Dynacor Gold Mines Inc. Announces Audited Consolidated Earnings and Production Results for the Fourth Quarter and Full Year Ended December 31, 2014; Provides Production Guidance for the Full Year of 2015
Mar 30 15
Dynacor Gold Mines Inc. announced audited consolidated earnings and production results for the fourth quarter and full year ended December 31, 2014. During the fourth quarter ended December 31, 2014, the Corporation recorded net income of $1.4 million or $0.04 per share compared to $1.8 million or $0.06 per share in 2013; During the quarter, a total of 21,062 DMT of ore was processed producing 19,923 ounces of gold (including an all-time record monthly production of 7,179 ounces of gold in December) compared to 20,567 DMT processed and 19,221 ounces in 2013. This increase production is explained by greater volume throughput at the mill. During the quarter, average daily production rate was 245 tpd compared to 237 tpd in 2013. Total sales during the period amounted to $25.1 million compared to $24.8 million in 2013 a 1% increase explained by higher volume of material processed and lower gold market price compared to 2013.
For the year ended December 31, 2014, the Corporation recorded a net income of $6.1 million or $0.17 per share compared to $9.1 million or $0.25 per share in 2013 (which was a record breaking year in terms of production and sales), a 33.3% decrease due to lower sales caused by the temporary stoppage of operations in first quarter of 2014 which led to a lower production volume and a lower average gold price. EBITDA of $12.3 million compared to $15.4 million in 2013, a decrease of $3.1 million or 20.1%. Sales was $88,166,000 compared with $112,127,000 for the same period a year ago. Operating income was $11,210,000 compared with $14,819,000 for the same period a year ago. Cash flow from operating activities was $10,009,000 compared with $12,518,000 for the same period a year ago. Following a record year in 2013 where the Corporation had produced 76,883 ounces of gold and generated sales of $112.1 million, Dynacor produced 68,923 ounces of gold in 2014, just short of its 2014 gold production guidance of 70,000 ounces. This decrease, as explained above, is mainly due to reduced volume of operation during the first
quarter. During the year the Corporation invested $1.9 million compared with $3.7 million in 2013, for the acquisition of property, plant and equipment to be used at the current Huanca plant and for the preparation of construction at Chala. Additions to exploration and evaluation assets during the year amounted to $1.9 million compared with $2.3 million in 2013, as the Corporation concentrated its effort on infrastructure and basic exploration to prepare for intensive work at Tumipampa in 2015.
In January 2015, the Corporation announced its 2015 production guidance of 75,000 and 80,000 ounces of gold. An exceptionally long and heavy rainy season is affecting parts of Peru and will have an impact on the Corporation's first quarter gold production. Management expects production to steadily increase after the rainy season and for the rest of 2015.
Dynacor Gold Mines Inc. to Report Fiscal Year 2014 Results on Mar 27, 2015
Mar 25 15
Dynacor Gold Mines Inc. announced that they will report fiscal year 2014 results on Mar 27, 2015
Dynacor Gold Mines Obtains Final Construction Permit for its New Gold Ore-Processing Plant in Chala
Mar 18 15
Dynacor Gold Mines Inc. announced it has just obtained the construction permit for its new gold ore processing plant in Chala (Southern Peru). The construction permit has been issued by the Ministry of Energy and Mines (MEM) in Lima which regulates medium and large scale (capacity greater than 350 tpd) mining operations throughout Peru. The Company is currently commissioning the best construction companies with the required experience and track record. The new plant will have an initial ore processing capacity of 300-tpd (102,000 t/y). The Chala plant has been designed to be readily expanded to 450-tpd (153,000 t/y) and then to 600-tpd (204,000 t/y) by adding additional processing lines and ball mills. The Chala facility will be built on a 135-hectare site that is part of a 200-hectare mining concession which was purchased by Dynacor in March 2011. This concession is located in the Department of Arequipa, District of Chala, in the heart of one of the most productive gold mining regions of Peru. The total construction cost has been estimated at 10-million USD and will be entirely financed internally. Dynacor expects to process in excess of 102,000 tonnes of purchase ore per year at its new facility in Chala, compared to a processing capacity of 85,000 t/y in Huanca.