Amerigo Announces Q3-2014 Financial Results
- Revenues of $28.9 million - $3.4 million Cash Flow from Operations - Q3 Cash Cost Reduced to $1.92/lb - Cauquenes Expansion Work Started
(firmenpresse) - VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 11/06/14 -- Amerigo Resources Ltd. (TSX: ARG) ("Amerigo" or the "Company") reported today results for the three months ended September 30, 2014 ("Q3-2014"). The Company posted revenues of $28.9 million, generated $3.4 million in cash flow from operations before changes in non-cash working capital and posted a loss of $3.7 million mostly due to a $5.3 million non-cash charge for deferred income tax expense, resulting from a significant tax reform enacted in Chile in September 2014.
Rob Henderson, Amerigo's President and COO, commented, "Production for the quarter was adversely affected by low grades and low sulphide content in Colihues tailings. The improving production trend for each month during Q3 has continued into Q4, however, and October production is projected to be higher than that of September, Q3's highest production month. We believe that MVC's mine plan has now progressed beyond the zone of lower grade tailings deposited in Colihues during launder repairs in 2006-2007, and expect both copper and molybdenum production to continue to improve during the quarter. The cost reduction initiatives we have implemented are having a positive effect on MVC's results, with cash cost decreasing to $1.92/lb for the quarter."
Amerigo's Chairman and CEO, Dr. Klaus Zeitler, added, "MVC came to an agreement during the quarter for the deferral of copper royalties to the end of the year, and these additional funds are being used to advance works for the Cauquenes expansion. Negotiations in respect of the terms and conditions and requisite documentation for the expansion, including the US$131 million financing and all other key agreements, are being finalized and credit approvals from bank syndicate members are in process, all of which are expected to be completed during Q4-2014."
Comparative Financial Overview
Financial results
Production
Revenue
Costs
Cash and Financing Activities
Investments
Outlook
The information in this news release and the Selected Financial Information contained in the following page should be read in conjunction with the Unaudited Condensed Consolidated Interim Financial Statements and MD&A for the three and nine months ended September 30, 2014 and the Audited Consolidated Financial Statements and MD&A for the year ended December 31, 2013, which will be available at the Company's website at and at .
Amerigo Resources Ltd. produces copper and molybdenum under a long term partnership with the world's largest copper producer, Codelco, by means of processing fresh and old tailings from the world's largest underground copper mine, El Teniente near Santiago, Chile. Tel: (604) 681-2802; Fax: (604) 682-2802; Web: Listing: ARG:TSX
Certain of the information and statements contained herein that are not historical facts, constitute "forward-looking information" within the meaning of the Securities Act (British Columbia), Securities Act (Ontario) and the Securities Act (Alberta) ("Forward-Looking Information").
Forward-Looking Information is often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "expect" and "intend"; statements that an event or result is "due" on or "may", "will", "should", "could", or might" occur or be achieved; and, other similar expressions. More specifically, Forward-Looking Information contained herein includes, without limitation, information concerning future tailings production volumes and the Company's copper and molybdenum production, all of which involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such Forward-Looking Information;
including, without limitation, material factors and assumptions relating to, and risks and uncertainties associated with, the supply of tailings from El Teniente and extraction of tailings from the Colihues tailings impoundment, the achievement and maintenance of planned production rates, the evolving legal and political policies of Chile, the volatility in the Chilean economy, military unrest or terrorist actions, metal price fluctuations, governmental relations, the availability of financing for activities when required and on acceptable terms, the estimation of mineral resources and reserves, current and future environmental and regulatory requirements, the availability and timely receipt of permits, approvals and licenses, industrial or environmental accidents, equipment breakdowns, availability of and competition for future mineral acquisition opportunities, availability and cost of insurance, labour disputes, land claims, the inherent uncertainty of production and cost estimates, currency fluctuations, expectations and beliefs of management and other risks and uncertainties, including those described under Risk Factors in the Company's Annual Information Form and in Management's Discussion and Analysis in the Company's financial statements. Such Forward-Looking Information is based upon the Company's assumptions regarding global and Chilean economic, political and market conditions and the price of metals, including copper and molybdenum, and future tailings production volumes and the Company's copper and molybdenum production. Among the factors that have a direct bearing on the Company's future results of operations and financial conditions are changes in project parameters as plans continue to be refined, interruptions in the supply of fresh tailings from El Teniente, further delays in the extraction of tailings from the Colihues tailings impoundment, a change in government policies, competition, currency fluctuations and restrictions and technological changes, among other things. Should one or more of any of the aforementioned risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from any conclusions, forecasts or projections described in the Forward-Looking Information. Accordingly, readers are advised not to place undue reliance on Forward-Looking Information. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise Forward-Looking Information, whether as a result of new information, future events or otherwise.
Contacts:
Amerigo Resources Ltd.
Dr. Klaus Zeitler
Chairman & CEO
(604) 218-7013
Amerigo Resources Ltd.
(604) 697-6201
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Datum: 06.11.2014 - 12:30 Uhr
Sprache: Deutsch
News-ID 350276
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VANCOUVER, BRITISH COLUMBIA
Kategorie:
Mining & Metals
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