TORONTO – Richmont Mines reported record revenues of C$40.6 million in the second quarter despite falling gold prices. The larger revenues were possible in part thanks to increased production at its Island gold mine. The mine near Wawa, ON, set a new quarterly output record of 14,997 oz of gold in Q2 2015.
Richmont president and CEO Renaud Adams commented, "Our 2015 development strategy for Island Gold is ambitious, and we continue to make needed improvements to the mine's existing infrastructure.
"We are planning shutdowns at both the mine and the mill in the second half of the year to install new electrical equipment and upgrade existing infrastructure. These plans are reflected in our updated guidance and forecasts, and we expect that these strategic investments will position us to finish the year on a strong note and provide the needed solid foundation for the mine over the long-term," he concluded.
Annual guidance for 2015 has been raised to 87,000 to 95,000 oz from 78,000 to 88,000 oz of gold.
Total gold production in Q2 was 26,314 oz, and for the first six months of this year it was 52,173 oz. Cash costs were US$792 per oz and all-in sustaining costs were US$1,060.
Second quarter net earnings were C$2.9 million or C$0.05 per share and free cash flow was $7.4 million (C$0.13 per share).
Information about all of Richmont's producing mines is available at Richmont-Mines.com.