Battle Mountain Gold posts third-quarter/nine-month loss, including write downs and merger costs.HOUSTON--(BUSINESS WIRE)--Oct. 31, 1996--Battle Mountain Gold Co. (NYSE NYSE See: New York Stock Exchange :BMG BMG Bundesministerium für Gesundheit (Germand: Federal Ministry for Health) BMG Be My Girl BMG Blue Man Group BMG Bertelsmann Music Group BMG Be My Guest BMG Browning Machine Gun BMG Bulk Metallic Glass ; TSE See Tokyo Stock Exchange. TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). :BMC (BMC Software, Inc., Houston, TX, www.bmc.com) A leading supplier of software that supports and improves the availability, performance, and recovery of applications in complex computing environments. ) Thursday Thursday: see week. reported a third-quarter 1996 consolidated con·sol·i·date v. con·sol·i·dat·ed, con·sol·i·dat·ing, con·sol·i·dates v.tr. 1. To unite into one system or whole; combine: net loss of $49 million, or 21 cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. attributable attributable emanating from or pertaining to attribute. attributable proportion see attributable risk (below). attributable risk to common shareholders. The results are the first since the new BMG was created from the combination of the former company and Hemlo Gold Mines Inc., and include total before tax charges of $19.2 million for merger-related costs, and asset write downs of $38.5 million. The third-quarter 1996 loss compares with a net loss of $0.8 million in the same period last year. For the first nine months of 1996, the consolidated net loss was $42.3 million, or 18 cents per share, compared with net income of $22.3 million, or 10 cents per share, in the same period in 1995. All prior period results reflect a restatement Restatement A revision in a company's earlier financial statements. Notes: The need for restating financial figures can result from fraud, misrepresentation, or a simple clerical error. of the merged entities. BMG Chairman Karl Karl. For German and Swedish kings thus named, use Charles. E. Elers noted that merger-related costs are required to be recognized as a one-time one-time adj. 1. or one·time a. Occurring or undertaken only once: a one-time winner in 1995. b. , current expense under the pooling of interests Pooling of Interests An accounting method, used in mergers and acquisitions, where the balance sheet items of the two companies are simply added together. Notes: The opposite of pooling of interests is the purchase acquisition method. accounting principles. Under these accounting principles, future earnings will not be burdened by amortization of these costs, nor goodwill which would have arisen had the merger not qualified as a pooling. Elers explained that the asset write downs are a result of the current review of the company's business which resulted in recognizing the inability to recover the carrying values Carrying Value Also know as "book value," it is a company's total assets minus intangible assets and liabilities, such as debt. Notes: This is different than market value, as it can be higher or lower depending on the circumstances. of certain assets under the guidelines guidelines, n.pl a set of standards, criteria, or specifications to be used or followed in the performance of certain tasks. of FAS 121. These write downs include: a $17 million reduction in the carrying value of the Reona project to reflect lower performance expectations resulting from an analysis of actual heap leach leach v. leached, leach·ing, leach·es v.tr. 1. To remove soluble or other constituents from by the action of a percolating liquid. 2. performance in the last 6 months of operations, updated projections of heap leach performance as contrasted with previously anticipated performance, and higher estimates of reclamation Reclamation A claim for the right to return or the right to demand the return of a security that has been previously accepted as a result of bad delivery or other irregularities in the delivery and settlement process. costs; a $17 million reduction in the carrying value of the 50.5 percent owned San Cristobal San Cris·tó·bal A city of extreme western Venezuela in a mountainous region near the Colombian border south-southwest of Maracaibo. Founded in 1561, it was severely damaged by an earthquake in 1875. Population: 298,000. mine to reflect recent detailed mine studies and a review of related projects; and a $3 million write down of certain receivables Receivables An asset designation applicable to all debts, unsettled transactions or other monetary obligations owed to a company by its debtors or customers. Receivables are recorded by a company's accountants and reported on the balance sheet, and they and include all debts owed and obsolete OBSOLETE. This term is applied to those laws which have lost their efficacy, without being repealed, 2. A positive statute, unrepealed, can never be repealed by non-user alone. 4 Yeates, Rep. 181; Id. 215; 1 Browne's Rep. Appx. 28; 13 Serg. & Rawle, 447. materials. The impacts of the unusual items during the period are: -0-
Gross Minority After-tax After-tax
Amount Interest Impact per share
($000s except per share amounts)
Write Downs
Reona $17,475 $ -- $17,475 $0.08
San Cristobal 17,566 (8,710) 8,856 0.04
Other 3,409 (374) 2,531 0.01
$38,450 $(9,084) $28,862 $0.13
Merger Costs $19,244 -- $17,785 $0.08
TOTAL $57,694 $(9,084) $46,972 $0.21
Year to date, cash flows from operating activities, after
exploration, improved on a year to year basis from $32.5 million to
$40.7 million. This reflects the greater production from Golden
Giant.
