Gold price dip hits mining group’s profits

<p>Profits are down at a mining group.</p>

A major mining group has announced a fall in its profits for the third quarter of the year.

The dropping value of gold has had a negative impact on profits for Centamin, the firm announced in its financial results for the July to September period.

Gold production of 84,757 ounces was recorded by the company in Q3, which is a nine per cent drop from the previous quarter.

However, this is a 39 per cent rise on production in the same period last year, Centamin said.

Chairman Josef El-Raghy described the firm's performance for the third quarter as "strong" on several fronts, "most notably a further increase in both tonnes mined from underground and total process plant throughput".

The firm's share price has risen today on the back of the news. At 14:32 GMT, its stocks were trading 7.25 per cent up on the start of the day's figure.

Find out about commodities trading and learn CFD strategies at City Index

Join our live webinars for the latest analysis and trading ideas. Register now

GAIN Capital UK Limited (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.