October 6, 2011 / 1:53 PM / 7 years ago

UPDATE 1-Semafo Q3 sales rise on higher gold output

Oct 6 (Reuters) - Semafo Inc’s third-quarter revenue jumped 19 percent, helped by higher gold output at its Mana mine in Burkina Faso, west Africa.

Montreal, Quebec-based Semafo, which also operates the Samira Hill mine in Niger and Kiniero in Guinea, produced 61,500 ounces of gold in the quarter. Mana contributed over 70 percent to overall production.

Gold sales of 59,600 ounces at a price of $1,717 per ounce boosted revenue to $102.3 million, its highest level so far.

The July-September period witnessed a crazy run-up in gold prices , as investors ran to gold as a safe haven asset amid U.S. economic growth worries.

After touching a peak of about $1,920 an ounce on September 6, the metal shed most of its gains and was trading at $1,643 an ounce on Thursday.

The company, which had halted work at its mine in Guinea over protests by local residents around the property, said last week it was unsure of when it would resume work at the mine.

Semafo, however, kept its full-year production outlook of 238,000-263,000 ounces of gold.

Shares of the gold miner were up 1 percent at C$8.06 in Thursday morning trading on the Toronto Stock Exchange. (Reporting by Gowri Jayakumar in Bangalore; Editing by Viraj Nair)

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