Argonaut Gold Hits US$120.2 Million In Revenue, Produces 63,749 Gold Equivalent Ounces In Q2 2021
Argonaut Gold Inc. (TSX: AR) announced late Tuesday its operating and financial results for the second quarter ended June 30, 2021. The report highlights a topline revenue figure of US$120.2 million, a climb from US$58.0 million in revenue for the same comparable period last year.
The mining company also produced a total of 63,749 gold equivalent ounces for the quarter, up from 31,531 ounces last year. The El Castillo complex contributed more than half of the quarterly production with 32,663 gold equivalent ounces. La Colorada and Florida Canyon complete the yield with 17,288 and 13,798 gold equivalent ounces, respectively.
On the other hand, the firm sold a total of 65,650 gold equivalent ounces with an average realized sales price of US$1,812 per ounce and an all-in sustaining cost of US$1,187 per ounce. These figures compare to Q2 2020’s 34,196 ounces with sales price at US$1,713 and AISC at US$1,080.
Further down the financials, net income for the quarter came in at US$21.8 million compared to last year’s net loss of US$7.7 million. The quarterly income translates to US$0.07 earnings per share.
The gold mining firm ended the quarter with US$39.3 million inflow from operating activities and US$216.0 million balance on cash and cash equivalents.
The company is optimistic in meeting its 2021 full-year production guidance figures, expecting annual gold equivalent production to be between 210,000 and 250,000 ounces and AISC to be between US$1,250 and US$1,350 per ounce sold. For the first half of the year, 123,452 gold equivalent ounces have been produced so far with an AISC of US$1,247 per ounce.
Capital expenditure guidance for the year is also being adjusted midway. Expected spending on constructing the Magino property was upsized by US$10 million to US$190-US$200 million while capital spending budget outside the property was reduced by US$10 million to US$65-US$75 million. To date, the company has accrued expenses of US$103.7 million related to the Magino construction and US$33.4 million in other capital projects.
Argonaut Gold Inc. last traded at $2.67 on the TSX.
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