Klondex Reports Fourth Quarter and Full Year 2016 Results; Achieves Record Quarterly and Annual Revenue
(firmenpresse) -
Klondex Reports Fourth Quarter and Full Year 2016 Results; Achieves Record Quarterly and Annual Revenue
Reno, NV - March 23, 2017 - Klondex Mines Ltd. (TSX: KDX; NYSE MKT: KLDX) ("Klondex", the "Company", "we", "our", or "us" - http://www.commodity-tv.net/c/mid,3159,Site_Visits/?v=294628) is pleased to announce its operational and financial results for the fourth quarter and full year 2016. This press release should be read in conjunction with our 2016 Annual Report on Form 10-K, which includes our Consolidated Financial Statements and related Management's Discussion and Analysis of Financial Condition and Results of Operations ("MD&A"), which are available on our website (www.klondexmines.com), on SEDAR (www.sedar.com), and on EDGAR (www.sec.gov). All dollar amounts included in this press release are expressed in thousands of United States dollars, unless otherwise noted, and are based on our MD&A and our Consolidated Financial Statements, which were prepared in accordance with Generally Accepted Accounting Principles in the United States ("GAAP"). References to "Notes" refers to the notes contained in the full year 2016 Consolidated Financial Statements. "Nevada Operations" consists of the Fire Creek and Midas mines.
In this press release we use the non-GAAP performance measures "Production cash costs per gold equivalent ounce sold" and "All-in costs per gold ounce sold", which should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP. See the Non-GAAP performance measures section of this press release for detail.
Fourth Quarter 2016 Highlights
- Health, safety, and environmental - No lost-time injuries at our properties and as of December 31, 2016, had operated 1,539 days (~4.0 years) at Fire Creek, 815 days (~2.0 years) at Midas, 344 days (~0.7 years) at True North, and 89 days (~0.3 years) at Hollister and Aurora, without a lost-time injury.
- Hollister acquisition - On October 3, 2016, completed the acquisition of the Hollister and Aurora projects, creating synergies with our Nevada Operations and providing significant future operational and exploration potential.
- Ounces sold and financial results - Sold a quarterly record 47,745 gold equivalent ounces ("GEOs"), consisting of 42,405 gold ounces and 374,902 silver ounces for revenue of $56.1 million, a quarterly high. Average quarterly selling prices per gold and silver ounce were $1,175 and $16.73, respectively. Net income was $2.2 million (or $0.02 per share - basic).
- Nevada performance - Produced a record 51,923 GEOs, as GEO grade and tons milled continued to increase from the prior quarter and first half of the year. Average key operating metrics for our Nevada Operations were: 886 ore tons milled per day, 0.50 oz/ton gold mill head grade, 5.46 oz/ton silver mill head grade, 0.58 oz/ton GEO mill head grade. Production cash costs per gold equivalent ounce sold at Nevada was $644.
- True North - Produced 8,445 GEOs, an increase from the prior quarter as stockpiled ore processing began.
Full Year 2016 Highlights
- Growth transformation - Completed acquisitions of True North and Hollister, positioned to continue increasing future production while diversifying operations profile into Canada. Financial strength to execute organic and bolt-on growth opportunities.
- Financial position and liquidity - Maintained strong financial position and liquidity through completion of a CDN$129.5 million "bought deal" private placement and obtained first revolving credit facility (initially $25.0 million and increased to $35.0 million).
- Ounces sold and financial results - Sold a record 159,118 GEOs, an increase of 19.4% from the prior year, consisting of 138,516 gold ounces and 1,470,992 silver ounces. Revenue was an all-time high totaling $198.2 million from average selling prices per gold and silver ounce of $1,245 and $17.44, respectively. Net loss was $1.7 million (or $0.01 per share - basic).
- Cash flows - Ending cash balance of $47.6 million after $45.3 million of operating cash flows, $159.7 million used in investing activities, and $104.6 million provided by financing activities. Ending working capital of $33.2 million (ratio of 1.80:1).
