with good gold in ground and a good balance sheet plus safe jurisdiction.
Timmins Gold earns $13.09-million (U.S.) in Q3 2012
2012-11-08 08:21 ET - News Release
Mr. Bruce Bragagnolo reports
TIMMINS GOLD REPORTS RECORD PROFIT FROM OPERATIONS OF $18.3 MILLION FOR Q3 2012
Timmins Gold Corp. has released its third quarter of 2012 financial results for the period ended Sept. 30, 2012. For comparative purposes, Q3 2011 below refers to the three months ended Sept. 30, 2011. All results are presented in U.S. dollars unless otherwise stated. Readers should refer to the Q3 2012 management's discussion and analysis, and condensed interim consolidated financial statements for complete information.
Q3 2012 highlights
- Metal revenues were $41.7-million, compared with $28.2-million during the same prior-year period. This represents a 48-per-cent increase over the prior year.
- Profit from operations was $18.3-million, compared with $10.3-million during the same prior-year period. This represents a 77-per-cent increase over the prior year.
- Cash flows from operations were $14.5-million, compared with $7.8-million during the same prior-year period. This represents an 85-per-cent increase over the prior year.
- Cash increased to $28.3-million at Sept. 30, 2012, after investing $7.2-million in exploration and plant expansion. Cash at Sept. 30, 2011, was $7.0-million after investing $11.9-million in exploration and plant expansion.
- The company produced a record 25,153 ounces of gold and sold 25,153 ounces of gold, compared with 17,287 and 16,917, respectively, during the same prior-year period. This represents a 46-per-cent and 49-per-cent increase of ounces produced and sold, respectively, over the prior year.
- The company's cash cost per ounce on a byproduct basis was $715, compared with $580 during Q3 2011 and $758 during second quarter 2012. The increase over the prior year is the result of global price increases in consumables used in gold production as well as increased quantities of consumables used. The quarter-over-quarter decrease is attributed to the higher number of ounces sold, increased production efficiencies in the current quarter and that Q2 2012 included variable compensation of $300,000 relating to 2011 ($14 per gold ounce).
- The company tripled its earnings per share to nine cents, compared with three cents during the same prior-year period.
- The drill program for the San Francisco gold project continued in Q3 2012 and during October, 2012, was expanded to 100,000 metres for calendar 2012:
- A total of 5,523 metres of drilling were completed in and around the San Francisco pit (year-to-date 2012: 10,900 m).
- A total of 28,061 m were drilled in the current quarter on the La Chicharra open-pit gold mine located 1.5 kilometres west of the San Francisco pit (year-to-date 2012: 44,362 m).
- A 5,000 m core drill program at the San Onesimo project in Zacatecas, Mexico, commenced in July, 2012.