Mr. Renaud Hinse reports
ABCOURT MAKES A $ 1,417,794 NET PROFIT IN THE THIRD QUARTER
$ 2,625,390 FOR THE NINE-MONTH PERIOD
ENDED ON MARCH 31, 2019
Abcourt Mines Inc. has released its financial statements, and the management's discussion and analysis for the quarter and the nine-month period ended on March 31, 2019.
In the third quarter, revenues of $5.74-million from the sale of 3,372 ounces of gold and other revenues of $230,000, mainly from assays done for clients;
- Net profit of $1.42-million for the quarter and $2.62-million for the nine-month period ended on March 31, 2019;
- Substantial increase in gold and silver inventory from $1.12-million on June 30, 2018, to $2.53-million on March 31, 2019;
- $2.6-million reduction of past deficits;
- New vein discovered on level 9 at Elder by the extension of a drift to the west;
- A certificate of authorization received from Quebec Environment to treat custom ore from a new client.
COMPARATIVE TABLE OF RESULTS FOR THE THIRD QUARTER AND THE NINE-MONTH PERIOD
ENDED ON MARCH 31, 2019, AND MARCH 31, 2018
Description Three months Nine months Three months Nine months
March 31, 2019 March 31, 2019 March 31, 2018 March 31, 2018
Tonnes treated 26,154 74,873 34,525 82,751
Tonnes extracted 25,633 75,881 32,728 82,009
Gold ounces sold 3,322 10,185 3,765 10,274
Gold ounces produced 4,000 11,109 4,505 10,779
Gold recovery 96.19% 97.10% 96.76% 96.69%
Revenues from the $5,745,611 $17,110,953 $6,360,000 $16,949,947
sale of gold and silver
Price of gold sold 1,730 1,680 1,689 1,650
$U.S./ounce 1,309 1,272 1,334 1,303
Total cash costs 1,105 1,246 1,293 1,353
per ounce of gold
$U.S./ounce 837 943 1,021 1,069
All-in sustaining costs 1,362 1,498 1,590 1,656
per ounce of gold
$U.S./ounce 1,031 1,134 1,256 1,308
Gold and silver stock $680,563 $680,563 $50,110 $50,110
ready to be sold
Gold and silver $2,184,521 $2,184,521 $2,149,954 $2,149,954
inventory in circuit
Gold and silver $2,865,084 $2,865,084 $2,200,064 $2,200,064
Net profit (loss) $1,417,794 $2,625,390 $752,208 $1,263,137
Mining tax $123, 000 $330,000 $65,118 $140,118
Deferred taxes $(9,400) $(154,900) $(13,750) $(49,363)
Cash flow from $(356,818) $2,218,426 $786,798 $4,406,194
Cash at the end $1,637,377 $1,637,377 $2,681,181 $2,681,181
Despite a few interruptions with a power shutdown and some mechanical failures, the Elder mine remains profitable.
- Decrease of 24 per cent for the third quarter;
- Decrease of 10 per cent for the nine-month period.
Gold ounces produced:
- Decrease of 11 per cent for the third quarter;
- Increase of 3 per cent for the nine-month period.
Proceeds form sale of gold and silver:
- Decrease of 10 per cent for the third quarter;
- Increase of 1 per cent for the nine-month period.
Total cash costs per ounce of gold produced:
- Decrease of 15 per cent for the third quarter;
- Decrease of 8 per cent for the nine-month period.
All-in sustaining costs per ounce of gold produced:
- Decrease of 14 per cent for the third quarter;
- Decrease of 9 per cent for the nine-month period.
Net profit after taxes:
- Increase of 88 per cent for the third quarter;
- Increase of 108 per cent for the nine-month period.
Cash flow at the end of the period:
Strategy and outlook
Currently, the company is focusing on stabilizing and increasing the Elder production. Its objective is to produce 12,500 tonnes per month of gold mineralization.
The company wishes to use the full capacity of the Sleeping Giant mill, by treating custom ore, to reduce the operating cost per tonne treated. Discussions are currently taking place with potential clients.
For the long-term, in the gold sector, the company had a drilling program, in the fall of 2018, on the Discovery and Flordin gold properties where substantial gold mineralization is found.
About Abcourt Mines Inc.
Abcourt is a gold producer and a Canadian exploration company with strategically located properties in northwestern Quebec. The Elder property has gold resources (2018) and a positive preliminary economic assessment study (2012). Abcourt is focusing on the exploitation of the Elder mine.
The Abcourt-Barvue property has silver-zinc reserves (2019).
This press release was prepared by Renaud Hinse, engineer and president of Abcourt. Mr. Hinse is a qualified person under the terms of regulation 43-101. Mr. Hinse has approved the scientific and technical disclosure.
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