Business
Wesdome Q3 Results - Production and Bullion Inventory Build
Wesdome Q3 Results - Production and Bullion Inventory Build
About this update from Wesdome Gold Mines Ltd.
[{"type":"text","content":"\n\n\n\nNov. 12, 2009 (Canada NewsWire Group) -- TORONTO, Nov. 12 /CNW/ -- Wesdome Gold Mines Ltd (WDO: TSX) (\"Wesdome\" or the \"Company\") is pleased to report its unaudited financial and operating results from its Canadian operations for the third quarter ended September 30, 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- Q3 production of 26,566 ounces- Q3 sales of 20,000 ounces- Bullion inventory rises 64% to 16,838 ounces- Cash, bullion receivables and gold bullion at market valueSeptember 30, 2009, grows to $36.3 million from $29.7 million atJune 30, 2009- Q3 earnings $3.6 million or $0.04 per share- Q3 cash flow from operations $7.3 million or $0.07 per share- YTD earnings $19.0 million or $0.19 per share- YTD cash flow from operations $29.1 million or $0.29 per share- YTD production totals 75,000 ounces- Production guidance increased to over 90,000 ounces- YTD sales total 68,700 ounces at $1,095 per ounce or $75.2 millionRolly Uloth, CEO, comments \"We produced 26,600 ounces during the third quarter and sold 20,000 ounces. The increase in bullion inventory puts us in an advantageous position to benefit from current higher prices.\"OVERALL PERFORMANCEAt September 30, 2009, the Company had working capital of $27.5 million. During the first nine months of 2009, revenue exceeded operating costs by $32.0 million and $10.0 million was invested in exploration and development, $0.8 million on the acquisition of exploration properties and $1.1 million in capital equipment. Cash flow from operations totalled $29.1 million before working capital adjustments and net income was $19.0 million or $0.19 per share in the first nine months of 2009.Operating costs per ounce sold in the first nine months was $628Cdn or $538US applying a 0.856 Cdn/US exchange rate.In the first nine months, production exceeded 2008 levels by 12%, realized gold prices increased 20% and costs remained stable. For the first nine mont...