VANCOUVER – Timmins Gold Corp. can't help but be pleased with a year that met guidance figures both on the number of ounces produced and the cash costs per ounce. In 2014 the company sold 121,441 oz of gold (up 2.5%) and 85,252 oz of silver (up 24.4%).
Costs were up slightly, but the change was expected. Total cash costs per gold ounce on a by-product basis in 2014 were US$790 (up 10.2%) and all-in sustaining costs per gold ounce were US$925 (up 6.1%).
Slightly higher production costs coupled with miserable prices meant that metals revenues fell to US$154.1 million in 2014, compared to US$160.6 million a year earlier. Earnings per share were US$0.06 in 2014, compared to US$0.11 in 2013.
Timmins Gold CEO Bruce Bragagnolo is not unhappy with his company's operational performance. "Drilling directly below the San Francisco pit identified multiple high grade veins sub-parallel to the pit wall, extending along strike and open down dip below the pit and our regional exploration program was successful in confirming areas for high priority follow up drilling," he said. "Timmins Gold is performing economic studies to determine the most cost effective method of mining the high grade veins.
"In addition, we bolstered our growth profile by completing the acquisition of the Caballo Blanco open pit heap leach project and subsequent to the year end we announced a merger with Newstrike Capital Inc. These two transactions position Timmins Gold to become a mid-tier producer with an average annual gold production of over 325,000 oz and industry leading all-in sustaining cash costs of approximately $775 per ounce," he concluded
Learn more about the company's operations at TimminsGold.com.
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