Great Panther Mining Limited Says Firmer Metal Prices and Weaker Brazilian Currency Boosted Q1 Figures
The gold and silver producer, which operates mines in Brazil and Mexico, had revenue of US $ 52.5 million for the three months ending March 31, 2021.
Great Panther Mining Limited (TSE: GPR) (NYSEAMERICAN: GPL) (FRA: G3U) saw firmer metal prices and a weaker Brazilian real help it post a string of strong first quarter results.
The gold and silver producer, which operates mines in Brazil and Mexico, reported revenue of US $ 52.5 million for the three months ending March 31, 2021, up 9 % compared to US $ 48 million in the first quarter of 2020.
The net loss was US $ 331,000, compared to a net loss of US $ 40.4 million in the same quarter a year earlier.
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Mine operating profit at US $ 11 million was 85% higher than in the first quarter of 2020, while earnings before interest, taxes, depreciation and amortization (EBITDA) and Adjusted EBITDA was 10.3 million US $ 12.4 million and US $ 12.4 million, compared to a loss of US $ 30.6 million and US $ 6.4 million, respectively, for the first quarter of 2020.
“We reduced our debt to $ 27.6 million and ended the quarter with a strong balance sheet with $ 45.5 million in cash and cash equivalents,” Rob Henderson, CEO of Great Panther said in the earnings release.
“In addition, regional exploration and drilling has been significantly accelerated at Tucano, where we are already seeing positive results that should help increase our mineral resource inventory.”
Average realized prices of gold and silver increased to US $ 1,755 and US $ 25.35 respectively in the three months, compared to US $ 1,577 and US $ 15.31 for the first quarter of 2020.
This, along with the impact on operating costs of a weak Brazilian real, was partially offset by moderate increases in production costs, the firm noted.
Aggregate Sustaining Costs (AISC) across the group were reduced by 11% in the quarter compared to the first quarter of 2020 to US $ 1,557 per ounce of gold sold, while at its mines, Great Panther has generated 30,556 equivalent ounces of gold, including 24,978 ounces of gold and 360,070 ounces of silver.
The miner repeated its previously announced production forecast for 2021 of between 135,000 and 150,000 ounces of gold equivalent. The second half of 2021 is expected to account for at least 55% of these annual production forecasts, he noted.
Based in Vancouver, Great Panther has assets in Brazil, Mexico and Peru, which include three operating gold and silver mines, four exploration projects and one advanced development project.
New York stocks were up 3.6% to US $ 0.83 each.
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