Toronto's Yamana Gold reported Tuesday that production has increased at its Jacobina (Brazil), San Andres (Honduras), Minera Florida (Chile), Chapada and Sâo Francisco (both Brazil) gold mines, resulting in the overall production of 271,482 gold equivalent ounces for the first quarter of this year.
Yamana also reported entering into forward sales contracts to hedge 19.9 million pounds of copper, adding to existing hedge position of a total of 755 million pounds of copper at an average of $2.40/lb for the remainder of this year.
The company reported reduced cash costs per ounce of gold at Chapada, Jacobina and Minera Florida. Cash costs at Jacobina declined 28% as gold production more than doubled during the quarter.
In a news release Yamana CEO Peter Marrone said, We showed exceptional results in the first quarter across all key measures. Production was in line with previous guidance. Costs were in line with expectations and continue to decline. Gualcamayo (Argentina) and Sâo Vicente (Brazil) are advancing toward commercial production.
We experienced significant advancements in our development and near development stage projects during the quarter, further supporting our growth plan and complementing our significant increase in resources at the end of 2008 and strong growth across all key measures, he added.
The company's production remains on track to mine 12 million ounces of silver this year and 1.3 million to 1.4 million gold equivalent ounces this year.