Russia-focused gold miner Polymetal International exceeded its annual production guidance after it boosted output by 8% in the fourth quarter.
The company produced 405 Koz of gold equivalent in the fourth quarter, bringing full-year production to 1,433 Koz, up 13% on-year and 2% above initial production guidance of 1,400 Koz.
The strong finish to 2017 was driven by contributions from the fully ramped-up Svetloye heap leach, as well as a strong performance at Komar, Omolon and Amursk-Albazino, the company said.
Polymetal reiterated its production guidance for 2018 and 2019 of 1.55 Moz and 1.7 Moz of gold equivalent, respectively.
Based on the actual 2017 average exchange rate, it said total cash costs for the year were expected to be in the range of $650-675 per gold equivalent ounce, above initial guidance of U$600-650.
The increase in was driven by rising domestic diesel fuel prices and the strengthening of the Russian rouble on the back of the recent oil price rally, the company said.