McEwen sinks to quarterly loss
JOHANNESBURG (miningweekly.com) – Precious metals producer McEwen Mining has reported a first-quarter loss of $3-million, or $0.01 a share, compared with net income of $13-million in same period of 2016.
The net loss was mainly the result of a $6.4-million increase in gold and silver sales from the El Gallo mine, in Mexico, and a $6.7-million increase in exploration costs relating to a drilling campaign at Los Azules, in Argentina, the Colorado-incorporated miner reported on Thursday.
McEwen spent $6.3-million at the Los Azules project on a combination of infill and exploration drilling, the results of which will be finalised in the second half of the year.
Consolidated gold equivalent production decreased to 29 733 oz, consisting of 9 808 gold equivalent ounces from the El Gallo mine and 19 925 gold equivalent ounces attributable to the company from its 49% interest in the San José mine, in Argentina. This compares with gold-equivalent production of 37 958 oz in the first quarter of 2016.
At El Gallo, total cash costs increased to $564/oz of gold equivalent, from $432/oz, while all-in sustaining costs (AISC) increased to $668/oz of gold equivalent, from $532/oz in the first quarter of 2016.
Costs also rose at San José, with total costs increasing to $915/oz of gold equivalent, from $762/oz, and AISC increasing to $1 165/oz, from $936/oz in the first quarter of 2016.
McEwen expects to deliver consolidated production of 144 000 gold-equivalent ounces in 2017, comprising 49 700 oz of gold and 24 000 oz of silver from the El Gallo mine, and 50 000 oz of gold and 3.3-million ounces of silver from the San José mine.
For 2017, total cash costs and AISC at the El Gallo mine are forecast to be $760/oz and $900/oz of gold equivalent, respectively. Total cash costs and AISC at the San José mine are forecast at $780/oz and $990/oz of gold equivalent, respectively.
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation