Detour Gold First Quarter 2019 Results Shows Improved Performance
Detour Gold's first quarter 2019 report shows a vast improvement over the last quarter 2018 performance.
The turnaround is good news and comes as Michael (Mick) McMullen, the new President and CEO of Detour Gold takes over the leadership reins after a shareholder revolt over poor financial returns resulted in the replacement of all but one board members.
As well Detour had three CEO's over the last year prior to the appointment of McMullen..
During first quarter 2019 Detour Gold reported a net earnings of $38.9 million compared to a loss of $32.4 million in the fourth quarter of 2018 and earnings of $12.7 million in the third quarter of 2018.
Detour produced 154,709 oz. of gold at a cash cost of $739 oz. and all-in sustaining costs of $739 per oz.during the first quarter of 2019. Revenues of $206.1 million were achieved on the sale of 157,723 oz. at an average price of $1,304 per oz. The company achieved cash and cash equivalents of $201.1 million by the end of the first quarter 2019 which represents an increase of $69.2 million increase from end of fourth quarter 2018.
"We are continuing to progress positively on stabilizing the operation as seen by another quarter of strong operational results, " said Frazer Bourchier, Chief Operating Officer.
" This has been by far the best performing 'first quarter' the Company has ever had since start of operations," Bourchier added.
"I would expect that by year-end we start achieving predictable and consistent operational results and shift towards the optimization phase. We are tracking well to achieve our annual guidance and execute on our 2018 life of mine plan."
Driving the higher earnings in first quarter was a higher average price of gold $1,304 compared to $1,228 in fourth quarter 2018.
As of May 1, 2019 Michael (Mick) Mullen, became the President and Chief Executive Officer replacing Bill Williams who served as Interim Chief Executive Officer since January 2019. Williams will continue to serve on Detour's board of directors.
"I am excited to start working with the team at Detour Gold as we continue to turn around the operations and deliver improvements in production and costs, " McMullen said.
"There are still many opportunities to be realized and I look forward to engaging with our stakeholders to determine the optimal way to create shareholder value going forward, " McMullen added.
During 2019 Detour plans to extract 570,000 to 605,000 oz. of gold.
For more information visit:
|