Canadian Mining Journal

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Turnaround picks up steam at Kirkland Lake Gold

Kirkland Lake Gold (TSX: KGI; US-OTC: KGILF) has come quite a way since its board set up a special committee in January to launch a strategic review of the company that included a potential sale.



Kirkland Lake Gold (TSX: KGI; US-OTC: KGILF) has come quite a way since its board set up a special committee in January to launch a strategic review of the company that included a potential sale.

Yesterday [Sept. 8] the company reported its first net profit in the last five quarters for the three months ended July 31 and its Toronto-listed shares have surged from $3.79 on July 31 to their current level of about $5.28.

Net income in the first quarter of fiscal 2015 totaled $5 million or 7¢ per share, compared with a net loss of $1.2 million in the fourth quarter of fiscal 2014. Kirkland Lake Gold also reported free cash flow in the quarter of $5 million, compared with zilch in the previous quarter.

Cash operating costs per oz produced came in at $788 per oz (down from $1,000 in the fourth quarter of fiscal 2014) and all-in sustaining costs reached $1,250 per oz, down from $1,774 per oz. A total of 40,528 oz of gold were recovered at an average head grade of 15.43 g/t (0.45 ounces per ton).

Read the complete article at NorthernMiner.com/news/turnaround