- Operating performance - Produced a record 151,007 GEOs from Nevada Operations, exceeding the high end of management's expectations, and 10,199 GEOs from True North for full year production of 161,289 GEOs, an increase of 26.3% from the prior year. Nevada Operations production cash costs per gold equivalent ounce sold at was $637 and within our 2016 expected range of $600 to $650.
- Spending - Capital, exploration, and development spending totaled $32.5 million at Fire Creek, $27.8 million at Midas, $16.8 million at True North, $4.2 million at Hollister, $0.6 million Aurora, and $1.4 million at corporate for total capital spending of $83.4 million.
Mr. Paul Huet, President and CEO commented, "As previously announced, we had record quarterly and annual production in the fourth quarter and for the full year in 2016. Additionally, we are pleased that we once again achieved our production and cost guidance for the year. Mr. Huet continued, Looking ahead, our near term strategy is focused on organic growth. We expect to produce between 210,000 and 225,000 gold equivalent ounces in 2017, an increase of approximately 36% from the prior year."
2017 full year outlook
We expect to produce between 210,000 and 225,000 gold equivalent ounces during 2017 at an expected production cash cost per GEO sold of $680 to $710 per GEO sold. This represents an increase in GEOs produced of approximately 36% from the prior year as we benefit from bulk sampling extraction at Hollister in Nevada as well as higher production from True North mine in Canada as ramp-up continues. Fire Creek and Midas 2017 production is expected to be in line with the prior year.
We also expect our 2017 capital expenditures to be between $57 - $62 million with an additional $3 - $5 million to be spent on exploration. The majority of capital is expected to be spent at Fire Creek as we continue underground expansion in the form of primary access development and advancement of a second portal. We also expect to spend $7 - $9 million at our newly acquired Hollister mine in Nevada as it commences a bulk sampling mining program and underground definition drilling in the Gloria zone.
Below are tables summarizing key 2017 operating guidance.
Gold Production Capital
Equivalent Cash Costs Expenditure
Ounces per Gold s
Produced Equivalent (thousands)
(1) Ounce
Sold
(1)
2017 full year outlook Low High Low High Low High
Midas 42,00 45,00 $925 $950 $11,0 $12,0
0 0 00 00
Midas Mill - - - - 4,000 5,000
Fire Creek 97,00 100,0 475 500 27,00 29,00
0 00 0 0
Hollister(2) 30,00 35,00 935 960 - -
0 0
Nevada Total 169,0 180,0 670 700 42,00 46,00
00 00 0 0
True North(3) 41,00 45,00 725 750 15,00 16,00
0 0 0 0
210,0 225,0 $680 $710 $57,0 $62,0
00 00 00 00
Low High
Corporate general and $15,0 $17,0
administrative 00 00
(thousands)
Hollister development $7,00 $9,00
and project costs 0 0
(thousands)
Regional exploration $3,00 $5,00
(thousands) 0 0
All-in costs per gold $1,07 $1,13
ounce 0 0
sold
(1)
(1) This is a non-GAAP measure; refer to the Non-GAAP
Performance
Measures
section of this Press Release for additional detail.
(2) Hollister is an exploration stage mineral property and as
such, production refers to the estimated quantities resulting
from the process of extracting mineralized materials from the
earth and treating that material in a
mill.
(3) Based on an estimated CDN:US dollar exchange rate of 0.75:1.
Klondex has not reconciled forward-looking 2017 full year non-GAAP performance measures contained in this press release to their most directly comparable GAAP measures, as permitted by Item 10(e)(1)(i)(B) of Regulation S-K. Such reconciliations would require unreasonable efforts at this time to estimate and quantify with a reasonable degree of certainty various necessary GAAP components, including for example those related to future production costs, realized sales prices and the timing of such sales, timing and amounts of capital expenditures, metal recoveries, and corporate general and administrative amounts and timing, or others that may arise during the year. These components and other factors could materially impact the amount of the future directly comparable GAAP measures, which may differ significantly from their non-GAAP counterparts.
