Continuing its tradition, Pan African Resources Plc (LON:PAFR) has released a trading statement under paragraph 3.4 (b) of the JSE listing requirements stating that its FY16 results will differ by at least 20% cf FY15. In this case, PAF has indicated that headline EPS (HEPS) will be 114-134% higher at 1.37-1.50p and that normalised HEPS (excluding financial instruments) will be 208-228% higher at 2.00-2.13p.
Actual production numbers very close to forecast
In addition to its earnings guidance, Pan African also released production numbers for the full year. Overall production was 213,267oz of precious metals for the 12-month period, including 204,928oz of gold. This compared with management’s prior guidance of 209,000oz of precious metals for the full year and Edison’s forecast of 213,934oz of precious metals, including 204,653oz of gold. Our interpretation of this is that: 1) the underground head grade at Evander is likely to have been 6.32g/t (the highest since H213, when it was 7.59g/t); and 2) the metallurgical recovery at the BTRP is likely to have remained high, at c 60%.
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