Net profit of Acacia H1 drops 51% year-over-year

Tanzanian gold ore Acacia Mining's net profit for the first six months of this year, ended June 30, decreased by 51% to $ 30.9 million, compared to the net profit of , $ 5 million recorded in the first half of 2017. [19659002Lebenefitenaffectedbyapooredof$242millionofNyanzagaLine

After the end of the period, OreCorp Tanzania completed its obligations under the Nyanzaga project pursuant to the 2015 surrender agreement.

As a result, OreCorp executes its option under the agreement to increase to 51% of the capital of the project through a payment of $ 3 million to Acacia.

Acacia believes that a simplified ownership structure of the project will be beneficial OreCorp and Acacia have also signed an agreement for an additional payment of $ 7 million from OreCorp to acquire 100% ownership of the project.

] Acac Acacia's operating profit before interest, taxes, depreciation and amortization (EBITDA) for the six-month period was $ 133.6 million, 17% lower than the first half of 2017 , while the adjusted EBITDA of $ 91.6 million is 45% lower than that of the first half of 2017.

Meanwhile, Acacia has produced 254,759 ounces of gold at a cost all-inclusive maintenance of $ 945 / oz

This production is 41% lower than that of the first half of 2017.

Acacia interim CEO Peter Geleta reiterated Friday that the Changes made to the company at the end of 2017 have yielded the expected results, thus helping the company to generate free cash for the first time since the fourth quarter of 2016.

Acacia is in good way to achieve its annual production target of 435,000 to 475,000 z to an AISC between $ 935 / oz and $ 985 / oz