SASKATOON, Dec. 20, 2013 /CNW/ - Golden Band Resources Inc.
("Golden Band" or the "Company") (TSXV: GBN; OTCQX: GBRIF) today
reported results for the second quarter 2014.
The Company incurred a net loss before income tax of
$7,653,658 in Q2 2014 compared to a
loss before income tax of $5,576,091
in Q2 2013. The increase in the net loss from Q2 2013
to Q2 2014 is mainly due to less ounces of gold sold.
A summary of financial results is presented
below. All dollar amounts presented are Canadian dollars, unless
otherwise specified.
SUMMARY QUARTERLY INFORMATION
|
|
|
|
|
|
|
|
|
CDN $ |
Q2 2014 |
Q1 2014 |
Q4 2013 |
Q3 2013 |
Q2 2013 |
Q1 2013 |
Q4 2012 |
Q3 2012 |
Gold ounces sold |
800 |
- |
3,532 |
3,882 |
7,920 |
7,929 |
8,872 |
9,969 |
Revenues ($000's) |
$ 1,064 |
- |
$ 5,726 |
$ 6,460 |
$12,746 |
$12,733 |
$14,966 |
$17,163 |
Cash cost of sales ($000's) |
$4,572 |
$1,801* |
$10,476 |
$10,975 |
$12,509 |
$11,026 |
$14,269 |
$9,850 |
Net income (loss) ($000's) |
$(7,654) |
$(4,242) |
$(13,136) |
$(7,381) |
$(2,754) |
$(3,580) |
$(5,327) |
$(81) |
Net loss per share
1 |
$(0.03) |
$(0.01) |
$(0.04) |
$(0.03) |
$(0.01) |
$(0.01) |
$(0.02) |
$(0.00)2 |
Cash from (used in) operations ($000's) |
$7,340 |
$(8,080) |
$2,013 |
$1,418 |
$(1,460) |
$165 |
$6,075 |
$6,533 |
Total cash costs per ounce of
gold sold 3 |
$1,070** |
- |
$2,966 |
$2,827 |
$1,579 |
$1,391 |
$1,608 |
$988 |
Average realized gold price/ounce |
$1,331 |
- |
$1,612 |
$1,656 |
$1,601 |
$1,599 |
$1,676 |
$1,711 |
1. All per share amounts are calculated on a weighted average,
basic and fully diluted basis.
2. Per share amount is negligible and has been recorded as nil.
3. This is a non-IFRS measure. See section regarding non-IFRS
measures below.
* Represents operating costs and the excess of cost of broken ore
over net realizable value, which was written down
** Inventory impairment included in the cash cost of sales was
excluded from the calculation of total cash costs per ounce of gold
sold.
During Q2 2014, the Company produced 6,127 gold ounces compared
to 7,039 gold ounces in Q2 2013. During Q1 2014 the plant was
shut down for refurbishment and was restarted on August 1, 2013.
During Q2 2014, the Company sold 800 ounces of gold at an
average realized price of $1,331 per
ounce and generated $1,064,403 in
revenue. In Q2 2013 the Company sold 7,920 gold ounces at an
average realized gold price of $1,601
per ounce and generated $12,745,958
of revenue
2014 SECOND QUARTER HIGHLIGHTS
- Production from underground operations at Roy Lloyd mine
produced a combined total (high and low grade) of 18,629 tonnes of
ore at an average grade of 5.79 g/t gold.
- Continued strong safety performance. No reportable lost time
accidents were incurred.
- No reportable environmental spills.
- The sale of 800 oz resulted in revenue of $1,064,403 and a gross deficiency of $7,829,986 for the six months ended October 31, 2013. The cost of sales of
$8,894,389 included cost of gold doré
sold of $1,129,869, impairment of
inventory to net realizable value of $6,503,822, and mill maintenance costs of
$1,260,698.
For full details of the Company's financial
statements and management's discussion and analysis for the second
quarter ended October 31, 2013,
please see the financial reports posted on SEDAR at
www.sedar.com.
About Golden Band
Golden Band Resources Inc. is a gold producer
operating in the La Ronge Gold
Belt in northern Saskatchewan and
is listed on the TSX Venture Exchange in Canada under the symbol GBN and traded in
the United States on the OTCQX
under the symbol GBRIF. Commercial production was declared on
April 1, 2011. The Company has been
actively exploring the La Ronge
Gold Belt since 1934 and has assembled a land package of 870
km2, including 13 known gold deposits and four former
producing mines, being Jolu, Decade, Star
Lake and Komis. The Company plans to undertake aggressive
drill programs throughout the La Ronge Gold Project with the goal
of significantly expanding the existing NI 43-101 gold resources
that have been identified to date.
On behalf of the Board of Directors of Golden Band Resources
Inc.,
"Paul Saxton"
Paul Saxton, CEO
Caution Regarding Forward-Looking Information
and Statements
This news release includes certain forward-looking statements or
information. All statements other than statements of historical
fact included in this release, including, without limitation,
statements regarding the operational plans, estimates and costs of
production, and other future plans, objectives or expectations of
Golden Band Resources Inc. (Company) are forward-looking statements
that involve various risks and uncertainties. There can be no
assurance that such statements will prove to be accurate and actual
results and future events could differ materially from those
anticipated in such statements. Important factors that could cause
actual results to differ materially from the Company's plans or
expectations include risks relating to the actual results of
operations, current exploration activities, fluctuating gold
prices, possibility of equipment breakdowns and delays, cost
overruns, general economic, market or business conditions,
regulatory changes, timeliness of government or regulatory
approvals and other risks detailed herein and from time to time in
the filings made by the Company. The Company makes all reasonable
efforts to update its corporate information on a timely basis.
Neither 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.
SOURCE Golden Band Resources Inc.