In addition, Elers noted that since the merger became effective,
the company had repaid and terminated the prior $75 million revolving
credit facility. Since the beginning of the year, the combined
company has repaid a net of $38 million of debt. The company is
presently evaluating new revolving credit facilities.
The company's income tax recognition for the third quarter and first
nine months of 1996 was impacted by the recording of a valuation
allowance under FAS 109. The valuation allowance is related to both
current period operating losses and foreign tax credits.
The increased valuation allowance is a direct result of BMG's
decision to repatriate all retained and future earnings from the
company's recently acquired Canadian subsidiary. These earnings are
taxed at rates that are in excess of the U.S. federal income tax
rate and will result in excess foreign tax credits in the future.
The company does not foresee the realization of any tax benefits
related to these excess credits.
Attributable gold production for the third quarter was
approximately 215,000 ounces, compared with 168,000 ounces in the
same period a year earlier. For the first nine months of 1996, gold
production totaled 698,000 attributable ounces, compared with 649,000
ounces during the first nine months of 1995.
Increased production was realized from the Golden Giant mine,
compared with 1995 during when a strike affected production.
Cash production costs averaged $226 per ounce sold for the third
quarter and $216 for the first nine months of 1996, compared with
$212 and $190 per ounce sold, respectively, for the same periods in
1995, and exclude the special charges indicated earlier. The higher
operating costs for 1996 primarily reflect increased operating costs
at Kori Kollo and normal operations at Golden Giant.
Elers emphasized that three new, lower cost mines -- Holloway,
Vera/Nancy and Lihir -- are coming into production this year and next
and are expected to significantly lower aggregate cash production and
total operating costs going forward. They will replace three of the
company's smaller, higher cost mines -- San Luis, Silidor and Red Dome
-- which will be phasing out of operation late this year and during
the first half of 1997, as reserves are depleted.
As previously disclosed, discussions with Niugini Mining Limited
(NML) regarding BMG's acquisition of the minority interests of NML had
terminated over valuation issues. Elers noted that the Company's NML
interests are the equivalent of approximately 11 percent of Bmg's
market capitalization, and that the predominant value is its Lihir
investment.
NML's strategic alternatives will be considered by NML's board
in its normal course of business.
Commenting on the changes since the merger, Elers noted that the
company has taken advantage of merger synergies by the closing of
regional and exploration offices in Denver, Helena, Tucson, and
Vancouver, consolidating the offices in Reno and reducing the size of
the Toronto office. Two new exploration offices are being opened in
Rio de Janeiro and Santiago.
In addition, the exploration group has been restructured, with
approximately 90 geologists working under a total annual budget of
$35 million in 13 countries.
Operations
At the flag-ship Golden Giant mine in Ontario, Canada, operations
are generally on plan with total production and cost targets for the
year expected to be met.
The new 85 percent owned Holloway mine, in Ontario, began
operation in the fourth quarter, with about 15,000 attributable
ounces of gold expected to be produced in 1996, and ongoing
production attributable to BMG of about 90,000 ounces annually.
Holloway has an anticipated reserve life of approximately 13 years,
with upside potential.
