Centamin unveils new mine plan for Sukari targeting over 500,000 oz. gold per year

Egypt-focused Centamin (LSE: CEY) (TSX: CEE) has published a new, more ambitious plan for the Sukari gold mine.

According to the company, the new mine plan will push production to an average 506,000 oz. per year at all-in sustaining costs below $1,000 per ounce, for the next nine years and contribute to a 5% increase in total gold production over the mine’s 11-year life.

The company has identified multiple opportunities to extend the current life of mine within the Sukari underground, surface satellite deposits and exploration licences adjacent to the mine to further increase resource and reserves, it said in a news release.

Its 2023 production guidance is maintained within a range of 450,000 to 480,000 oz., targeting the lower end of the range.

Sukari is Egypt’s largest and first modern gold mine, as well as one of the world’s largest producing mines. Since production began in 2009, it has produced over 5 million oz. of gold, and today has a projected mine life of 14 years.

Centamin has also announced the connection to the Egyptian national grid, delivering an estimated $41 million of annual cost savings based on current diesel prices.

The company will publish its third quarter results on October 19, 2023.

Centamin’s stock rose by 1.45% as of 12:10 p.m. ET Thursday. The company has a market capitalization of $1.17 billion.