This phenomenon is going to get the PM stocks on the radar.
3rd quarter earning reports are going to get the millennials looking at PM stocks. Stocks like GORO who showed Q2 losses due to Covid and who turned things back around in Q3 are going to do well I believe. The sector is going to start looking promising from the double whammy boost of production and Cash Flows from high price of PMs.
Kirkland Lake Gold Reports Solid Third Quarter 2020 Production, Increases Cash to $848 Million and Announces 50% Increase in Quarterly Dividend
TORONTO, Oct. 12, 2020 (GLOBE NEWSWIRE) -- Kirkland Lake Gold Ltd. (“Kirkland Lake Gold” or the “Company”) (TSX:KL) (NYSE:KL) (ASX:KLA) today announced production results for the third quarter (“Q3 2020”) and first nine months (“YTD 2020”) of 2020. Q3 2020 production totaled 339,584 ounces, an increase of 91,184 ounces or 37% from 248,400 ounces for the third quarter of 2019 (“Q3 2019”). For YTD 2020, the Company produced 1,000,218 ounces, 305,345 ounces or 44% higher than the first nine months of 2019 (“YTD 2019”). The Company also announced today a 50% increase in the quarterly dividend, to US$0.1875 per share, effective the fourth quarter of 2020 (“Q4 2020”) dividend payment. This increase follows a doubling of the quarterly dividend in the first quarter of 2020 (“Q1 2020”) to US$0.125 per share. All dollar amounts are expressed in U.S. dollars, unless otherwise noted.
This press release is being issued in advance of the Company’s presentation at the Diggers & Dealers Mining Forum in Kalgoorlie, Western Australia at 8:35 pm ET today.
The Company’s cash position increased 58% during Q3 2020 to $848 million at September 30, 2020 with no debt. The increase in cash reflected proceeds from the sale of 331,959 ounces of gold during Q3 2020 at an average realized price of $1,907 per ounce. Also contributing to the growth in cash during the quarter were proceeds of $109.1 million (C$145.2 million) from the sale of the Company’s 32.6 million shares of Osisko Mining Inc. and $75.0 million received from Newmont Canada FN Holdings ULC (“Newmont”) through a strategic alliance agreement.
During Q3 2020, a total of $141.9 million of cash was returned to shareholders. Of this amount, $107.4 million (C$143.0 million) was used to repurchase 2,139,300 common shares through the Company’s normal course issuer bid (“NCIB”) with the remaining $34.5 million used for the quarterly dividend payment of US$0.125 per share paid on July 13, 2020 to shareholders of record as of the close of business on June 30, 2020. As at October 8, 2020, the Company had repurchased a total of 14,029,500 common shares through the NCIB during 2020 for $526.6 million (C$709.5 million) and paid approximately $81.7 million in dividend payments (with an additional $34.2 million of cash to be used for payment of the Q3 2020 dividend of US$0.125 per share on October 14, 2020 to shareholders of record on September 30, 2020).
AI
