INTERNATIONAL – Acacia Mining said on Monday it swung back to profit in 2018 as its gold production and costs beat expectations even as a longstanding tax dispute rumbled on in Tanzania.
The London-listed miner, whose shares rose 3.5 percent, said in a statement that basic earnings per share totalled 14.4 cents compared to a loss of 172.5 cents a year earlier.
In 2018, gold production was 521,980 ounces at an all-in sustaining cost of $905 (R12 422) per ounce. Both of those figures were lower than in 2017 but ahead of expectations.
Acacia, majority owned by Barrick Gold, expects production in 2019 to be 500,000 to 550,000 ounces at a cost of $860 to $920 per ounce.
The gold miner is in a two-year-long tax dispute with Tanzania’s government where it operates all of its mines and has been banned from exporting mineral concentrates which have forced it to cut output.