QMX Announces Revenue of $7.38 Million in the Second Quarter of 2013
08/15/2013
http://www.qmxgold.ca/English/Investor-Centre/News/News-Details/2013/QMX-Announces-Revenue-of-738-Million-in-the-Second-Quarter-of-2013/default.aspx
TORONTO, ONTARIO--(Marketwired - Aug. 15, 2013) -
QMX GOLD CORPORATION
(TSX:QMX)("QMX Gold" or the "Company") sold 5,366 ounces of gold at
an average price of $1,456 generating revenue of $7.38 million in
the second quarter of 2013.
All figures are reported in Canadian dollars, unless noted
otherwise.
Q2 Financial Summary:
Q2 2013 Q1 2013 Six months ending June 30, 2013
Net Revenue $7.38 Million $6.40 Million $13.78 Million
Mine Operating Earnings (loss) ($990,000) ($1.04 Million) ($2.03 Million)
Ounces Recovered 5,643 4,141 10,095
Ounces Sold 5,366 4,100 9,466
Average Sale Price $1,456 $1,641 $1,536
Cash Cost Per Ounce* $1,283 $1,568 $1,407
Cash Flow from Operating Activities $1.23 Million $2.31 Million $3.55 Million
Net Gain (Loss) ($6.38 Million) ($4.04 Million) ($10.42 Million)
*See Non-IFRS Measures
Second Quarter Results From Operations
In the second quarter of 2013, the Aurbel Mill processed 39,667 tonnes of ore with a head grade of 4.42 g/t Au and the mill achieved an average recovery rate of 93.5%. This yielded 5,643 ounces of gold, an increase of 1,500 ounces over Q1 2013, which is attributed to the Company mining in a higher grade zone during the period.
Revenue in the second quarter was $7.38 million, generated from the sale of 5,336 ounce of gold. The average sale price in the quarter was $1,456 per ounce, down from $1,641 per ounce in Q1 2013. Mine operating expenses, which include amortization and depletion of $1.48 million, were $8.36 million, contributing to an operating loss of $990,000 for the quarter. The net loss for the quarter was $6.38 million or $0.20 per share.
Cash provided by operating activities for the quarter was $1.23 million compared to $2.31 million for Q1 2013.
The cash cost per ounce during the quarter was $1,283 per ounce (see non-IFRS Measures), a significant decrease from $1,568 per ounce in the first quarter. This reduction in cash costs can be attributed to cost management measures that are underway at Lac Herbin and the improved recovery rates experienced at the Aurbel Mill.
Financial Results for Six Months Ending June 30, 2013
In the six months ending June 30, 2013, QMX Gold sold a total of 9,466 ounces of gold generating $13.78 million in revenue for the company. The average sale price was $1,536 per ounce. In this same period, mine operating expenses totaled $13.32 million and depreciation amounted to $2.49 million for a gross loss of $2.01 million. The net loss for the six months ending was $10.42 million. The average cash cost per ounce was $1,407. Cash provided by operating activities for the six months ending June 30, 2013 was $3.55 million compared to $900,000 in the same period of 2012.
As at June 30, 2013, the Company was in breach of certain of covenants on its outstanding note payable. As a result, the lender is exercising certain of their rights under the loan agreement, has limited the Company's access to certain bank accounts and is controlling certain cash disbursements, including applying funds in such accounts against interest and fees payable to them. The Company and the lender are currently in negotiations with respect to this covenant breach.
Operational Outlook
Lac Herbin
The Lac Herbin mine has undertaken a number of cost reduction measures that have had a positive impact on the Company's operational cash costs. Recently, QMX Gold has announced that there would be a suspension of development and exploration activities below the 42 level for an undetermined period of time. Lac Herbin will continue to operate above the 42 level to mine out the known mineralized lenses which should continue into Q3 2014. Operational guidance for the mine remains at production levels of 20,500 to 23,000 ounces of gold at a cash cost between $1,200 and 1,400 per ounce for 2013.
