Business
Uruguay Mineral Exploration Inc Announces Results for the Quarter and Six Months Ended November 30, 2006
Uruguay Mineral Exploration Inc Announces Results for the Quarter and Six Months Ended November 30, 2006.
About this update from Orosur Mining Inc.
[{"type":"text","content":"\n\n\n\nLONDON, January 11 /CNW/ - Uruguay Mineral Exploration Inc (TSX\nVENTURE:UME):\n\n\nSummary of Results\n\n\n-- Gold production was 20,059 ounces for the second quarter with half\nyear production of 39,234 ounces, consistent with the revised target of 39,000\nstated in the Company's November 7, 2006 press release. Production for\nDecember was 9,250 ounces; consistent with the Company's reforecast of 95,000\nounces for the full year.\n\n\n-- Cash costs were $US 345 per ounce for the second quarter and $US 340\nfor the first half compared to $US 182 and $US 197 for the corresponding\nquarter and half of the prior financial year. The increase in costs comes from\nlower production, a higher strip ratio and unit cost increases.\n\n\n-- Net profit after tax for the second quarter was $ 1,751,000 or $\n0.036 basic earnings per share with half year net profit of $ 4,318,000 or $0\n.090 basic earnings per share.\n\n\n-- Cash flow from operations before non-cash working capital movements\nwas $ 3,677,000 for the second quarter and $ 7,180,000 for the first half.\n\n\n-- The higher average realized gold price for the second quarter of $\n565 per ounce resulted in increased sales of $ 12,433,000 when compared to the\nsecond quarter of the prior financial year, with an average sales price of $\n456 per ounce and sales of $ 11,326,000.\n\n\n-- An interim dividend of C$2.0 cents per share will be paid in April\n2007.\n\n\nTony Shearer, Chairman commented: \"The Board believes that Uruguay is a\nhighly prospective country and today we have a team with the right skills and\nthe right attitudes. The period June to September has been one of significant\nchange and we have brought together a strong Management team under our new\nChief Executive David Fowler with two new external recruits, respectively as\nVP of Exploration and CFO, and an internal promotion to VP of Operations. This\nnew team has had little time to make an impact on reserves and resources as at\n1st November, 2006. They have focused their effort on completing new estimates\nof Measured and Indicated resources using independent consultants. The\ndecision to appoint independent consultants was taken by the new management\nteam in July and has led to more conservative assumptions with an overall\nreduction in total stated reserves and resources. In the half year the new\nManage...