Better-than-expected production at Eldorado Gold Corp.'s (NYSE:EGO
) new gold mines helped bump the company's overall first quarter production to 75,801 ounces at cash costs of US$220 per ounce, analyst Paul O'Brien of Raymond James said in a note to clients, adding first quarter results represent an improvement over 2006 fourth quarter production of 50,425 ounces at US$277 an ounce.
Eldorado's new Kisladag mine in Turkey produced 43,601 ounces versus his estimate of 34,000 ounces, while Tanjianshan in China mined 26,273 ounces compared to his 20,000 ounce forecast.
To reflect the improved production, Mr. O'Brien increased his 2007 net asset value per share estimate from US$3.87 to US$3.88. He left his 'market perform' rating and C$8 price target unchanged.