Avion Announces First Quarter 2010 Financial Results
20 Mai 2010 - 3:30PM
Marketwired
AVION GOLD CORPORATION ("Avion" or the "Company") (TSX VENTURE:
AVR) (OTCQX: AVGCF)(PINK SHEETS: AVGCF)today announces its
financial results for the 1st quarter of 2010.
Commenting on the Q1 2010 results, Avion's President and CEO,
Mr. John Begeman stated, "The first quarter presented the Company
with some unforeseen challenges and I am extremely proud of the
efforts of our team in resolving them such that we can look forward
to meeting our production guidance for 2010 of 75,000 - 85,000
ounces."
Complete interim financial statements and related Management's
Discussion and Analysis are filed under the Company's profile on
www.sedar.com. All amounts are in United States dollars unless
otherwise indicated. The key facts are summarized below:
-- For the 1st quarter, the Company produced approximately 15,716 ounces at
a cash cost per ounce of $886. The cash costs were negatively affected
by a previously announced slump in the Segala pit which delayed access
to the planned higher grade ore. This situation was temporary and has
now been rectified. The Company is forecasting substantially lower costs
for the rest of the year and anticipates averaging $650 per ounce for
the remaining three quarters of the year. Cash costs do not include
royalties.
-- During the 1st quarter, the Company sold 17,298 ounces of gold at an
average realized price of $1,123 per ounce, which was higher than the
average London fix $1,109 over the period.
-- The Company reported a net loss of $545,740 ($0.00 per share - diluted)
for the quarter ended March 31, 2010 compared to a net loss of
$1,241,360 (loss of $0.01 per share) for the quarter ended March 31,
2009.
-- Gold revenue for the first quarter ended March 31, 2010 was $19.4
million compared to nil for the comparable quarter last year.
-- Operating cash flow before the working capital adjustment for the first
quarter ended March 31, 2010 was $5.6 million.
-- Net working capital as at March 31, 2009 was $20.5 million (including
cash and cash equivalents of $8.3 million).
-- Avion announced a 100% increase in the Measured and Indicated Resources
and a 38% increase in grade in the Segala Main deposit.
Andrew Bradfield P.Eng., the Chief Operating Officer of the
Company, and a qualified person under National Instrument 43-101,
has reviewed the scientific and technical information in this press
release.
About Avion Gold
Avion is a Canadian-based gold mining company focused in West
Africa. The Company holds 80% of the Tabakoto and Segala gold
projects in Mali. The longer term goal of the Company is to ramp
production to 200,000 ounces in 2012. Avion has a highly skilled
management team, with a focus on growth and consolidation within
West Africa.
Cautionary Notes
The ability of Avion to increase production to 200,000 ounces of
gold per year has not been the subject of a feasibility study and
there is no certainty that the proposed expansion will be
economically viable.
This press release contains "forward-looking information" within
the meaning of applicable Canadian securities legislation.
Forward-looking information includes, without limitation,
statements regarding the impact and timing of the results on the
Company,; statements with respect to the development potential and
timetable of the Mali projects; the future price of gold; the
estimation of mineral resources; conclusions of economic evaluation
(including scoping studies); the realization of mineral resource
estimates; the timing and amount of estimated future production,
development and exploration; costs of future activities; capital
and operating expenditures; success of exploration activities;
mining or processing issues; currency exchange rates; government
regulation of mining operations; and environmental risks.
Generally, forward-looking information can be identified by the use
of forward-looking terminology such as "plans", "expects" or "does
not expect", "is expected", "budget", "scheduled", "estimates",
"forecasts", "intends", "anticipates" or "does not anticipate", or
"believes", or variations of such words and phrases or state that
certain actions, events or results "may", "could", "would", "might"
or "will be taken", "occur" or "be achieved". Forward-looking
information is subject to known and unknown risks, uncertainties
and other factors that may cause the actual results, level of
activity, performance or achievements of the Company to be
materially different from those expressed or implied by such
forward-looking information, including but not limited to: general
business, economic, competitive, geopolitical and social
uncertainties; the actual results of current exploration
activities; ability to successfully integrate the purchased
properties; foreign operations risks; other risks inherent in the
mining industry and other risks described in the annual information
form of the Company which is available under the profile of the
Company on SEDAR at www.sedar.com. Although the Company has
attempted to identify important factors that could cause actual
results to differ materially from those contained in
forward-looking information, there may be other factors that cause
results not to be as anticipated, estimated or intended. There can
be no assurance that such information will prove to be accurate, as
actual results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not
place undue reliance on forward-looking information. The Company
does not undertake to update any forward-looking information,
except in accordance with applicable securities laws.
Cautionary Non-GAAP Statements
Avion believes that investors use certain indicators to assess
gold mining companies. The indicators are intended to provide
additional information and should not be considered in isolation or
as a substitute for measures of performance prepared with GAAP.
"Cash flow from operating activities before changes in non-cash
working capital" is a non-GAAP performance measure which could
provide an indication of the Company's ability to generate cash
flows from operations, and is calculated by adding back the change
in non-cash working capital to "Cash provided by (used for)
operating activities as presented on the Company's consolidated
statements of cash flows. "Cash cost per ounce produced" is a
non-GAAP performance measure which could provide an indication of
the mining and processing efficiency and effectiveness at the Mine.
It is determined by dividing the relevant mining and processing
costs excluding royalties by the ounces produced in the period.
There may be some variation in the method of computation of "cash
cost per ounce produced" as determined by the Company compared with
other mining companies. In this context, "ounces produced"
in-process and dore inventory along with ounces of gold sold in the
period. "Cash costs per ounce produced" may vary from one period to
another due to operating efficiencies, waste to ore ratios, grade
of ore processed and gold recovery rates in the period.
The following table provides a reconciliation of mining and
processing costs per the financial statements and cash operating
for the purposes of calculating cash costs per ounce produced in
USD.
Mining and processing expenses (USD) 11,409,422
Pre-production costs capitalized (USD) -
Inventory movements and adjustments 2,512,881
Total cash operating costs (USD) 13,922,303
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES
PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX
VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR
ACCURACY OF THIS RELEASE
Contacts: Avion Gold Corporation John Begeman President &
Chief Executive Officer (416) 861-5884 info@aviongoldcorp.com
Avangard Capital (GM) (USOTC:AVGC)
Graphique Historique de l'Action
De Juin 2024 à Juil 2024
Avangard Capital (GM) (USOTC:AVGC)
Graphique Historique de l'Action
De Juil 2023 à Juil 2024