Business
Wesdome earns $32.2 million in 2009
Wesdome earns $32.2 million in 2009
About this update from Wesdome Gold Mines Ltd.
[{"type":"text","content":"\n\n\n\nTORONTO, Mar. 19, 2010 (Canada NewsWire Group) -- /CNW/ -- Wesdome Gold Mines Ltd (WDO: TSX) (\"Wesdome\" or the \"Company\") is pleased to report its financial and operating results from its Canadian operations for the year ended December 31, 2009. This information should be read in conjunction with the Company's annual financial statements, notes to the financial statements and Management's Discussion and Analysis. All figures are in Canadian dollars unless otherwise specified.The Company owns the Eagle River gold mining operation in Wawa, Ontario and the Kiena mining complex in Val d'Or, Quebec. The Eagle River mine commenced commercial production on January 1, 1996, and the Kiena mine on August 1, 2006.HIGHLIGHTS- Production totals 96,152 ounces- Earnings rise to $32.2 million or $0.32 per share- Revenues rise to $103.5 million- Cash flow from operations rises to $41.3 million or $0.41 per share- Cash flow after capital spending rises to $22.1 million- Cash and bullion at market at year-end increases to $39.9 million- Total reserves increase net of depletion- Bullion inventory grows to 14,032 ouncesDonovan Pollitt, CEO comments \"This year's strong financial results clearly demonstrate the Company's leverage to higher gold prices, the quality of our gold deposits and the commitment of our miners. We see our strong free cash flow in 2009 giving us flexibility to evaluate potential growth opportunities in 2010.\"OVERALL PERFORMANCEThe Company owns and operates the Eagle River gold mining operations in Wawa, Ontario and the Kiena Mine Complex in Val d'Or, Quebec. The Eagle River mine commenced commercial production January 1, 1996 and the Kiena mine August 1, 2006.At December 31, 2009, the Company had working capital of $35.2 million. During the year ended December 31, 2009, revenue exceeded operating costs by $45.3 million and $14.2 million was invested in exploration and development, $0.8 million on the acquisition of exploration properties and $4.2 million in capital equipment. Cash flow from operations totalled $41.3 million before working capital adjustments and net income was $32.2 million or $0.32 per share in 2009.The improved financial performance was driven by three key factors:1) Increased gold sales (92,700 ounces vs. 86,100 ounces in 2008)2) Increased gold prices realized ($1,113 per ounce vs. $931 per ounc...