Business
Hycroft Mining Files Annual Report on Form 10-K for Year Ended December 31, 2021
WINNEMUCCA, Nev., March 31, 2022 /PRNewswire/ -- Hycroft Mining Holding Corporation (Nasdaq: HYMC) ("Hycroft" or the "Company"), a development company
About this update from Hycroft Mining Holding Corporation
[{"type":"text","content":"WINNEMUCCA, Nev., March 31, 2022 /PRNewswire/ -- Hycroft Mining Holding Corporation (Nasdaq: HYMC) (\"Hycroft\" or the \"Company\"), a development company operating the Hycroft Mine in the prolific mining region of Northern Nevada, filed its Form 10-K for the year ended December 31, 2021.\n\n \n \n \n \n \n \n\n \n2021 Financial Highlights\nProduction: As previously announced, gold production for the year ended December 31, 2021, of 57,668 ounces exceeded the high end of the guidance range as the process team continued to improve equipment, process control and costs. Silver production of 355,967 ounces was approximately 20% below guidance due to slower than planned leach kinetics. Processing of ore on leach pads is currently planned to proceed through the second quarter of 2022.Sales: Sales for the year ended December 31, 2021 were 56,045 ounces of gold (average realized price of $1,794 per ounce) and 397,546 ounces of silver (average realized price of $25.66 per ounce).Unrestricted Cash Position: The Company ended 2021 with $12.3 million of cash on hand and was in compliance with debt covenantsNet Loss and Cash Used: Due to high operating costs relative to the associated gold equivalent production and sales volumes and ceasing of mining operations in November, 2021, the Company recorded a net loss of $88.6 million for the year ended December 31, 2022. Due to the losses from operations, the Company ceased mining activities and is now focused on completing its technical studies and exploration to develop the Hycroft mine through a milling and pressure oxidation process. The $44.0 million reduction in unrestricted cash since the beginning of the year was primarily due to cash used for operating activities of $37.0 million, cash used for investing activities of $6.9 million, cash used for financing activities of $5.5 million, and a $5.4 million reduction in restricted cash.Subsequent Events:\nThe Company completed several financing transactions to significantly strengthen its balance sheet, including:Private placement: The Company completed a private placement with Eric Sprott and AMC Theaters for total gross proceeds of $55.9 million.At-the-market program: The Company completed an at-the-market equity offering program for gross proceeds of $138.6 million, before deduction of fees and costs.Reduced debt service requirements and ext...