Consolidated Financial Results of Operations
Three Year
months ended
ended December
December 31,
31,
2016 2016
Revenues $56,100 $198,175
Cost of sales
Production costs 35,708 106,389
Depreciation and depletion 9,128 28,242
Write-down of production inventories 2,869 2,869
8,395 60,675
Other operating expenses
General and administrative 4,368 15,804
Exploration 4,502 12,765
Development and projects costs 3,423 8,953
Asset retirement and accretion 1,898 2,653
Business acquisition costs 383 2,253
Provision for legal settlement 751 3,000
Loss on equipment disposal 17 126
Income from operations (6,947 ) 15,121
Other income (expense)
(Loss) gain on derivatives, net 7,932 (7,646 )
Interest expense, net (1,390 ) (5,339 )
Foreign currency gain, net 2,873 651
Loss on debt extinguishment (519 ) (519 )
Interest income and other, net (301 ) (244 )
Income before tax 1,648 2,024
Income tax (expense)/benefit 530 (3,724 )
Net (loss) income $2,178 $(1,700 )
Net (loss) income per share
Basic $0.02 $(0.01 )
Fourth quarter 2016
Fourth quarter Revenues reflect a quarterly high in terms of ounces sold, primarily due to higher tons mined at Fire Creek and Midas and commencing production at True North. Production costs and Depreciation and depletion also increased in the fourth quarter due to an increase in sales volumes. Write-down of production inventories in 2016 were recorded in the fourth quarter at Midas and True North due to lower period-end metal price levels and increases in production costs. Business acquisition costs were associated with the Hollister acquisition and Provision for legal settlement is related to litigation with a former employee.
Full year 2016
When compared to the prior year, 2016 Revenues increased as a result of increases in the number of gold ounces sold from higher tons mined at Fire Creek and Midas and commencing production at True North during the second half of 2016, the volumes of which were impacted by changes in average realized prices. Production costs and Depreciation and depletion increased from the prior period due primarily to an increase in sales volumes. General and administrative increased in 2016 due to increased staff levels at the corporate office, severance payments, and costs associated with our deferred share unit plan. Exploration spending was at Fire Creek and Midas while Development and projects costs were attributable to True North and Hollister.
Liquidity and Capital Resources
Three Year
months ended
ended December
December 31,
31, 2016
2016
Net (loss) income $2,178 $(1,700 )
Net non-cash adjustments 5,257 36,003
Net change in non-cash working capital 7,202 10,967
Net cash provided by operating activities 14,637 45,270
Net cash used in investing activities (98,061 ) (159,693 )
Net cash provided by financing activities 2,182 104,608
Effect of foreign exchange on cash balances (2,263 ) (1,646 )
Net decrease in cash (83,505 ) (11,461 )
Cash, beginning of period 131,141 59,097
Cash, end of period $47,636 $47,636
Fourth quarter 2016
Fourth quarter 2016 operating cash flows benefited from increases in ounce sales which were offset by lower average realized prices. The $98.1 million used in investing activities reflects the $80.0 million cash payment to complete the Hollister acquisition. Financing cash flows include the refinancing of the $12.0 million secured promissory note with a corresponding draw on the Revolver.
Full year 2016
During 2016 we generated $45.3 million of net operating cash flows which were positively impacted by higher production levels which increased the total cash margin from operations, offset by higher General and administrative, Exploration, and Development and projects costs. Cash used in investing activities included $100.0 million for acquisitions and $61.7 million for expenditures on mineral properties, plant and equipment. The issuance of share capital, which included a $95.7 million bought deal financing and option and warrant exercises, benefited our cash balances by $105.9 million and were slightly reduced for net debt borrowings and repayments.
Working capital and liquidity
We maintained our strong financial position and as of December 31, 2016, had total liquidity of $56.2 million, consisting of $33.2 million in working capital and $23.0 million of borrowing availability under our Revolver.
