Gran Colombia Reports First Quarter 2021 Gold Production
13 April 2021 - 1:00PM
Gran Colombia Gold Corp. (TSX: GCM; OTCQX: TPRFF) announced today
that it produced a total of 18,643 ounces of gold at its Segovia
Operations in March 2021 bringing the total gold production for the
first quarter of 2021 to 49,058 ounces compared with 50,346 ounces
in the first quarter of 2020. The Company also produced 57,315
ounces of silver in the first quarter of 2021, up from 45,918
ounces of silver in the first quarter last year.
Lombardo Paredes, Chief Executive Officer of
Gran Colombia, commenting on the Company’s latest results, said,
“We had a solid month in March, our second consecutive month above
the 1,500 tpd level at our Maria Dama processing plant at our
Segovia Operations. Based on our plan for the balance of the year,
we remain on track to meet our production guidance for the full
year of 200,000 to 220,000 ounces of gold. The expansion of Maria
Dama to 2,000 tpd is proceeding well. This expansion includes a new
blending yard and crushing system, a new Merrill Crowe system,
additional thickeners and a second filter press at the El Chocho
tailings storage facility, all of which are being added to the
operation in stages over the balance of the year. In addition, the
construction of the new polymetallic plant for recovery of zinc,
lead, gold and silver from the tailings into concentrate at Segovia
should be completed by mid-year and we expect to commence
commissioning shortly thereafter.”
“In the first quarter of 2021, we used a portion
of our free cash flow to fund the $7 million upfront cost related
to the construction of the polymetallic plant at Segovia and
another CA$10 million to maintain our equity interest in Denarius
Silver Corp. at approximately 27% by participating in Denarius’
private placement to finance its acquisition and exploration of the
Lomero Project in Spain. We also used approximately CA$4 million to
fund the repurchases of 702,000 common shares under our NCIB in
March for cancellation and a total of CA$2.8 million to pay our
continuing monthly dividends to our shareholders. In the first
quarter of 2021, we made the first of our income tax instalments in
Colombia in the amount of approximately $8 million and we used
approximately US$5 million toward our debt service on the Gold
Notes and Convertible Debentures. At the end of March 2021, we had
a cash position of approximately US$73.6 million and the aggregate
principal amounts of our Gold Notes and Convertible Debentures
outstanding were US$32.6 million and CA$20 million,
respectively.”
The Segovia Operations processed an average of
1,565 tonnes per day (“tpd”) in March 2021, with an average head
grade of 13.32 g/t. This brought the average for the first quarter
of 2021 to 1,470 tpd of material processed at an average head grade
of 12.83 g/t compared with 1,284 tpd at an average head grade of
14.87 g/t in the first quarter last year. Ongoing development
activities within the Company’s four operating mines increased
tonnes processed to an average of 1,200 tpd in the first quarter of
2021, up from 1,051 tpd in the first quarter last year. In
addition, the Company processed 270 tpd of material in the first
quarter of 2021 from the small mines operating under contract with
the Company in the brownfield areas within the Segovia mining
title, up from 233 tpd in the first quarter last year. The Company
currently has 56 small mines under contract as part of its ESG
initiatives.
Gran Colombia expects to release its first
quarter 2021 financial results on or about May 13, 2021. Webcast
details will be announced in early May.
About Gran Colombia Gold
Corp.
Gran Colombia is a Canadian-based mid-tier gold
producer with its primary focus in Colombia where it is currently
the largest underground gold and silver producer with several mines
in operation at its high-grade Segovia Operations. Gran Colombia’s
portfolio includes equity positions in several listed companies
advancing gold and silver projects including a 44.3% equity
interest in Aris Gold Corporation (TSX: ARIS) (Colombia – Marmato;
Canada – Juby), an 18.2% equity interest in Gold X Mining Corp.
(TSX-V: GLDX) (Guyana – Toroparu), a 27.3% equity interest in
Denarius Silver Corp. (TSX-V: DSLV) (Colombia – Guia Antigua and
Zancudo) and a 25.8% equity interest in Western Atlas Resources
Inc. (TSX-V: WA) (Nunavut – Meadowbank).
Additional information on Gran Colombia can be
found on its website at www.grancolombiagold.com and by reviewing
its profile on SEDAR at www.sedar.com.
Cautionary Statement on Forward-Looking
Information:
This news release contains "forward-looking
information", which may include, but is not limited to, statements
with respect to the continuation of operations during the COVID-19
situation, production guidance, payment of dividends, cash and debt
balances and other anticipated business plans or strategies. Often,
but not always, forward-looking statements can be identified by the
use of words such as "plans", "expects", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates", or
"believes" or variations (including negative variations) of such
words and phrases, or state that certain actions, events or results
"may", "could", "would", "might" or "will" be taken, occur or be
achieved. Forward-looking statements involve known and unknown
risks, uncertainties and other factors which may cause the actual
results, performance or achievements of Gran Colombia to be
materially different from any future results, performance or
achievements expressed or implied by the forward-looking
statements. Factors that could cause actual results to differ
materially from those anticipated in these forward-looking
statements are described under the caption "Risk Factors" in the
Company's Annual Information Form dated as of March 31, 2021 which
is available for view on SEDAR at www.sedar.com. Forward-looking
statements contained herein are made as of the date of this press
release and Gran Colombia disclaims, other than as required by law,
any obligation to update any forward-looking statements whether as
a result of new information, results, future events, circumstances,
or if management's estimates or opinions should change, or
otherwise. There can be no assurance that forward-looking
statements will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such
statements. Accordingly, the reader is cautioned not to place undue
reliance on forward-looking statements.
For Further Information,
Contact:Mike DaviesChief Financial Officer(416)
360-4653investorrelations@grancolombiagold.com
GCM Mining (TSX:GCM)
Historical Stock Chart
Von Mär 2024 bis Apr 2024
GCM Mining (TSX:GCM)
Historical Stock Chart
Von Apr 2023 bis Apr 2024