SAS 2014 First Quarter Results Indicate Mixed Results

St. Andrews Goldfields Q1 report indicates the company experienced its eighth consecutive quarter of positive cash flow, but also a net loss was $1.9 million, compared to adjusted net earnings of $1.1 million for Q1 2013.

"We are very pleased with our achievements in the first quarter", said Duncan Middlemiss, President & CEO of SAS. "Holt has continued its strong performance, and is now at an increased steady state throughput level for 2014. We remain on track with the development program at Taylor, and the underground exploration program has yielded positive results, which we plan to verify in the fourth quarter with our bulk sampling program."

SAS generated operating cash flow of $9.5 million. Both operating cash flow and net cash flow for the quarter continued to be negatively impacted by lower average realized price per ounce of gold sold when compared to the same period last year.

Gold Production in Line with 2014 Guidance

SAS produced 24,361 ounces of gold from three operations (Holt, Holloway and Hislop). Gold production remains on track to meet 2014 guidance of between 75,000

 All-in sustaining cost per ounce of gold sold at US$1,089 per ounce during the quarter. Operations continued to perform well with a total cash cost per ounce of gold sold  in the quarter of US$856 per ounce (including royalty costs of US$116 per ounce). Mine cash costs of US$740 per ounce improved by 7%, or US$54 per ounce over Q1 2013, and was below guidance of US$800 - US$850 per ounce.

Sold 23,500 ounces of gold at an average realized price per ounce of gold sold of US$1,294 for revenues of $33.5 million.

Gold sales revenue decreased by $4.7 million when compared to Q1 2013 due to the lower gold price. When compared to Q4 2013, revenues improved by $1.8 million as a result of the higher gold price and strengthening of the US dollar relative to the Canadian dollar.

Total cash cost per ounce of gold sold of US$856 per ounce.

For additional information: http://www.sasgoldmines.com/s/NewsDetails.asp?id=122573