In a news release, Pretium Resources Inc. (PVG:TSX; PVG:NYSE) announced that in 2019 it exceeded the upper end of its gold production guidance, the lower end of its all-in sustaining cost (AISC) guidance and its debt reduction goal.
During full-year 2019, the Canadian miner produced 354,405 ounces of gold at an AISC of $900 per ounce sold. "Brucejack continues to be consistently profitable and a strong cash generator," President and CEO Joseph Ovsenek said in the release.
Free cash flow for 2019 was $184.2 million, the company reported and total debt decreased by $180.4 million compared to the end of 2018, Pretium reported.
Looking to 2020, Pretium guided to total annual gold production of 325,000–365,000 ounces. To achieve that, the company will produce 3,800 tons per day with an average annual gold grade of 7.6–8.5 grams per ton and a gold recovery target of 97%.
As for 2020 costs, the miner expects AISC of $910–1,060 per gold ounce sold. It forecasts cash costs of $725–$830 per gold ounce sold. These costs include expenses for ongoing work at Brucejack.
For one, the company is continuing lateral development of about 1,000 meters per month. During H1/20 it will focus on opening the mine on the 1080 level and the Brucejack fault zone, and in H2/20, it will work on stope development. Further, during Q2/20, Pretium will begin its high-density reverse circulation drill program "to increase the volume of grade information necessary to enhance mine planning and optimize gold production," the release explained.
Regarding 2020 cash flow, the miner projects $100–170 million, assuming a gold price of $1,450 per ounce. During the year, it aims to reduce debt by $80–150 million.
In other news, Pretium starting looking for a new president and CEO. While the search takes place, Ovsenek will continue to serve in the role. Also leaving the company is Warwick Board, vice president of geology and chief geologist.
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