At the Kori Kollo mine in Bolivia, the company has recently
completed an extensive diamond drilling program to reconfirm results
of earlier vertical and angle reverse circulation (RC) holes as well
as earlier diamond holes. Initial results seem to indicate that
grades in some of the earlier vertical RC holes were overstated and
grades in the diamond holes were understated.
Final results of the program will be available in December.
Progress is also being made on improving metallurgical recoveries,
and in-plant testing is now being done to confirm the knowledge
gained through extensive laboratory work.
At Vera/Nancy, near the Pajingo mine in Australia, a development
decision was announced early in October. Normandy Mining Limited,
which will be the operating partner, has a 50 percent interest in
this Battle Mountain discovery, which has an estimated 1 million
contained ounces of gold. Initial production is anticipated in early
1997.
Mining of the small Vera open pit is now under way and ore is
being stockpiled. Full production from the underground ore is
anticipated by August 1997 at the total annual rate of approximately
100,000 ounces. The deposit is still open at depth below 1,300 feet
over portions of the strike length. Additional exploration and final
reserve definition will be carried out as the underground mining
progresses.
Because of the existing infrastructure, development costs will be
relatively low.
Development Projects
The Crown Jewel project in Washington state, where BMG is earning a
54 percent interest, continues to work through the permitting
process. The final Environmental Impact Statement (EIS) is
anticipated to be issued by year end. Assuming timely permit
issuance and no significant appeals, construction could begin in the
late Spring of 1997, with start-up of the 180,000 ounce per year
project in the mid 1998 time frame.
At the Battle Mountain Complex, permitting and engineering is moving
ahead on the 200,000 ounce per year Phoenix milling project, though
not as quickly as originally projected. The delays are largely due
to an increase in the actual time required to complete the
water-quality modeling now required by the Bureau of Land Management.
Current projections are that the draft EIS will be released in mid
May 1997, with the final EIS in late 1997. Production is anticipated
to begin in the second quarter of 1999.
At the Lihir property, in Papua New Guinea, in which BMG has an
8.6 percent indirect interest, construction remains on schedule for a
start up of gold production from oxide ore in mid 1997. According to
the operator, RTZ, production in 1997 is expected to total 175,000
ounces, or about 15,000 ounces attributable to BMG. In 1998, BMG
expects to realize over 50,000 attributable ounces from Lihir.
At New World, in Montana, work is underway implementing the
previously announced August 12 agreement between Crown Butte
Resources and the federal government.
Under the agreement, Crown Butte, in which BMG has a 60 percent
interest, has suspended its permitting activities at New World and
will endeavor to trade that asset for U.S. Government assets valued
at $65 million. Of the cash proceeds realized from the assets
acquired, $22.5 million will be escrowed for reclamation
expenditures.
Outlook
Elers, explaining that the new BMG is completing the merger
integration process and establishing a new way of doing business,
noted that the company is establishing a firm base from which it will
grow through operational efficiencies, exploration and value-adding
acquisitions. BMG will be supported in those activities by its
strong balance sheet and considerable financial flexibility.
-0-
Corporate Address and Telephone: Battle Mountain Gold Co. 333 Clay Street, Suite 4200, Houston Houston, city (1990 pop. 1,630,553), seat of Harris co., SE Tex., a deepwater port on the Houston Ship Channel; inc. 1837. Economy The fourth largest city in the nation and the largest in the entire South and Southwest, Houston is a port of entry; , TX 77002 Phone: 713/650-6400, Fax: 713/650-3636 INTERNET: http://www.info-mine.com/bmg/ http://www.stockprofiles.com/bmg/ Investor Relations Investor relations The process by which the corporation communicates with its investors. : Questions concerning BMG's operating and financial performance should be directed to: Investor Relations: 713/653-7248 Transfer Agent: Questions and communications regarding dividends or stock transfer services should be directed to: 1-800-524-4458 Shareholder Services Department, 101 Barclay Barclay may refer to:
New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of , N.Y. 10286-1258 -0-
The United States Private Securities Litigation Reform Act of 1995
provides a safe harbor for certain forward-looking statements.