Fourth Quarter and Year To Date 2016 Summary Operational Results
Three months ended December 31, 2016
Mine operations Fire Midas Nevada True Total
Creek Total North
(1)
Ore tons milled 27,721 53,809 81,530 63,962 145,492
Average gold 1.07 0.32 0.58 0.14 0.38
equivalent mill
head grade
(
oz/ton)(2)
Average gold mill 1.06 0.21 0.50 0.14 0.34
head grade
(
oz/ton)
Average silver mill 0.80 7.87 5.46 - (3.06
head grade 4
( )
oz/ton)
Average gold 93.8 % 93.5 % 93.7 % 93.4 % 93.6 %
recovery rate
(%)
Average silver 84.4 % 83.9 % 84.0 % - %(84.0 %
recovery rate 4
(%) )
Gold equivalent 27,878 15,549 43,441 8,445 51,923
produced
(oz)(2)
Gold produced (oz) 27,613 10,537 38,150 8,433 46,583
Silver produced (oz) 18,729 355,317 374,046 853 374,899
Gold equivalent sold 27,347 13,318 40,680 7,028 47,745
(
oz)(2)(3)
Gold sold (oz) 27,035 8,354 35,389 7,016 42,405
Silver sold (oz) 22,103 351,946 374,049 853 374,902
Revenues and
realized
prices
Gold revenue (000s) $31,933 $9,903 $41,836 $7,993 $49,829
Silver revenue (000s) 369 5,888 6,257 14 6,271
Total revenues (000s) $32,302 $15,791 $48,093 $8,007 $56,100
Average realized $1,181 $1,185 $1,182 $1,139 $1,175
gold price
($/
oz)
Average realized $16.69 $16.73 $16.73 $16.41 $16.73
silver price
($/
oz)
Non-GAAP Measures
Production cash $474 $993 $644 $1,686 $797
costs per GEO
sold
(2)(3)
All-in costs per n/a n/a n/a n/a $1,458
gold ounce
sold
(3)
(1) Nevada Total includes Fire Creek and Midas.
(2) Gold equivalent measures are the gold measure plus the
silver measure divided by a GEO ratio. GEO ratios are computed
by dividing the average realized gold price per ounce by the
average realized silver price per ounce received by us in the
respective period and match the ratios used to determine the
production cash costs per GEO sold. Refer to the
Non-GAAP Performance Measures section of this Press Release for
additional
detail.
(3) This is a non-GAAP measure; refer to the Non-GAAP
Performance
Measures
section of this Press Release for additional detail.
(4) The Company does not track this silver statistic at True
North due to silver being immaterial to that
operation.
Year ended December 31, 2016
Mine Operations Fire Midas Nevada True Total
Creek Total North
(1)
Ore tons milled 120,553 190,982 311,535 95,710 407,245
Average gold 0.91 0.28 0.52 0.11 0.43
equivalent mill
head grade
(
oz/ton)(2)
Average gold mill 0.90 0.17 0.45 0.11 0.37
head grade
(
oz/ton)
Average silver mill 0.77 8.13 5.28 - (4.04
head grade 4
( )
oz/ton)
Average gold 93.6 % 93.9 % 93.7 % 92.7 % 93.6 %
recovery rate
(%)
Average silver 86.6 % 86.7 % 86.7 % - %(86.7 %
recovery rate 4
(%) )
Gold equivalent 102,383 48,623 151,007 10,199 161,289
produced
(oz)(2)
Gold produced (oz) 101,286 29,824 131,110 10,187 141,297
Silver produced (oz) 80,593 1,345,9 1,426,5 853 1,427,4
89 82 35
Gold equivalent sold 100,022 50,977 151,004 8,028 159,118
(
oz)(2)(3)
Gold sold (oz) 98,723 31,777 130,500 8,016 138,516
Silver sold (oz) 95,454 1,374,6 1,470,1 853 1,470,9
85 39 92
Revenues and
realized
prices
Gold revenue (000s) $123,40 $39,783 $163,18 $9,329 $172,51
3 6 5
Silver revenue (000s) 1,623 24,023 25,646 14 25,660
Total revenues (000s) $125,02 $63,806 $188,83 $9,343 $198,17
6 2 5
Average realized $1,250 $1,252 $1,250 $1,164 $1,245
gold price
($/
oz)
Average realized $17.00 $17.48 $17.44 $16.41 $17.44
silver price
($/
oz)
Non-GAAP Measures
Production cash $462 $981 $637 $1,552 $683
costs per GEO
sold
(2)(3)
All-in costs per n/a n/a n/a n/a $1,335
gold ounce
sold
(3)
(1) Nevada Total includes Fire Creek and Midas.
