The TSX-listed stock of Jaguar Mining on Wednesday fell by 25% after the Brazil-focused company released its second quarter results announcement, which contained a revised production guidance and news that Rodney Lamond is leaving his position as CEO and director.
Jaguar lowered its production guidance from between 90 000 oz and 105 000 oz, to a range of 80 000 oz to 85 000 oz and warned that its Turmalina operation’s 2018 output would be lower than initially thought.
In the second quarter, Jaguar produced 18 819 oz at an all-in sustaining cost of $1 277/oz and generated revenue of $22.89-million. The miner posted a net loss of $1.33-million, which is an improvement on the net loss of $3.32-million a year earlier.
Adjusted earnings before interest, taxes, depreciation and amortisation amounted to $4.26-million, compared with $3.71-million in the prior-year period.
At the end of June, Jaguar had $9.2-million in cash, compared with $18.6-million a year earlier.
Meanwhile, Jaguar announced that it would start a search for a new CEO, following Lamond’s departure.
He was replaced on an interim basis by board member and mining engineer Benjamin Guenther, who formerly held senior management positions at AngloGold Ashanti.
Jaguar’s shares fell to C$0.20 a share just before 10:00 in Toronto, down 25% on the previous day’s closing price of C$0.27 a share.