Business
Amerigo Resources Reports Q3-2020 Financial Results
$10.7 million cash generated from operations in the quarter Quarterly net income of $5.4 million ($0.03 EPS) Ending cash of $10.5 million after debt service of
About this update from Amerigo Resources Ltd
[{"type":"text","content":" $10.7 million cash generated from operations in the quarter Quarterly net income of $5.4 million ($0.03 EPS) Ending cash of $10.5 million after debt service of $6.1 million in the quarter Amounts in this news release are reported in U.S. dollars except where indicated otherwise. VANCOUVER, British Columbia, Nov. 04, 2020 (GLOBE NEWSWIRE) -- November 4, 2020 - Amerigo Resources Ltd. (TSX: ARG) (“Amerigo” or the “Company”) is pleased to announce financial results for the quarter ended September 30, 2020 (“Q3-2020”). During Q3-2020, net income was $5.4 million (Q3-2019: net loss of $2.1 million) due to stronger revenue from higher copper prices and $5.9 million in positive revenue settlement adjustments, and from reduced tolling and production costs at MVC (Minera Valle Central, the Company’s 100% owned operation located near Rancagua, Chile). Earnings per share in Q3-2020 were $0.03 (Q3-2019: loss per share of $0.01). The Company generated $10.7 million in operating cash flow before changes in non-cash working capital (Q3-2019: $3.0 million). Quarterly net operating cash flow was $15.4 million (Q3-2019: $1.3 million). MVC produced 14.7 million pounds of copper during Q3-2020 (Q3-2019: 19.1 million pounds) at a cash cost of $1.80 /lb (Q3-2019: $1.56/lb) Q3-2020 production of 14.7 million pounds of copper (Q3-2019: 19.1 million pounds) included 8.0 million pounds from historical tailings (“Cauquenes”) (Q3-2019: 11.1 million pounds) and 6.7 million pounds from fresh tailings (Q3-2019: 5.0 million pounds). In Q3-2019 the Company also produced 3.0 million pounds from slag processing. The main factors affecting production in Q3-2020 compared to Q3-2019 were the absence of slag processing and 13 Cauquenes lost days of production in July due to strong rainfall. Molybdenum production during the quarter was 0.4 million pounds (Q3-2019: 0.5 million pounds). Cash cost (a non-GAAP measure equal to the aggregate of smelting and refining charges, tolling/production costs net of inventory adjustments and administration costs, net of by-product credits was $1.80/lb (Q3-2019: $1.56/lb) an increase of $0.24/lb coming mostly from a decrease of $0.22/lb in by-product credits. By-product credits were higher in Q3-2019 due to stronger molybdenum prices and production, and from slag processing. Total cost (a non-GAAP measure equal to the aggregate ...