(2) Gold equivalent measures are the gold measure plus the
silver measure divided by a GEO ratio. GEO ratios are computed
by dividing the average realized gold price per ounce by the
average realized silver price per ounce received by us in the
respective period and match the ratios used to determine the
production cash costs per GEO sold. Refer to the
Non-GAAP Performance Measures section of this Press Release for
additional
detail.
(3) This is a non-GAAP measure; refer to the Non-GAAP
Performance
Measures
section of this Press Release for additional detail.
(4) The Company does not track this silver statistic at True
North due to silver being immaterial to that
operation.
Nevada operations
We achieved the full-year 2016 plan which entailed production growing from the first half to the second half of the year, as planned sequencing and ore development activities performed throughout the year contributed to quarter over quarter grade increases. As a result, consolidated gold equivalent mill head grades increased quarter over quarter in 2016 and were: 0.44 oz/ton in the first, 0.52 oz/ton in the second, 0.55 oz/ton in the third, and 0.57 oz/ton in the fourth. Production increased in 2016 to a record 151,007 GEOs. Full-year gold equivalent grades of 0.52 oz/ton in 2016 contributed to consistently low production cash costs per GEO of $637, resulting in a margin of $613 (or 49.0%) per ounce using average realized gold prices in 2016.
Canadian operations
We achieved True North's full-year 2016 plan which entailed production commencing in the third quarter from reprocessing tailings and increasing in the fourth quarter when stockpiled ore processing began. Actual production of 10,187 gold ounces was in the middle of our expected range of 8,000 - 12,000 gold ounces.
Webcast and Conference Call
Klondex will report its 2016 financial results after market close on Thursday, March 23, 2017. A conference call and webcast will be held the following morning on Friday, March 24, 2017 at 10:30 am ET/7:30 am PT. The conference call telephone numbers are listed below:
Canada & USA Toll Free Dial In: 1-800-319-4610
Toronto: +1 1-416-915-3239
International: +1-604-638-5340
Callers should dial in 5 to 10 minutes prior to the scheduled start time and ask to join the Klondex call. The presentation materials will be available on the Company's website and by webcast by clicking: http://services.choruscall.ca/links/klondex20170316.html.
About Klondex Mines Ltd. (www.klondexmines.com)
Klondex Mines Ltd. is a well-capitalized, junior-tier gold and silver mining company focused on mining, exploration, development, and production in a safe, environmentally responsible, and cost-effective manner. As of December 31, 2016, Klondex Mines Ltd. had 100% interests in three producing mines: (1) the Fire Creek mine and (2) the Midas mine and ore milling facility, both of which are located in the state of Nevada, USA, and (3) the True North gold mine and mill in Manitoba, Canada. The Company also has 100% interests in two recently acquired projects: (1) the Hollister mine and (2) the Aurora mine and ore milling facility, both of which are also located in Nevada, USA. During 2017 we expect our production to come from Fire Creek, Midas, and True North, and extracted from the Hollister Project under a bulk sampling program.
