Evolution Mining reports $775M operating cash flow

• Evolution Mining recorded $775 million in operating mine cash flow and $466 million in net mine cash flow for the September quarter.
• Shares dropped following the release as the market digested the production start to the fiscal year.
• The company affirmed its full-year production and cost targets across all operations.

Evolution Mining (ASX:EVN) generated $775 million in group operating mine cash flow for the September quarter while maintaining its full-year production and cost targets.

The gold and copper producer achieved an all-in sustaining cost of $1,653 per ounce, which came in below the low end of its full-year guidance range.

"Our focus on preserving our margin, complemented by the upside from our copper exposure, resulted in an all-in sustaining cost of $1,653 per ounce, below the low end of group guidance at a margin of 73%," said Evolution Mining Managing Director and CEO Lawrie Conway.

Quarterly production reached 154,000 ounces of gold and 18,000 tonnes of copper, supported by a record net mine cash flow of $186 million from the Ernest Henry operation.

The business maintained a net cash position of $141 million with a total cash balance of $1.47 billion at the end of the quarter.

Following the announcement, the Evolution Mining share price was down at $13.03.

The company approved a $72 million investment for the Concentrate Regrind and Filtration Project at its Northparkes operation to improve gold and copper recovery rates.

In addition, organic expansion projects at Cowal, Northparkes, and Ernest Henry remain on schedule and within budget.