GOLD: Kirkland Lake reports 54% increase in Q2 output

TORONTO - Kirkland Lake Gold reported on Tuesday that its second quarter gold production reached 329,770 oz., an increase of 115,177 ounces, or 54%, over the same period last year. Year-to-date, the company has produced 660,634 oz. — 214,162 oz., or a 48% increase, over the first half of 2019. Production from the Detour Lake mine, acquired in late January, totalled 131,992 oz. for the quarter despite disruptions caused by COVID-19. At the Fosterville mine, production reached 155,106 oz., a 10% increase over the same period last year, mainly reflecting higher tonnes processed. This output was similar to the 159,864 oz. produced in the previous quarter. The Macassa mine added 41,865 oz., down from the 49,196 oz. produced in the second quarter of 2019, due to a lower average grade. This was also lower compared to the 50,861 oz. produced in the first quarter, reflecting a greater impact on tonnes processed from COVID-19 protocols. The Holt Complex, which was temporarily suspended on Apr. 2, produced only 807 oz. in the quarter. Production in the second quarter of 2019 was at 24,696 oz., while production in the first quarter of this year totalled 28,584 oz. Total gold sales for Q2 2020 amounted to 341,390 oz. at an average realized price of US$1,716 per ounce, compared to 212,091 oz. (at US$1,320 per oz.) in the second quarter of 2019 and 344,586 oz. (at US$1,586 per oz.) in the previous quarter. Shares of Kirkland Lake Gold jumped 4.7% and 4.2% respectively on the TSX and NYSE as of 2 p.m. EDT. The Toronto-based gold producer has a market value of US$12.1 billion.