STADF has been ticking up, CLGRF record production today
Trading Symbols: TSX: CRJ; OTCQB: CLGRF
Highlights:
Record annual gold production of 62,984 ounces, a 44% increase from 2013
Annual mill head grade of 7.32 grams per tonne, a 43% increase from 2013
Santoy Gap development completed ahead of schedule and long-hole mining initiated in Q3 2014
Year-end cash and cash equivalents position of approximately $11.2 million
Total debt reduction of $10.6 million during 2014
2015 gold production guidance of 60,000 to 65,000 ounces
SASKATOON, Jan. 8, 2015 /CNW/ - Claude Resources Inc.(CLGRF) ("Claude" and or the "Company") today reported record annual gold production of 62,984 ounces for 2014, an increase of 44% year over year. In 2014, the Seabee Gold Operation milled 279,597 tonnes at a grade of 7.32 grams per tonne with an average mill recovery of 95.7 percent. The 44% increase in gold production was driven by a 43% increase in grade as mill throughput remained consistent. Gold sales grew 40% in 2014 to approximately 62,700 ounces at an average gold price of approximately CDN $1,395 per ounce.
During the fourth quarter, the Company milled 60,551 tonnes at a grade of 6.50 grams per tonne for total gold production of 12,284 ounces. While fourth quarter 2014 gold production was down slightly from the comparable period in 2013, gold sales for the same period were up 26% to approximately 16,600 ounces at an average price of CDN $1,367 per ounce.
Brian Skanderbeg, President and CEO, stated, "Our success in 2014 is the result of discovering two new ore bodies and developing strategies to grow production and more importantly margins. Our record breaking performance is a reflection of the successful implementation of the Alimak long-hole mining method at the L62 deposit and the ramp up of mining at Santoy Gap ahead of schedule. These strategies allowed us to displace lower grade Santoy 8 ore, increase head grades and improve margins. While we set new records in production, we also established new records in safety performance, a testament to the quality of our workforce. Our success in 2014 has materially improved the Company's liquidity, driving debt reduction of $10.6 million and an increased cash position of $11.2 million."
"2014 was a pivotal year for Claude. The Company successfully underwent management and board changes, managed a challenging gold price environment and was able to deliver the best operating performance in its history."
Seabee Gold Operation Production Highlights
Q4
2014
Q4
2013
Change
2014
2013
Change
Tonnes milled
60,551
74,458
(19%)
279,597
280,054
-
Head grade (grams per tonne)
6.50
5.61
16%
7.32
5.11
43%
Recovery (%)
96.4
95.8
1%
95.7
95.3
-
Gold produced (ounces)
12,284
12,789
(4%)
62,984
43,850
44%
Gold poured (ounces)
13,202
13,283
(1%)
62,697
44,991
39%
Gold sold (ounces)
16,600
13,209
26%
62,700
44,823
40%
2015 Outlook
At the Seabee Gold Operation in 2015, the Company plans to produce between 60,000 and 65,000 ounces of gold. Production will be sourced primarily from the Santoy Gap and L62 deposits. The majority of tonnes and ounces in the 2015 business plan are expected to come from the Santoy Gap deposit as it ramps up to 500 tonnes per day. Operating costs in 2015 are expected to be slightly lower than 2014 with unit cash costs to range from CDN $750 to $810 per ounce and all in sustaining costs to range from CDN $1,175 to $1,275 per ounce.
"Our outlook for 2015 demonstrates our focus on cost containment, improving margins and sustaining a production profile of over 60,000 ounces per year," added Skanderbeg. "We begin 2015 in a strong financial position and with a business plan that will generate profit at and below current gold prices."
Further operating and financial results will be announced in March of 2015.
