Morila gold mine

The Morila gold mine is situated some 280 kilometres southeast of Bamako, the capital of Mali and 900 kilometres to the north of the port of Abidjan in Côte d’Ivoire. The mine can also be supplied via the port of Dakar in Senegal located 1 200 kilometres to the northwest. The mine and associated mining lease is owned by Société des Mines de Morila SA (Morila) which is a joint venture company owned by Randgold (40%), AngloGold Ashanti (40%) and the State of Mali (20%). The mine is operated by Randgold.

Overview

Production, resources and reserves
ACHIEVED IN 2016
  • Produced 54 022oz from mineralised waste stockpiles and the TSF
  • Completed the construction of the TSF reprocessing facility to transfer higher grade slurry to the plant
  • Completed hard rock mining and successfully transitioned to processing TSF material
  • Continued to invest in the development of a viable agribusiness as part of its closure plans
  • OHSAS 18001 and ISO 14001 certification maintained
  • LTIFR of 0.56 for the year due to one lost time injury in Q1
  • Malaria incidence rate decreased by 44% year on year
TARGETED FOR 2017

Produce 60 000oz of gold

Complete the feasibility of the nearby Ntiola and Viper deposits for potential inclusion in mine plan

Complete permitting process for Domba and ensure operational readiness to bring Domba into the mine plan

Obtain formal endorsement of agribusiness and legacy initiative by Government of Mali

Manage the ongoing downsizing of the operation

Reduce cost base of the operation to ensure profitability

MORILA KEY RESULTS

 

12 months ended 31 December

2016

2015

Mining

 

 

Tonnes mined (000)

-

3 425

Ore tonnes mined (000)

-

939

TSF material processed (000)

1 760

-

Milling

 

 

Tonnes processed (000)

3 774

3 063

Head grade milled (g/t)

0.6

1.4

Recovery (%)

79.4

91.1

Ounces produced

54 022

122 374

Ounces sold

52 296

122 374

Average price received ($/oz)

1 245

1 168

Cash operating costs1 ($/oz)

1 039

645

Total cash costs1 ($/oz)

1 113

674

Profit from mining activity1 ($000)

6 867

60 487

Attributable (40%)

 

 

Gold sales1 ($000)

26 034

57 197

Ounces produced

21 609

48 950

Ounces sold

20 918

48 950

Gold on hand at period end2 ($000)

800

-

Profit from mining activity1 ($000)

2 747

24 195

Randgold owns 40% of Morila with the State of Mali and joint venture partner owning 20% and 40% respectively.  The group equity accounts for its 40% joint venture holding in Morila.
1        Refer to explanation of non-GAAP measures provided on page F-40 of this annual report.
2        Gold on hand represents gold in doré at the mines multiplied by the prevailing spot gold price at the end of the period.