Business
San Gold Reports 2014 Second Quarter Results
San Gold Reports 2014 Second Quarter Results.
About this update from San Gold Corporation
[{"type":"text","content":"\n \n \n San Gold Reports 2014 Second Quarter Results\n \n \nSan Gold Reports 2014 Second Quarter Results\n\n(All amounts in Canadian dollars unless otherwise stated)\n\n \n WINNIPEG, MANITOBA--(Marketwired - Aug 11, 2014) - San Gold Corporation (TSX:SGR)(OTCQX:SGRCF) today reported 2014 second quarter financial and operating results.\n During the quarter, the Company produced 11,375 ounces of gold and recognized a quarterly loss from operations of $4.2 million and a total and comprehensive loss of $8.5 million. Exploration expenses decreased by $5.6 million and depletion expense decreased by $3.0 million. Additionally, capital expenditures were reduced by $8.6 million or 51% compared with Q2 2013. These savings were offset by a total reduction in revenues of $10.4 million or 34% compared with last year.\n The Company implemented a number of new operating principles during the quarter, including stricter grade control, better cost control, reduced capital expenditures and lower overall overheads. A new mine plan was also developed that optimizes the mining rate to better match the geometry of the Rice Lake ore bodies. Accordingly, 2014 production guidance has been updated to between 50,000 and 55,000 ounces of gold. Cost savings associated with this new production target are expected to result in a significant reduction in cash costs through the remainder of the year, achieving cash costs by year end of between $700 and $800.\n \"The Company has made tremendous progress in reshaping itself over the past four months. We have a new mine plan in place that provides us with clear, achievable targets and a direct path to profitability. We also have a significant opportunity ahead of us, with multiple high- grade gold projects in mining friendly jurisdictions in need of this kind of turnaround. The Kerr transaction in particular would allow us to leverage the knowledge and skills already developed at Rice Lake to restart the high-grade Copperstone mine with little capital requirements,\" said Greg Gibson, San Gold's Chief Executive Officer.\n 2014 Second Quarter Highlights:\n \n \n Completed a comprehensive overhaul of mine site operations and implemented a revised mine plan.\n Achieved a mill head grade of 4.18 grams per tonne - a 14% improvement from Q1 2014.\n Produced 11,375 ounces of gold.\n Milled ore at a throughput of 1,273 to...