Alamos Gold Reports Third Quarter 2023 Results.
ENPNewswire-October 26, 2023--Alamos Gold Reports Third Quarter 2023 Results
(C)2023 ENPublishing - http://www.enpublishing.co.uk
Release date- 25102023 - TORONTO - Alamos Gold Inc. (TSX:AGI; NYSE:AGI) ('Alamos' or the 'Company') today reported its financial results for the quarter ended September 30, 2023.
'With another strong quarterly performance, we are on pace for a record year both operationally and financially. Production of 135,400 ounces was above our quarterly guidance, putting us on track to set a new record for annual production. Given the strong year-to-date performance, we are raising our full year production guidance by 5% to a range of 515,000 to 530,000 ounces. With total cash costs and all-in sustaining costs below the mid-point of guidance in the quarter and year-to-date, we are also on track to achieve full year cost guidance,' said John A. McCluskey, President and Chief Executive Officer.
'This contributed to another solid quarter financially with $37 million of free cash flow, bringing the year-to-date total to $109 million. This represents a substantial increase from 2022 while investing in our high-return growth projects. At Island Gold, the Phase 3+ Expansion is progressing well with the headframe up and shaft sinking on schedule to begin later this year. The updated Feasibility Study on Lynn Lake outlined another long-life, low-cost project in Canada, with excellent exploration upside. The development plan for PDA is also advancing as the deposit continues to grow through ongoing exploration success. All three projects are key drivers of our ongoing value creation and strong long-term outlook, supporting growing production, declining costs, and increasing profitability,' Mr. McCluskey added.
Third Quarter 2023
Produced 135,400 ounces of gold, exceeding quarterly guidance of 120,000 to 130,000 ounces, reflecting strong performances from the Mulatos District and Island Gold
The Company is raising its annual production guidance to a range of 515,000 to 530,000 ounces, a 5% increase from original guidance (based on the mid-point), driven by the strong outperformance from the Mulatos District. With year-to-date production of 399,800 ounces, the Company is on pace for record annual production in 2023
The Mulatos District produced 53,900 ounces in the third quarter and 164,700 ounces year-to-date, nearly double the prior year period reflecting another solid performance from La Yaqui Grande. The higher margin ounces from La Yaqui Grande drove mine-site free cash flow of $30.9 million, bringing the year-to-date total to $114.7 million
Island Gold produced 36,400 ounces, a 19% increase compared to the second quarter of 2023, reflecting both higher grades and throughput. The Phase 3+ Expansion is progressing well with construction of the headframe largely complete and shaft sinking on track to begin by year end
Sold 132,633 ounces of gold at an average realized price of $1,932 per ounce, for quarterly revenues of $256.2 million. The average realized gold price was $4 per ounce above the London PM fix
Total cash costs1 of $835 per ounce were at the low end of annual guidance and AISC1 of $1,121 per ounce were below the low end of guidance, driven by La Yaqui Grande and Island Gold and timing of sustaining capital expenditures. The Company remains on track to achieve full...
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