Gold miner Aurelia Metals climbs 8pc on strong quarterly results
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Gold and base metal miner Aurelia Metals has delivered $29.7 million revenue for the September quarter, up 16 per cent on previous quarter, while reducing its debt by 10 per cent.
Aurelia (ASX:AMI) strengthened its balance sheet by reducing debt by 10 per cent to $67.5 million during the September quarter.
At its high-grade Hera gold-lead-zinc-silver mine in central NSW, the company delivered EBITDA of $15.3 million, up from $10.6 million in the June quarter.
Cash at bank decreased by $2.8 million to $32 million after repaying $10 million in debt.
Meanwhile, Aurelia’s operations performed strongly with gold production up 6 per cent on the June quarter to 11,111 ounces.
Cash costs were dramatically reduced from $736 an ounce in June quarter to $181 an ounce in September quarter while costs fell from $1222 per oz in June quarter to $570 per oz in September quarter.
The reduced cost was achieved through high levels of by-product credits associated with two concentrate shipments and high base metal prices.
On the exploration front, drilling continued throughout the quarter to increase confidence in the resources and reserves and extend the depth of the Hera orebodies.
Drilling during the quarter totalled 6473 metres of which 5442 metres infill and 1031 exploration.
Looking ahead, Aurelia’s production plan is to begin development mining of the North Pod at Hera with continued strong base metal grades.
Aurelia closed 8 per cent higher at 28c yesterday, capitalising the company at about $119 million.