Operating, exploration and other statements and projections in this
release are based on information that the company believes
reasonable, but involve significant uncertainties as to future gold
prices, costs, ore grades, mining and processing conditions, and
regulatory and permitting matters.
Actual results and timetables could vary significantly from the
estimates presented. Also see Form 10-Q for other cautionary
statements.
-0-
BATTLE MOUNTAIN GOLD CO. CONDENSED con·dense v. con·densed, con·dens·ing, con·dens·es v.tr. 1. To reduce the volume or compass of. 2. To make more concise; abridge or shorten. 3. Physics a. CONSOLIDATED BALANCE SHEET consolidated balance sheet A balance sheet in which assets and liabilities of a parent company and its controlled subsidiaries are combined, thereby presenting balance sheet items for the parent and its subsidiaries as if they were a single firm. (UNAUDITED) (in thousands) Sept. 30, Dec. 31, 1996 1995 Assets Current assets Current Assets Appearing on a company's balance sheet, it represents cash, accounts receivable, inventory, marketable securities, prepaid expenses, and other assets that can be converted to cash within one year. Cash and cash equivalents $ 81,506 $ 142,202 Accounts and notes receivable 39,238 30,591 Inventories 14,698 6,286 Materials and supplies, at average cost 32,125 31,695 Other current assets Other Current Assets A balance sheet item that includes the value of non-cash assets due within one year. Notes: Examples are things like prepaid expenses and accounts receivable. 10,044 13,031 Total Current Assets 177,611 223,805 Investments 244,939 244,352 Property, plant and equipment, net 598,869 640,764 Other assets other assets Assets of relatively small value. For financial reporting purposes, firms frequently combine small assets into a single category rather than listing each item separately. 38,254 36,063 Total assets $1,059,673 $1,144,984 Liabilities And Shareholders' Equity Shareholders' Equity A firms' total assets minus its total liabilities. Equivalently, it is share capital plus retained earnings minus treasury shares. Shareholders' equity is the amount by which a company is financed through common and preferred shares. Current liabilities Current Liabilities Usually appearing on a company's balance sheet, it represents the amount owed for interest, accounts payable, short-term loans, expenses incurred but unpaid, and other debts due within one year. Short term borrowings $ -- $ 14,835 Current maturities of long-term debt Long-Term Debt Loans and financial obligations lasting over one year. Notes: For example debts obligations such as bonds and notes which have maturities greater than one year would be considered long-term debt. 13,671 13,427 Accounts payable and accrued liabilities Accrued liabilities are liabilities which have occurred, but have not been paid or logged under accounts payable during an accounting period; in other words, obligations for goods and services provided to a company for which invoices have not yet been received. 37,982 34,869 Income and mining taxes payable 9,456 10,358 Other current liabilities Other Current Liabilities A balance sheet entry used by companies to group together current liabilities that are not assigned to common liabilities such as debt obligations or accounts payable. 5,791 5,049 Total current liabilities 66,900 78,538 Long-term debt 145,857 169,175 Deferred income and mining taxes 121,637 109,754 Other liabilities other liabilities Small and relatively insignificant liabilities. For financial reporting purposes, firms often combine small liabilities into this single category rather than listing each liability separately. 