Steppe Gold Announces Q2 2022 Financial Results and July Production Update www.juniorminingnetwork.com
Steppe Gold Limited (TSX: STGO) (OTCQX: STPGF) (FSE: 2J9) ("Steppe Gold" or the "Company") is pleased to announce its financial results for the three months ended June 30, 2022.
Second Quarter Highlights (all figures in US$000's unless stated otherwise)
Revenue for the three months ended June 30, 2022, was $17,237 on sales of 8,907 gold ounces and 717 silver ounces with average realized prices per ounce of $1,933 and $22 respectively.
Operating income from mine operations, before depreciation and depletion was $9,950.
Consolidated group adjusted EBITDA for the quarter was $7,939.
Site All in Sustaining Cost was $811 per ounce sold for the three months ended June 30, 2022.
During the three months ended June 30, 2022, 502,572 tonnes of ore were mined and 237,603 tonnes of ore were stacked on the leach pad with an average gold grade of 2.04 g/t and an average silver grade of 12.17 g/t.
As at June 30, 2022, cash and restricted cash amounted to $40,384; total bank and other debt (excluding convertible debentures) was $51,562 and net debt was $11,178.
The construction and installation of the new fixed crushing unit is expected to be completed by September 2022. This is the first major equipment installation for Steppe Gold's Phase 2 Expansion, which will also allow the Company to drive higher crushing rates in the remaining oxide phase.
Major ongoing works include the fuel storage and camp expansion. Plant design for Phase 2 is scheduled to commence soon.
Ramp-up at Phase I continues with July gold production of 3,693 oz.
Outlook
The focus for the balance of 2022 will be on maximizing gold production from the leach pad and continuing to work on operational efficiencies and strengthening supply chain logistics at the ATO Gold Mine.
The Company has built up a significant inventory of precious metals and is working hard to maximize the yield from this inventory. With planned revenues from gold production for the balance of 2022, the Company aims to reduce or refinance its debt obligations in 2022 and progress discussions on project financing for the Phase 2 Expansion that is already underway.
The Company's consolidated financial results for the three months ended June 30, 2022 have been filed on SEDAR. The full version of the condensed interim consolidated financial statements and associated management's discussion & analysis can be viewed on the Company's website at
www.steppegold.com or under the Company's profile on SEDAR at
www.sedar.com.
Published Date:2022-08-16