All-in Costs and Margins
Latest Quarter All-in Cost Breakdown
1 Adjusted operating costs include production costs such as mining production and maintenance costs, royalties, and operating costs such as storage, net of by-product credits. The decrease of gold ounces sold resulted in higher cost per gold ounce sold as fixed costs portion remains constant. These costs may vary from quarter to quarter, depending on the seasonal or cyclical factors, including among others, rainy season and grade of gold extracted from the ore.
2 All-in sustaining costs include adjusted operating costs and sustaining capital expenditure, corporate general and administrative expenses, exploration expense, reflecting the full cost of gold production from current operations.
3 Include all-in sustaining costs and non-sustaining costs. Non-sustaining costs are costs incurred for the new operations and costs related to construction of the new production facility for the existing operations where these projects will materially increase production in future.
The all-in costs of US$983 per ounce in 1Q 2017 were higher than the all-in costs of US$487 in 1Q 2016. This was mainly due to lower production and sales volume of fine gold arising from lower ore grades mined.