38,824 34,536 Total liabilities 373,218 392,003 Minority interest 111,990 123,569 Shareholders' equity 574,465 629,412 Total liabilities and shareholders' equity $1,059,673 $1,144,984 BATTLE MOUNTAIN GOLD CO. CONDENSED CONSOLIDATED STATEMENT OF INCOME (UNAUDITED) (in thousands, except per share data) Three months ended Nine months ended Sept. 30, Sept. 30, 1996 1995 1996 1995 Sales $ 90,957 $ 75,171 $ 316,315 $ 294,764 Costs and expenses Production costs 55,556 47,077 183,060 160,292 Depreciation, depletion depletion n. when a natural resource (particularly oil) is being used up. The annual amount of depletion may, ironically, provide a tax deduction for the company exploiting the resource because if the resource they are exploiting runs out, they will no longer be able and amortization 20,228 16,901 66,409 59,404 Exploration, evaluation and other lease costs 9,573 9,529 26,867 21,576 Merger expense 19,244 -- 19,997 -- Asset write-downs 38,451 545 38,451 3,646 General and administrative expenses 4,072 4,302 12,930 12,245 Total costs and expenses 147,124 78,354 347,714 257,163 Operating income Operating Income The profit realized from a business' own operations. Notes: This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. (56,167) (3,183) (31,399) 37,601 Investment income 3,487 3,048 8,198 9,233 Interest (expense) (2,888) (2,076) (6,133) (5,460) Other income (expense), net 2,312 354 2,881 6,068 Income before income taxes and minority interest (53,256) (1,857) (26,453) 47,442 Income tax benefit (expense) (2,186) 2,936 (12,482) (9,403) Mining taxes (1,933) 699 (9,689) (6,330) Minority interest in net (income) loss 10,235 (742) 11,899 (3,768) Net income (loss) (47,140) 1,036 (36,725) 27,941 Preferred dividends preferred dividend n. a payment of a corporation's profits to holders of preferred shares of stock. (See: preferred stock) 1,869 1,869 5,606 5,607 Net income(loss) to common shares $ (49,009) $ (833) $ (42,331) $ 22,334 Income(loss) per common share $ (.21) $ -- $ (.18) $ .10 Dividends per common share $ .025 $ .025 $ .05 $ .05 Average common shares outstanding for income per share purposes 229,872 229,031 229,554 233,045 BATTLE MOUNTAIN GOLD CO. CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (UNAUDITED) (in thousands) Nine months ended Sept. 30, 1996 1995 Cash flows from operating activities: Net income $ (36,725) $ 27,941 Adjustments to reconcile net income (loss) to cash flows from operating activities: Depreciation, depletion and amortization 66,409 59,949 Gain on sale of assets (243) (4,590) Asset write-downs 38,451 2,222 Deferred income tax expense (benefit) (4,390) 1,481 Change in current assets and liabilities (16,846) (59,997) Other changes, net (5,959) 5,546 Total Adjustments 77,422 4,611 Net cash flows from operating activities 40,697 32,552 Cash flows used in investing activities: Proceeds from sale of assets 633 4,843 Capital expenditures (40,148) (138,608) Other, net (7,804) (657) Net cash flows used in investing activities (47,319) (128,422) Cash flows from (used in) financing activities: Cash proceeds from stock issuances 1,948 2,966 Cash proceeds from borrowings 18,779 -- Cash dividend payments (20,700) (16,939) Increase (decrease) in short term borrowings (12,979) 31,472 Debt repayments (43,711) (15,473) Other, net 74 (155) Net cash flows from (used in) financing activities (56,589) 1,871 Effect of exchange rate changes on cash and cash equivalents 2,515 7,328 Net decrease in cash and cash equivalents (60,696) (86,671) Cash and cash equivalents at beginning of period 142,202 218,316 Cash and cash equivalents at end of period $ 81,506 $ 131,645 SUPPLEMENTAL INFORMATION BATTLE MOUNTAIN GOLD CO. OPERATING DATA (Unaudited) (a) Three months ended Nine months ended Sept. 30, Sept. 30, 