In the second quarter of 2013, QMX Gold entered into a custom milling agreement with Armistice Resources ("Armistice") to handle, mill and refine ore from Armistice's McGarry Mine near Kirkland Lake, Ontario, as a way to generate additional revenue for the company. The agreement will see a minimum of 30,000 tonnes of ore delivered by Armistice over the period of at least a year. At the end of the second quarter, regulatory approval was granted by the Quebec government and Armistice shipped its first 5,000 tonnes of ore for processing.
http://www.qmxgold.ca/English/Home/default.aspx
God Bless
08/15/2013
http://www.qmxgold.ca/English/Investor-Centre/News/News-Details/2013/QMX-Announces-Revenue-of-738-Million-in-the-Second-Quarter-of-2013/default.aspx
TORONTO, ONTARIO--(Marketwired - Aug. 15, 2013) -
QMX GOLD CORPORATION
(TSX:QMX)("QMX Gold" or the "Company") sold 5,366 ounces of gold at
an average price of $1,456 generating revenue of $7.38 million in
the second quarter of 2013.
All figures are reported in Canadian dollars, unless noted
otherwise.
Q2 Financial Summary:
Q2 2013 Q1 2013 Six months ending June 30, 2013
Net Revenue $7.38 Million $6.40 Million $13.78 Million
Mine Operating Earnings (loss) ($990,000) ($1.04 Million) ($2.03 Million)
Ounces Recovered 5,643 4,141 10,095
Ounces Sold 5,366 4,100 9,466
Average Sale Price $1,456 $1,641 $1,536
Cash Cost Per Ounce* $1,283 $1,568 $1,407
Cash Flow from Operating Activities $1.23 Million $2.31 Million $3.55 Million
Net Gain (Loss) ($6.38 Million) ($4.04 Million) ($10.42 Million)
*See Non-IFRS Measures
Second Quarter Results From Operations
In the second quarter of 2013, the Aurbel Mill processed 39,667 tonnes of ore with a head grade of 4.42 g/t Au and the mill achieved an average recovery rate of 93.5%. This yielded 5,643 ounces of gold, an increase of 1,500 ounces over Q1 2013, which is attributed to the Company mining in a higher grade zone during the period.
Revenue in the second quarter was $7.38 million, generated from the sale of 5,336 ounce of gold. The average sale price in the quarter was $1,456 per ounce, down from $1,641 per ounce in Q1 2013. Mine operating expenses, which include amortization and depletion of $1.48 million, were $8.36 million, contributing to an operating loss of $990,000 for the quarter. The net loss for the quarter was $6.38 million or $0.20 per share.
Cash provided by operating activities for the quarter was $1.23 million compared to $2.31 million for Q1 2013.
The cash cost per ounce during the quarter was $1,283 per ounce (see non-IFRS Measures), a significant decrease from $1,568 per ounce in the first quarter. This reduction in cash costs can be attributed to cost management measures that are underway at Lac Herbin and the improved recovery rates experienced at the Aurbel Mill.
Financial Results for Six Months Ending June 30, 2013
In the six months ending June 30, 2013, QMX Gold sold a total of 9,466 ounces of gold generating $13.78 million in revenue for the company. The average sale price was $1,536 per ounce. In this same period, mine operating expenses totaled $13.32 million and depreciation amounted to $2.49 million for a gross loss of $2.01 million. The net loss for the six months ending was $10.42 million. The average cash cost per ounce was $1,407. Cash provided by operating activities for the six months ending June 30, 2013 was $3.55 million compared to $900,000 in the same period of 2012.
As at June 30, 2013, the Company was in breach of certain of covenants on its outstanding note payable. As a result, the lender is exercising certain of their rights under the loan agreement, has limited the Company's access to certain bank accounts and is controlling certain cash disbursements, including applying funds in such accounts against interest and fees payable to them. The Company and the lender are currently in negotiations with respect to this covenant breach.
Operational Outlook
Lac Herbin
The Lac Herbin mine has undertaken a number of cost reduction measures that have had a positive impact on the Company's operational cash costs. Recently, QMX Gold has announced that there would be a suspension of development and exploration activities below the 42 level for an undetermined period of time. Lac Herbin will continue to operate above the 42 level to mine out the known mineralized lenses which should continue into Q3 2014. Operational guidance for the mine remains at production levels of 20,500 to 23,000 ounces of gold at a cash cost between $1,200 and 1,400 per ounce for 2013.
In the second quarter of 2013, QMX Gold entered into a custom milling agreement with Armistice Resources ("Armistice") to handle, mill and refine ore from Armistice's McGarry Mine near Kirkland Lake, Ontario, as a way to generate additional revenue for the company. The agreement will see a minimum of 30,000 tonnes of ore delivered by Armistice over the period of at least a year. At the end of the second quarter, regulatory approval was granted by the Quebec government and Armistice shipped its first 5,000 tonnes of ore for processing.
http://www.qmxgold.ca/English/Home/default.aspx
God Bless
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