North American Palladium (TSX:PDL, StockForum)(“PDL”), a Toronto-based metals producer operating the LDI palladium mine, announced its preliminary palladium production results for the quarter ending March 31, 2014.
According to the news release, the company continues to move ahead with ramping up production through the shaft with underground production for the quarter averaging approximately 3,065 tonnes per day which is above operating guidance for the first half of the year.
PDL also announced payable palladium production for the quarter totaling an approximate 42,500 ounces with production benefiting from higher underground grades averaging approximately 4.96 grams per tonne palladium.
Recoveries during the quarter averaged around 85% due to on-going mill improvements.
In other news, the company amended the terms for the second tranche of 7.5% convertible unsecured subordinated debentures due five years from issuance including the reduction of the maximum size of the offering from $43.0 million to $35.0 million with a reduction in Series 2 Warrants from 33.33% to 25% of the number of common shares that the Series 2 debentures are convertible into.
Net proceeds from the transaction will be utilized for expenditures at the company's Lac des Iles mine, exploration, mining equipment and other general corporate purposes.
PDL was in the news recently when the company reported voting results from its special meeting of shareholders a week ago.
Shares fell 16.04% on the news to $0.445 per share.
Currently there are 274.0m outstanding shares with a market cap of $121.9 million.