Lake Shore Gold Corp. Announces Consolidated Earnings and Operating Results for the First Quarter Ended March 31, 2015; Provides Earnings Guidance for the Fiscal 2015
Apr 29 15
Lake Shore Gold Corp. announced consolidated earnings and operating results for the first quarter ended March 31, 2015. For the first quarter, the company recorded revenues of $79.1 million against $61.46 million a year ago. Earnings from mine operations were $23.345 million against $14.289 million a year ago. Net earnings were $12.066 million against $4.587 million a year ago. Basic net income per share was $0.03 against $0.01 a year ago. Cash flows from operating activities was $35.855 million against $24.928 million a year ago. Cash earnings from mine operations were $45.832 million against $31.881 million a year ago. Adjusted net earnings were $11.102 million against $5.463 million a year ago. Adjusted net earnings per share were $0.03 against $0.01 a year ago.
For the first quarter, the company reported tonnes milled were 299,900 against 283,800 a year ago. Grade was 5.7 against 5.1 a year ago. Average mill recoveries were 96.7% against 96.6% a year ago. Ounces recovered were 53,000 against 44,600 a year ago. Ounces poured were 52,000 against 45,700 a year ago. Ounces sold were 52,600 against 43,000 a year ago. Average price was $1,219 per oz against $1,294 per oz a year ago. Average price was $1,504 per oz against $1,430 per oz a year ago.
Following completion of first quarter of 2015, the company is well positioned to achieve its 2015 production and cost targets and to finance its operating, capital investment and debt repayment and servicing requirements over the balance of the year. Ounces produced was 170,000 - 180,000, cash operating costs was $650 - $700 per oz, all-in sustaining costs was $950 - $1,000 per oz and total production costs was $125.0 million.
Lake Shore Gold Continues to Intersect Significant Gold Mineralization at 144 Gap Zone, Extends Zone Along Strike and Towards Surface
Apr 27 15
Lake Shore Gold Corp. announced results from an additional 22 drill holes and five wedge holes, involving 29,089 metres of drilling, at the company's 144 Exploration Area. 144 is located immediately southwest of the Timmins West Mine Thunder Creek Deposit and covers about 4.0 kilometres of the same volcanic/ultramafic, intrusive/sedimentary contact that hosts both Thunder Creek and Timmins Deposit. The current drill program, launched in August 2014, is largely focused on the area immediately adjacent to Thunder Creek, where a new discovery was announced in October 2014. Six holes and three wedge holes (Hwy-15-90, 91, 94, 97, 98, 102, 48W2, 52W1 and 52W2) tested near the current western limit of the 144 Gap Zone. Results from the holes confirm the presence of a wide, high-grade core and expand both the Zone and the high-grade core by a minimum of 50 m westwards. Significant new intercepts being reported include: 5.74 gpt over 55.0 m, including 11.79 gpt over 21.1 m, 4.87 gpt over 22.3 m and 6.52 gpt over 4.4 m from Hwy-14-48W2, 8.14 gpt over 15.10 m, 3.28 gpt over 44.0 m from Hwy-14-52W2, 8.40 gpt over 9.0 m and 3.63 gpt over 8.5 m from Hwy-15-94 and 4.75 gpt over 10.2 m, 4.11 gpt over 9.0 m, 3.93 gpt over 8.5 m, 10.30 gpt over 2.0 m and 13.46 gpt over 2.3 m from Hwy-15-90. An additional six holes and one wedge hole (Hwy-15-87, 95, 99, 100, 105, 106 and 87W1) from the new program were drilled to test mineralization near the previous upper limit of mineralization and extended the zone by a minimum of 50 m up dip of previous results to within 600 m of surface. Key intercepts include: 8.81 gpt over 8.2 m, 15.95 gpt over 4.9 m and 5.09 gpt over 17.5 m from Hwy-15-106, 7.94 gpt over 8.60 m, 6.23 gpt over 11.2 m and 4.70 gpt over 6.6 m from Hwy-15-87W1, 7.74 gpt over 4.0 m, 3.63 gpt over 14.5 m, 30.91 gpt over 2.3 m and 3.11 gpt over 31.0 m from Hwy-15-87, 4.76 gpt over 7.0 m from Hwy-15-95 and 7.95 gpt over 2.9 m and 9.10 gpt over 2.60 m in Hwy-15-99. Ten holes and one wedge hole (Hwy-15-83, 85, 86, 88, 89, 92, 93, 96, 101, 103 and 63W1) were drilled towards untested gaps located to the northeast of the thick, high-grade core and encountered several new zones. Among significant results were 5.40 gpt over 12.9 m and 4.02 gpt over 5.6 m in Hwy-15-89, 8.83 gpt over 6.1 m and 5.0 gpt over 4.4 m from Hwy-15-83, 3.39 gpt over 15.9 m and 9.24 gpt over 3.7 m in Hwy-15-88 and 5.28 gpt over 5.0 m from Hwy-15-103. Recent interpretations continue to suggest that the mineralization at 144 Gap is contained within a broad zone of hydrothermal alteration and deformation measuring up to 100 m wide and closely associated with syenite intrusions, quartz veining, pyrite, scheelite and/or galena and multiple occurrences of visible gold. Some of the best mineralization identified to date is contained in a thick, high-grade core located near the current west limit of drilling. As a result of the new drill results, the minimum dimensions of the 144 Gap Zone have been extended to 400 m of vertical height and 400 m of strike length. Minimum dimensions for the thick, high-grade core are estimated at 300 m in vertical height, 50 to 125 m in width and 75 to 125 m in strike length. The overall mineralized system is interpreted to have a moderate to steep easterly plunge. Holes Hwy-15-91, 97, 98 and 102 are believed to have passed below the lower plunge limit for the thick, high-grade core zone and Hwy-15-85, 86, 92, 93, 105 and 63W1 passed above the upper plunge limit. Hwy-15-96 and 101 intersected a thick diabase dike at the projected zone location.