1996 1995(b) 1996 1995(b) GOLDEN GIANT Gold recovered (000s oz) (c) 83 11 285 198 Silver recovered (000s oz) 4 2 12 12 Gold sold (000s oz) 83 11 285 198 Silver sold (000s oz) 4 2 12 12 Cost Per Gold Ounce ounce, in zoology ounce, in zoology: see leopard. ounce, unit of measurement ounce: see English units of measurement. Sold (c) Cash production costs $151 $ 67 $132 $119 Depreciation, depletion and amortization 66 26 62 53 Reclamation and mine closure costs 3 -- 2 2 Total Production costs $220 $ 93 $196 $174 KORI KOLLO Gold recovered BMG share (000s oz) 67 78 203 222 Silver recovered BMG share (000s oz) 203 268 630 839 Gold recovered (000s oz) 76 88 231 252 Silver recovered (000s oz) 231 305 715 953 Gold sold BMG share (000s oz) 69 79 208 223 Silver sold BMG share (000s oz) 210 270 648 847 Gold sold (000s oz) 79 90 237 253 Silver sold (000s oz) 238 307 736 963 Cost Per Gold Ounce Sold (c) Cash production costs $231 $178 $226 $175 Depreciation, depletion and amortization 106 88 102 87 Reclamation and mine closure costs 3 3 3 3 Total Production costs $340 $269 $331 $265 BATTLE MOUNTAIN COMPLEX Gold recovered (000 oz) 17 18 53 56 Silver recovered (000 oz) 45 50 171 153 Gold sold (000s oz) 16 18 51 56 Silver sold (000s oz) 42 50 168 153 Cost Per Gold Ounce Sold (c) Cash production costs $344 $307 $326 $305 Depreciation, depletion and amortization 67 69 70 58 Reclamation and mine closure costs 61 4 31 4 Total Production costs $472 $380 $427 $367 SUPPLEMENTAL INFORMATION BATTLE MOUNTAIN GOLD CO. OPERATING DATA (Unaudited) (a) Three months ended Nine months ended Sept. 30, Sept. 30, 1996 1995(b) 1996 1995(b) SAN LUIS San Luis, city (1991 pop. 110,353), capital of San Luis prov., W central Argentina. The city is the commercial center of an area producing cattle, corn, and asparagus; the surrounding area has timber and mineral resources. San Luis is a popular resort. Gold recovered (000 oz) 15 18 48 54 Silver recovered (000 oz) 9 8 28 23 Gold sold (000s oz) 15 18 48 55 Silver sold (000s oz) 9 8 28 23 Cost Per Gold Ounce Sold Cash production costs $273 $268 $286 $257 Depreciation, depletion and amortization 133 105 101 99 Reclamation and mine closure costs 13 9 15 8 Total Production costs $419 $382 $402 $364 PAJINGO Gold recovered (000 oz) 7 10 27 26 Silver recovered (000 oz) 14 5 24 38 Gold sold (000s oz) 7 10 27 26 Silver sold (000s oz) 14 8 24 42 Cost Per Gold Ounce Sold Cash production costs $186 $206 $243 $164 Depreciation, depletion and amortization 82 193 100 107 Reclamation and mine closure costs -- 2 2 5 Total Production costs $268 $401 $345 $276 SAN CRISTOBAL Gold recovered BMG share (000s oz) 9 10 30 32 Silver recovered BMG share (000s oz) 22 27 74 73 Gold recovered (000s oz) 18 20 59 62 Silver recovered (000s oz) 43 54 146 144 Gold sold BMG share (000s oz) 9 10 30 32 Silver sold BMG share (000s oz) 21 26 73 72 Gold sold (000s oz) 18 20 59 62 Silver sold (000s oz) 42 52 144 142 Cost Per Gold Ounce Sold (c) Cash production costs $372 $302 $356 $303 Depreciation, depletion and amortization 102 92 99 90 Reclamation and mine closure costs -- -- -- -- Total Production costs $474 $394 $455 $393 SUPPLEMENTAL INFORMATION BATTLE MOUNTAIN GOLD CO. OPERATING DATA (Unaudited) (a) Three months ended Nine months ended Sept. 30, Sept. 30, 1996 1995(b) 1996 1995(b) RED DOME Gold recovered BMG share (000s oz) 10 14 33 40 Silver recovered BMG share (000s oz) 53 59 213 242 Gold recovered (000s oz) 20 29 65 78 Silver recovered (000s oz) 105 116 421 474 Copper recovered (000s lbs) 1,775 1,964 6,936 8,267 Gold sold BMG share (000s oz) 3 7 23 29 Silver sold BMG share (000s oz) 5 7 153 154 Gold sold (000s oz) 6 13 46 57 Silver sold (000s oz) 10 12 303 300 Copper sold (000s lb) -- -- 4,515 5,258 Cost