* Petropavlovsk Q3 gold output rises 39 percent q-on-q
* On track to produce at least 700,000 ounces in 2012
* Shares up 3 pct, outperforms FTSE 350 Mining index
LONDON, Oct 16 (Reuters) – Russia-focused gold miner
Petropavlovsk is on track to meet its full-year output
target while keeping its costs flat, the company said on
Tuesday, sending its shares up.
“It will be at least 700,000 troy ounces as previously
planned and announced but there is a potential for the company
to outperform if Pioneer and Pokrovskiy (mines) keep their good
performance in the fourth quarter,” Peter Hambro, Chairman of
Petropavlovsk, told Reuters.
The company’s third-quarter gold production reached 219,400
ounces, 39 percent higher than the previous quarter, while its
total cash costs for the full year were expected to remain in
line with the first-half level.
Last year, the miner produced 630,100 ounces of gold.
Petropavlovsk’s London-listed shares rose 3.05 percent to
439.7 pence by 1209 GMT, compared with a 1.31 percent rise in
the FTSE 350 Mining index.
Petropavlovsk’s growing debt pile and a larger-than-expected
charge after investments in new mines dragged its net profit
down 90 percent in the first half, sending its shares tumbling.
Continued…
