Pantoro Ltd (ASX:PNR, OTC:PNTOF) produced 21,374 ounces of gold in the September quarter at the Norseman Gold Project in Western Australia, achieving a 3% increase on the June quarter and reaching earnings before interest, tax, depreciation and amortisation (EBITDA) of $32.5 million for the three months.
With a full-quarter all-in sustaining cost (AISC) of $2,395 per ounce, the company lifted its cash and gold balance by $8.5 million to $112.3 million as of September 30, 2024.
Since the quarter ended, PNR has also secured an option trade for 2025 calendar year gold production in the form of a zero-premium collar.
Under the facility, Pantoro retains full exposure to gold prices up to $4,200 per ounce, with minimal downside should prices rise beyond that level.
Operational activities
At Norseman, Pantoro completed the Scotia Open Pit and ceased operations ahead of schedule on September 28 – mining at Green Lantern was completed on October 11.
The OK Underground Mine produced 9,661 ounces, up from 7,022 the previous quarter, and planning began for an open pit at the Princess Royal Mining Centre to be commissioned during the March 2025 quarter.
The company has been developing the Scotia Underground Mine at pace, completing 1,076 metres during the quarter and encountering high-grade mineralisation in initial ore headings.
Overall, Pantoro says the Norseman processing plant performed well during the quarter, processing a total of 292,718 tonnes despite two major interruptions.
Combined with a prescheduled mill reline, a total of six process days were lost during the quarter.
The company says the delays caused a production offset of about 1,000 ounces during the period.
In addition to the gold price protection mentioned above, Pantoro executed diesel hedges for 800,000 litres per month (about 50% of expected consumption) between January and December 2025 to manage potential supply risks from conflict in the Middle East.