TSX- and NYSE-listed Pretium Resources (Pretium) has initiated a search for a new director to replace executive chairperson and founding shareholder Robert Quartermain, who will be retiring on December 31.
The company, which owns the Brucejack mine, in British Columbia, would elect a new chairperson prior to year-end, it said in an announcement on Thursday, while also announcing its first-quarter results.
Pretium reported a profitable quarter from the Brucejack mine, which generated revenue of $103.1-million on 81 434 oz of gold sold. The mine produced 79 180 oz of gold in the three months ended March – a 5% increase on the same quarter of last year.
The mine’s total cash cost reduced sharply to $686/oz, from $841/oz a year earlier, resulting in an average realised cash margin of $571/oz.
The all-in sustaining costs was $868/oz, compared with $1 009/oz, and was in the 2019 guidance range of $775/oz to $875/oz.
Pretium turned a profit in the first three months of the year with earnings of $4.2-million, or $0.02 a share, compared with a loss of $8.1-million in the first quarter of 2018. Adjusted earnings were $16.5-million.
Brucejack generated almost $40-million in cash from operations, which enabled the company to pay down $20-million of debt ahead of schedule.
“We made significant progress in the quarter towards achieving our 3 800 t/d production rate target at Brucejack and with increased accessibility from continued underground development, we have established a solid foundation for operating effectively at our higher target rate. Both grade and tonnes are expected to be higher in the second half of the year and we remain on track to achieve 2019 guidance,” commented president and CEO Joseph Ovsenek.
Pretium’s guidance for 2019 is 390 000 oz to 420 000 oz of gold.