Despite weaker production figures in the second quarter of 2020, Almost Gold remains optimistic about the company’s future production prospects.
Second quarter results showed net income of $ 11.7 million, or $ 0.03 per share, and cash flow from operating activities of $ 49.6 million.
The company’s production suffered from reduced activity due to COVID-19.
“The second quarter of 2020 will be remembered as one of the most difficult times in our history given the COVID-19 pandemic. We started the quarter with two of our operations temporarily suspended, but we adjusted well and by June Island Gold and Mulatos were safely back to normal operating levels, ”said John A. McCluskey, president and CEO in the report.
In the three months ending June 30, gold production totaled 78,400 ounces, down from 125,200 ounces in the same period a year earlier.
Alamos Gold responded to the COVID-19 pandemic with several safety precautions, including medical screening of all staff before entering the site for symptoms of COVID-19, testing of staff at Mulatos and Island Gold before starting their rotation at the camp, and required a 14-day quarantine for any employee returning from overseas travel.
“The company has responded quickly and proactively to COVID-19 and has implemented several initiatives to help protect the health and safety of our employees, their families and the communities in which we operate,” said management in its second quarter report.
The company has downgraded its total gold production for 2020 from 425,000 to 465,000 ounces to 405,000 to 435,000 ounces.
Alamos Gold also expects all-inclusive sustaining costs to increase slightly from previous forecasts; expectations are now $ 1,030 to $ 1,070 per ounce for gold production, compared to $ 1,007 to $ 1,047 per ounce.
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