Palladium miner reports quarterly loss.
North American Palladium recorded a loss of $68.5 million during the third quarter for its Lac des lies mine, north of Thunder Bay.
Still, the mine reported a 78 per cent increase in palladium production over the same quarter last year at 57,914 ounces.
"This was a key quarter for the company," said Jim Gallagher, president-CEO, in a Nov. 6 news release.
"With the sponsorship of Brookfield Capital Partners, we recapitalized the balance sheet and raised $50 million of equity. We made some difficult but necessary decisions to reduce costs at both our Toronto head office and at the mine site. Our operations performed well but can still do better following the return to regular production after a difficult second quarter."
The company completed a recapitalization program on Aug. 6 which reduced the company's debt by $359.8 million. The total debt decreased to $43.7 million, improving the debt to equity ratio to 0.09:1, compared to $405.4 million on June 30 when it was 4.38:1.
"We continue to meet our commitments in the area of health, safety and the environment," said Gallagher. "At the end of September, we modified our operating strategy to respond to a weaker price environment and ceased processing of low grade stockpiled ore. We are focused on profitability and creating long term value for our shareholders."
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|Publication:||Northern Ontario Business|
|Article Type:||Financial report|
|Date:||Dec 1, 2015|
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