Gold miner Evolution has lifted production and cut costs in the September quarter, helped by a strong performance at its Cowal mine in NSW and Ernest Henry and Mt Carlton mines in Queensland.
Australia's second largest gold miner produced 220,971 ounces in the three months to September 30, up 1.3 per cent from the preceding quarter.
All-in sustaining cost dropped to a record low of $786 an ounce from $825 an ounce in the prior quarter.
The company on Monday said its operating mine cash flow during the September quarter rose nearly five per cent to $210.4 million, despite a 2.8 per cent decrease in the gold price it realised.
The gold miner earlier this month completed the sale of its Edna May mine in WA to Ramelius Resources for up to $90 million.
The mine, which produced about eight per cent of the group's total gold output, had been the least profitable of its portfolio of seven gold mines.
Following the sale, Evolution revised its full-year production guidance downward from 820,000-880,000 ounces to between 750,000 and 805,000 ounces.
The company on Monday said it expects December quarter production to be in the range of 180,000 to 190,000 ounces.
The firm says it repaid $40 million of debt over a quarter, lowering its net debt to $342 million.
RBC Capital markets mining analyst Paul Hissey said the quarterly result was stronger than expected, mainly on the back of higher grades at Cowal.
"The progress on costs, and strong overall volumes will likely continue to enhance Evolutions's reputation as a reliable producer," he said.
By 1030 AEDT, Evolution Mining shares were up 1.6 per cent at $2.295 each, in a strong Australian market.
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