For More Information Contact:
John Seaberg
Senior Vice President, Investor Relations and Corporate Development
O: 775-284-5757
M: 303-668-7991
jseaberg(at)klondexmines.com
In Europe:
Swiss Resource Capital AG
Jochen Staiger
info(at)resource-capital.ch
Cautionary Note Regarding Forward-looking Information
This news release contains certain information that may constitute forward-looking information or forward-looking statements under applicable Canadian and United States securities legislation (collectively, forward-looking information), including but not limited to the Companys achievement of the full-year projections for ounce production and production costs, the Companys ability to meet annual operations estimates, and the Companys capital addition expenditures. This forward-looking information entails various risks and uncertainties that are based on current expectations, and actual results may differ materially from those contained in such information. These uncertainties and risks include, but are not limited to, the strength of the global economy; the price of gold; operational, funding and liquidity risks; the degree to which mineral resource estimates are reflective of actual mineral resources; the degree to which mineral reserve estimates are reflective of actual mineral reserves; the degree to which factors which would make a mineral deposit commercially viable are present; the risks and hazards associated with underground operations; and the ability of Klondex to fund its substantial capital requirements and operations. Risks and uncertainties about the Companys business are more fully discussed in the Companys disclosure materials filed with the securities regulatory authorities in Canada and United States available at www.sedar.com and www.sec.gov, respectively. Readers are urged to read these materials. Klondex assumes no obligation to update any forward-looking information or to update the reasons why actual results could differ from such information unless required by law.
Non-GAAP performance measures
We have included the non-GAAP measures "Production cash costs per gold equivalent ounce sold" and "All-in costs per gold ounce sold" in this press release (collectively, the "Non-GAAP Measures"). These Non-GAAP Measures are used internally to assess our operating and economic performance and to provide key performance information to management. We believe that these Non-GAAP Measures, in addition to conventional measures prepared in accordance with GAAP, provide investors with an improved ability to evaluate our performance and ability to generate cash flows required to fund our business. These Non-GAAP Measures are intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP. These Non-GAAP Measures do not have any standardized meaning prescribed under GAAP, and therefore may not be comparable to or consistent with measures used by other issuers or with amounts presented in our financial statements.
Our primary business is gold production and our future development and current operations primarily focus on maximizing returns from such gold production. As a result, our Non-GAAP Measures are calculated and disclosed on a per gold or gold equivalent ounce basis.
Production cash costs per gold equivalent ounce sold
Production cash costs per gold equivalent ounce sold presents our cash costs associated with the production of gold equivalent ounces and, as such, non-cash depreciation and depletion charges are excluded. Production cash costs per gold equivalent ounce sold is calculated on a per gold equivalent ounce sold basis, and includes all direct and indirect operating costs related to the physical activities of producing gold, including mining, processing, third-party refining expenses, on-site administrative and support costs, royalties, and cash portions of net realizable value write-downs on production-related inventories (State of Nevada net proceeds and other such taxes are excluded). We believe that converting the benefits from selling silver ounces into gold ounces is helpful to analysts and investors as it best represents the way we operate, which is to maximize returns from gold production. Gold equivalent ounces are computed as the number of silver ounces required to generate the revenue derived from the sale of one gold ounce, using average realized selling prices (in thousands, except ounces sold and per ounce amounts):
Three months ended December 31, 2016
Fire Midas Nevada True Total
Creek Total North
Average $1,181 $1,185 $1,182 $1,139 $1,175
realized
price per
gold ounce
sold
Average $16.69 $16.73 $16.73 $16.41 $16.73
realized
price per
silver ounce
sold
Silver ounces 70.8 70.9 70.7 69.4 70.2
equivalent to
revenue from
one gold
ounce
Silver ounces 22,103 351,946 374,049 853 374,902
sold
GEOs from 312 4,964 5,291 12 5,340
silver ounces
sold
Gold ounces 27,035 8,354 35,389 7,016 42,405
sold
Gold 27,347 13,318 40,680 7,028 47,745
equivalent
ounces
Production $12,961 $12,815 $25,776 $9,932 $35,708
costs
Add: - 405 405 1,918 2,323
Write-down of
production
inventories
(cash
portion)
$12,961 $13,220 $26,181 $11,850 $38,031
Production $474 $993 $644 $1,686 $797
cash costs
per GEO
sold
Year ended December 31, 2016
Fire Midas Nevada True Total
Creek Total North
(1)
Average $1,250 $1,252 $1,250 $1,164 $1,245
realized
price per
gold ounce
sold
Average $17.00 $17.48 $17.44 $16.41 $17.44
realized
price per
silver ounce
sold
Silver ounces 73.5 71.6 71.7 70.9 71.4
equivalent to
revenue from
one gold
ounce
Silver ounces 95,454 1,374,68 1,470,13 853 1,470,99
sold 5 9 2
GEOs from 1,299 19,200 20,504 12 20,602
silver ounces
sold
Gold ounces 98,723 31,777 130,500 8,016 138,516
sold
Gold 100,022 50,977 151,004 8,028 159,118
equivalent
ounces
Production $46,246 $49,599 $95,845 $10,544 $106,389
costs
Add: - 405 405 1,918 2,323
Write-down of
production
inventories
(cash
portion)
$46,246 $50,004 $96,250 $12,462 $108,712
Production $462 $981 $637 $1,552 $683
cash costs
per GEO
sold
(1) Nevada Total includes Fire Creek and Midas.