Per Gold Ounce Sold Cash production costs $280 $157 $235 $150 Depreciation, depletion and amortization 81 112 133 142 Reclamation and mine closure costs 31 5 11 (3) Total Production costs $392 $274 $379 $289 SILIDOR JOINT VENTURE (55% INTEREST) Gold recovered (000s oz) 6 8 19 22 Silver recovered (000s oz) -- -- -- -- Gold sold (000s oz) 6 8 19 22 Silver sold (000s oz) -- -- -- -- Cost Per Gold Ounce Sold Cash production costs $334 $315 $347 $336 Depreciation, depletion and amortization 106 68 70 66 Reclamation and mine closure costs 10 7 3 8 Total Production costs $450 $390 $420 $410 SUPPLEMENTAL INFORMATION BATTLE MOUNTAIN GOLD CO. OPERATING DATA (Unaudited)(a) Three months ended Nine months ended Sept. 30, Sept. 30, 1996 1995(b) 1996 1995(b) AGGREGATE DATA Gold recovered BMG share (000s oz) 215 168 698 649 Gold sold BMG share (000s oz) 208 161 691 641 Gold recovered (000s oz) 243 202 787 748 Gold sold (000s oz) 230 188 771 729 Average price per oz realized $388 $386 $394 $383 Silver recovered BMG share (000s oz) 350 420 1,151 1,380 Silver sold BMG share (000s oz) 304 372 1,105 1,304 Silver recovered (000s oz) 451 541 1,517 1,797 Silver sold (000s oz) 359 440 1,415 1,634 Average price per oz realized $5.06 $5.09 $5.30 $5.19 Weighted Average Cost Per Gold Ounce Sold(c) Cash production costs $226 $212 $216 $190 Depreciation, depletion and amortization 89 91 86 81 Reclamation and mine closure costs 8 3 6 2 Total Production costs $323 $306 $308 $273 (a) Effective in the second quarter of 1996, BMG has begun reporting its operating costs operating costs npl → gastos mpl operacionales on the basis adopted earlier this year by The Gold Institute. As a result, in addition to mining, milling and plant level G&A expenses, cash production costs include royalties Not to be confused with Royal family. Royalties (sometimes, running royalties) are usage-based payments made by one party (the "licensee") to another (the "licensor") for ongoing use of an asset, most typically an intellectual property (IP) right. , freight The price or compensation paid for the transportation of goods by a carrier. Freight is also applied to the goods transported by such carriers. The liability of a carrier for freight damaged, lost, or destroyed during shipment is determined by contract, statute, or , smelting smelting, in metallurgy, any process of melting or fusion, especially to extract a metal from its ore. Smelting processes vary in detail depending on the nature of the ore and the metal involved, but they are typified in the use of the blast furnace. costs and allowances and production taxes. Credits for by-product by·prod·uct or by-prod·uct n. 1. Something produced in the making of something else. 2. A secondary result; a side effect. by-product Noun 1. silver and copper are offset against these cash production costs. This new North American North American named after North America. North American blastomycosis see North American blastomycosis. North American cattle tick see boophilusannulatus. standard also provides for reporting on a cost per gold ounce basis, rather than cost per equivalent gold ounce. (b) Restated to conform with new operating cost reporting standard. (c) Excludes asset write downs in 1996 and 1995 and ounces produced and costs incurred by at the Golden Giant mine The Golden Giant Mine was an underground gold mine in the Hemlo mining camp in Canada, located north of Lake Superior, midway between Sault Ste. Marie and Thunder Bay, Ontario near the town of Marathon. during the 1995 strike. CONTACT: Battle Mountain Gold Co., Houston Les Van Dyke Van Dyke (or van/Van Dijk or Dyk etc) is a surname of Dutch origin. It refers to:
|
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion