled.

In the meantime, continuing exploration has replaced all the reserves consumed by mining in 2014, effectively extending Tongon's life by a year.