All-in costs per gold ounce sold
Our calculation of all-in costs per gold ounce sold is consistent with the June 2013 guidance released by the World Gold Council, a non-regulatory, non-profit market development organization for the gold industry. All-in costs per gold ounce sold reflect the varying costs of producing gold over the life-cycle of a mine or project, including costs required to discover and develop new sources of production; therefore, capital amounts related to expansion and growth projects are included.
All-in costs per gold ounce sold includes all: (1) direct and indirect operating cash costs related to the physical activities of producing gold, including mining, processing, third-party refining expenses, on-site administrative and support costs, royalties, and cash portions of net realizable value write-downs on production-related inventories (2) general and administrative expenses, (3) asset retirement and accretion expenses, and (4) capital expenditures, the total of which is reduced for revenues earned from silver sales. Certain cash expenditures, including State of Nevada net proceeds and other related taxes, federal tax payments, and financing costs are excluded (in thousands, except ounces sold and per ounce amounts):
Three months ended December
31,
2016
Nevada True Hollist Total
Total North er,
(1) Aurora
, and
Corpor
ate
Production costs $25,776 $9,932 $- $35,708
Add: Write-down of production 405 1,918 - 2,323
inventories (cash
portion)
26,181 11,850 - 38,031
General and administrative 4,368
Exploration 4,502
Development and projects costs 3,423
Asset retirement and accretion 1,898
Expenditures on mineral 15,874
properties, plant and
equipment
Less: silver revenue (6,271)
All-in costs 61,825
Gold ounces sold 35,389 7,016 - 42,405
All-in costs per gold ounce sold $1,458
(1) Nevada Total includes Fire Creek and Midas.
Year ended December 31, 2016
Nevada True Hollist Total
Total North er,
(1) Aurora
, and
Corpor
ate
Production costs $95,845 $10,544 $- $106,38
9
Add: Write-down of production 405 1,918 - 2,323
inventories (cash
portion)
96,250 12,462 - 108,71
2
General and administrative 15,804
Exploration 12,765
Development and projects costs 8,953
Asset retirement and accretion 2,653
Expenditures on mineral 61,716
properties, plant and
equipment
Less: silver revenue (25,66)
0
All-in costs 184,94
3
Gold ounces sold 130,50 8,016 - 138,51
0 6
All-in costs per gold ounce sold $1,335
(1) Nevada Total includes Fire Creek and Midas.
Leseranfragen:
Klondex konzentriert sich auf die Exploration, Entwicklung und Produktion auf seinen zwei qualitativ hochwertigen Gold- und Silberprojekten im bergbaufreundlichen Gerichtsbezirk von Nord-Zentral-Nevada.
Datum: 24.03.2017 - 19:46 Uhr
Sprache: Deutsch
News-ID 532353
Anzahl Zeichen: 38842
contact information:
Town:
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Kategorie:
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"
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