Business
Gold Resource Reports Third Quarter Operational Results and Announces the Initiation of a Review to Evaluate Strategic Alternatives
DENVER / Nov 06, 2023 / Business Wire / Gold Resource Corporation (NYSE American: GORO) (the “Company”) is pleased to announce its year-to-date and quarterly op
About this update from Gold Resource Corporation
[{"type":"text","content":"DENVER / Nov 06, 2023 / Business Wire / Gold Resource Corporation (NYSE American: GORO) (the “Company”) is pleased to announce its year-to-date and quarterly operational results from its Don David Gold Mine (DDGM) near Oaxaca, Mexico, and a corporate update on its other activities. Year-to-Date Highlights Include: Produced and sold 14,777 ounces of gold and 777,977 ounces of silver Produced and sold 8,772 tonnes of zinc, 904 tonnes of copper, and 3,681 tonnes of lead Total cash cost after co-product credits for the quarter was $1,839 per gold equivalent ounce Cash balance of $6.7 million with no debt and working capital of $13.8 million at September 30, 2023 Completed Back Forty Optimization Study that indicates after-Tax: a $214 million NPV6% with a 25.7% IRR and a 2.5 year payback “Our quarterly operational results to date continue to remain in line with our 2023 mine plan and guidance even though our financial results continue to be lower than planned,” stated Allen Palmiere, President and CEO for the Company. “Factors that are out of our control continue to affect our bottom line, including a strengthening Mexican Peso to the US dollar, increased local power costs, and lower metal prices for our co-product metals of copper, lead, and zinc. We continue to identify and implement opportunities for cost reductions and other operational efficiencies to offset these factors. Our exploration drilling program at DDGM continues to yield encouraging drill results from our underground exploration program with the goal of increasing the average grade of our 2024 mine plan and life of mine resources. Earlier in 2023, we filed our inaugural Environmental, Social, and Governance report, and we are seeing very positive reception from the local communities and government. We were also very successful this quarter in completing the optimization work around the Back Forty project and filing an S-K 1300 that resulted in a more robust project with an improved project valuation and increased economic returns, while reducing environment impacts.” Review of Strategic Alternatives Notwithstanding the technical successes noted above, in light of the continued challenges facing the Company, the Company’s Board of Directors has decided to initiate a formal review process, with the assistance of outside financial and legal advisors, to evaluate strategi...