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Aurcana Corp widens Q1 loss on weak prices

Aurcana Corp widens Q1 loss on weak prices

Photo by Bloomberg

30th May 2014

By: Henry Lazenby

Creamer Media Deputy Editor: North America

  

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TORONTO (miningweekly.com) – Toronto Venture Exchange-listed Aurcana Corp on Friday reported a wider net loss for the three months ended March 31, mainly impacted by 35% lower prices, when compared with the first quarter of 2013, for the silver, copper and zinc it sold.

The Vancouver-based company on Friday reported earnings from mining operations of $3.4-million, compared with $4.8-million, a loss before taxes of $3.5-million, compared with $1.5-million, and a comprehensive loss of $2.6-million, as opposed to a loss of $1 000 in the same quarter of 2013.

Revenues rose 2% to $13-million in the period from $12.8-million, boosted by a 55% increase in silver-equivalent ounces produced at 919 989 oz, compared with 593 017 oz.

Aurcana sold 798 788 oz in the quarter, up from 506 939 oz sold in the same period last year.

The company achieved a 39% increase in throughput from the La Negra mill, to more than 3 000 t/d in the quarter, as it exclusively focused on the Mexican mine, having placed its Texas-based Shafter mine on care and maintenance in December as a result of the low silver-price environment.

Total cash cost per silver ounce, net of by-products, decreased 30% to $6.22, compared with $8.82/oz in the same period last year, owing to the economies of scale of increased production. 

The company’s TSX-V-listed stock closed down 1.64% on Friday, having shed almost 56% of its value in the last six months.

Edited by Creamer Media Reporter

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