The Perseus Mining Ltd (ASX: PRU) share price is one to watch in early trade after the Aussie miner's latest quarterly report.
Why is the Perseus share price on watch today?
Perseus this morning provided its quarterly report for the period ended 31 March 2021 (Q3 2021). The period was highlighted by strong production and sales increases for the Aussie gold miner.
Perseus reported a 29 per cent increase in gold production to 88,458 ounces. Up from 68,614 ounces in the December quarter. That was largely thanks to ramp up efforts at the group's Yaouré mine during Q3 2021.
Those strong production numbers came at a lower cost of US$852 per ounce compared to $915 in the December quarter. All-in site cost (AISC) fell 3.6% to US$999 per ounce with a financial year to date AISC of $1,000 per ounce.
It wasn't just strong production numbers that make the Perseus Mining share price worth watching this morning. Gold sales jumped 30.1% higher to 87,215 ounces during the quarter. For context, Perseus recorded 127,085 ounces in the first two quarters combined, with 66,644 ounces in the December quarter.
Commissioning was successfully completed at the Yaouré Gold Mine with commercial production formally declared on 31 March 2021. That helped to boost Perseus' numbers while demand remained strong during the period.
Perseus reported notional cash flow of US$41.7 million for the quarter, down from US$44.6 million in Q2 2021. The lower cash flow figure fell despite strong production as the average sales price dropped 3.5% from last quarter to US$1,628 per ounce.
The Perseus Mining share price is one to watch after also providing an update on the outlook for the final quarter. Perseus said it is on track to achieve its goal of more than 500,000 ounces of gold production per year. The Aussie mining company is expecting that to come at a cash operating margin of US$400 per ounce or more.
Foolish takeaway
The Perseus Mining share price is on watch after its latest quarterly update highlighted by strong production figures. "Encouraging" exploration results and an update on its production targets make the Aussie gold miner worth watching.
The Aussie miner currently boasts a market capitalisation of $1.8 billion and is underperforming the S&P/ASX 300 Index (ASX: XJO) by 6.6% in 2021.
