13:06:42 EDT Thu 28 Mar 2024
Enter Symbol
or Name
USA
CA



Banks Island Gold Ltd
Symbol BOZ
Shares Issued 61,701,497
Close 2015-06-29 C$ 0.135
Market Cap C$ 8,329,702
Recent Sedar Documents

Banks Island loses $1.01-million at mine over 2 months

2015-06-29 23:38 ET - News Release

Mr. Benjamin Mossman reports

BANKS ISLAND GOLD LTD. REPORTS POSITIVE CASH FROM OPERATING ACTIVITIES OF $789,000 IN THE FOURTH QUARTER

Banks Island Gold Ltd.'s audited financial results for the 2015 fiscal year (from the period from March 1, 2014, to Feb. 28, 2015), management's discussion and analysis, and financial statements have been released and are available on SEDAR and the company's website.

The 2015 fiscal year was a transformative year as Banks Island Gold became British Columbia's newest gold producer. Major accomplishments included the construction of a complete gold-processing plant and related facilities, receipt of all major mines and environmental permits, construction of multiple underground mines, achievement of commercial production, and building an operating team of over 85 employees.

Since the declaration of commercial production, effective Jan. 1, 2015, the company realized net revenues of $3,954,145, after metal deductions and concentrate charges. During that period, the company recorded cost of sales of $4,969,674 for a loss from mine operations of $1,015,529. The cost of sales figures included non-cash costs for depreciation and depletion and share-based compensation of $1,230,216, and, adjusted for these two non-cash amounts, the company recorded a positive gross margin of $214,687. The estimated production during the two months of commercial production was 2,710 ounces of gold and 11,016 ounces of silver metal contained in concentrate.

The achieved level of production, at a realized price of $1,492 and total cash cost of $1,217 per gold equivalent ounce (one ounce gold to 65 ounces silver) payable from smelter, allowed the company to generate cash from operating activities of $788,967 during the fourth quarter of the 2015 fiscal year, the same quarter in which it declared commercial production. Since then, the company has made continuous improvements to operations and achieved record production in May of 2015 of 1,961 gold equivalent ounces in concentrate. Since the company began producing saleable concentrate in February, 2014, to the end of May, 2015, the company has produced an estimated 19,087 ounces of gold and 54,967 ounces of silver metal contained in concentrate.

The company is looking forward to an excellent year with a focus on increasing sales and cash flows from operations, expansion of the companies mineral resources, and achievement of profitable operations.

The company is not basing its production decision on a feasibility study of mineral reserves with demonstrated economic and technical viability. Banks Island Gold has decided to put the property into production without first establishing mineral reserves supported by an NI 43-101-compliant technical report and feasibility study. The company cautions readers that such production may not be economically feasible, and historically such projects have a much higher risk of economic or technical failure.

Benjamin Mossman, PEng, is the qualified person who reviewed and approved the contents of this news release.

We seek Safe Harbor.

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