The S&P/ASX 200 Index (ASX: XJO) is up 0.8%, but Ramelius Resources Ltd (ASX: RMS) is outshining the index with even greater gains.
On Monday morning, Ramelius Resources shares, which closed at $1.89 on Friday, surged to $1.96, marking a 3.7% increase.
ASX 200 Gold Stock Climbs on Record Production
Ramelius Resources is experiencing a notable rise in its share price following a robust quarterly report and record FY 2024 gold production. The company achieved a total of 293,033 ounces of gold, landing at the high end of its revised production forecast of 285,000 to 295,000 ounces.
The company reported all-in sustaining costs (AISC) of AU$1,583 per ounce, aligning with the lower end of its guidance range of AU$1,550 to AU$1,650 per ounce.
For the June quarter alone, Ramelius produced 82,058 ounces of gold at an AISC of AU$1,362 per ounce, fitting within its updated production guidance of 75,000 to 85,000 ounces and the AISC range of AU$1,350 to AU$1,450 per ounce.
During this period, gold sales totaled 85,737 ounces, fetching an average price of AU$3,243 per ounce, resulting in quarterly revenue of AU$278.1 million. The strong performance of the Mt Magnet gold mine was a highlight, with an exceptionally low AISC of AU$982 per ounce attributed to the high-grade Penny gold mine and the Eridanus ore body.
Looking ahead, Ramelius expects further production increases from Mt Magnet in FY 2025 with gold ore from the Cue project. For FY 2024, total capital and project development costs were AU$49.6 million, on the higher end of guidance due to early pre-strip and clearing activities at the Cue project.
The company's financial position remains strong, with cash and gold holdings reaching AU$446.6 million at the quarter’s end, up from AU$407.1 million three months prior. Operating cash flow was reported at AU$162.8 million, with underlying free cash flow hitting a record AU$137.3 million.
For FY 2025, Ramelius has set a production target of 270,000 to 300,000 ounces at an AISC of AU$1,500 to AU$1,700 per ounce. Over the past year, Ramelius Resources' shares have surged 54%.