Jaguar Mining (TSX: JAG) this morning released its fourth quarter production results, with the company reporting a substantial decline in production as a result of a tailings landslide in early December that halted operations at its Turmalina Mine.
Production declined 20% on a year over year basis in the fourth quarter, with production falling to 14,787 on a consolidated basis, versus 18,482 ounces in the fourth quarter of 2023. On a quarter over quarter basis production was also down, falling 13% from 16,912 ounces in the third quarter.
Those gold ounces follow Jaguar processing 160,430 tonnes of ore in the fourth quarter, which produced gold at an average grade of 3.41 g/t. The company in the year ago period comparatively processed 195,595 tonnes of ore, which averaged 3.34 g/t gold.
Production in the fourth quarter predominantly came from Jaguar’s Pilar mine, which produced 10,511 ounces of gold, while Turmalina accounted for 4,276 ounces. Gold sales totaled 16,042 ounces.
READ: Jaguar Mining Fined US$52.5 Million For Tailings Collapse In Brazil
For the full year, production was down 8%, dropping from 70,702 gold ounces in 2023 to 64,705 ounces in 2024. Ore processed fell from 812,954 tonnes to 695,826 tonnes, however grade improved from 3.09 g/t to 3.41 g/t. 40,995 gold ounces of production came from the Pilar mine, with the remaining 23,710 ounces being produced at Turmalina. Gold sales for the full year totaled 66,481 ounces.
Jaguar meanwhile finished 2024 with $46.3 million in cash, an improvement from $41.6 million as of the end of the third quarter.
Looking to 2025, Jaguar has said it will focus its efforts on the development of the Pilar mine as a result of the operations halt at the Turmalina mine. Production at Pilar is expected to modestly increase year over year, albeit at higher all in sustaining costs as the mine absorbs people and equipment from Turmalina on a temporary basis.
“While we do have some challenges ahead due to the incident at our Turmalina mine, we expect to be back on track with our growth plan by the end of 2025. This plan could potentially see us doubling the Company’s annual consolidated ounce production over the next five years,” commented Vern Baker, CEO of Jaguar.
A timeline for the resumption of mining at Turmalina is still not available.
Jaguar Mining last traded at $2.25 on the TSX.
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