Centamin posts a 10pc rise in gold production

GOLD miner Centamin posted a 10 per cent rise in fourth-quarter output yesterday, boosted by higher production rates at its flagship Sukari project in Egypt, lifting its shares 8.5 per cent.

Egypt-focused Centamin was hit in the second quarter by local restrictions on blasting, which, along with supply disruptions in the first quarter, forced the company to reduce its 2011 production guidance to 200,000-210,000 ounces.

The miner said it produced 58,965 ounces in the fourth quarter of 2011, taking full-year gold production to 202,698 ounces.

The lift comes despite unrest in Egypt which is in the throes of political change.

Analysts said the update was a positive catalyst for a stock down over 40 per cent in value from early August, when the miner detailed its weak second quarter and the political situation was more unstable.

Centamin will announce its full-year results on 30 January.