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Copper on the up for Silver Lake, Sandfire


Silver Lake Resources and Sandfire Resources have announced their December 2023 quarterly results, demonstrating strong gold and copper production.

Silver Lake Resources

Silver Lake produced 56,629 ounces (oz) of gold and 236 tonnes (t) of copper during the December 2023 quarter.

The Australian gold producer also sold 57,360oz of gold and 239t of copper at an average price of $3025/oz and an all-in sustaining cost (AISC) of $1868/oz.

Silver Lake’s year to date production now equals 121,699oz of gold and 541t of copper, with sales of 122,781oz and 534t at an average sales price of $2986/oz and AISC of $1791/oz.

The company’s cash and bullion at the end of the quarter equalled $284.1 million.

“During Q2 FY24 (December quarter of the 2023–24 financial year), Silver Lake again delivered operating performance consistent with guidance and strong free cash generation in Western Australia,” Silver Lake said.

“The strong free cash flow generation positions Silver Lake to continue to internally fund investment into life of mine extension opportunities at its operations. Q3 FY24 will see the commencement of open pit mining at the Santa Complex and, following exploration success, Silver Lake has upgraded its operating strategy to commence development of the larger Stage 2 Santa open pit and Flora Dora which contain 285,000oz in ore reserves and secure base load feed visibility.

“The commencement of Santa and continued exploration success at the Daisy Complex demonstrates Mount Monger’s potential to continue as meaningful contributor to Silver Lake for many years to come.”

Sandfire Resources

Sandfire increased its group copper equivalent (CuEq) production by five per cent during the December 2023 quarter, with 32,400t being produced.

The company also operated at a record 4.6 million tonnes per annum (Mtpa) rate at its underground mines at MATSA in Spain across the first half of FY24. As a result, the operation produced 13,700t of copper, 24,200t of zinc, and 23,100t of CuEq.

Sandfire also signed a framework agreement with the Yugunga-Nya Traditional Owners, which was designed to map issues, steps and relationships that will lead to ongoing cultural heritage protection at the DeGrussa operation in WA.

“Our decision to retain DeGrussa and rehabilitate the operation means we will maintain an important presence in the region for years to come and we look forward to working with the Yugunga-Nya, (WA) Government and our other stakeholders to deliver meaningful, sustainable outcomes for the community,” Sandfire managing director and chief executive officer Brendan Harris said.

“Following yet another strong quarter of operating performance, we have maintained FY24 production, cost and capital expenditure guidance, and remain well positioned to deliver over 50 per cent growth in copper equivalent production from continuing operations across the two years to the end of FY25.”

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