Alio Gold Inc (TSX:ALO) (NYSE MKT:ALO) (“Alio
Gold” or the “Company”), announces preliminary production results
from its 100% owned San Francisco Mine in Sonora, Mexico for the
Company’s third quarter (“Q3”) ended September 30, 2017. The
Company expects to release its full Q3 2017 results on November 9,
2017 and will host a conference call that same day (details at the
end of this release).
Third Quarter 2017
Highlights
- Produced 19,429 ounces of gold
- Maintained Q4 2017 guidance at 20,000 to 22,000 ounces of
gold
- Reiterated full year 2017 guidance with range tightened to
between 88,000 to 90,000 ounces
- Strengthened balance sheet with $68.5 million cash at September
30, 2017
“Production at the San Francisco mine for Q3 and
the nine months ended September 30 was 19,429 ounces and 67,488
ounces, respectively,” said Greg McCunn, Chief Executive Officer.
“The third quarter was expected to be the most challenging period
in the 2017 mine plan as we finished mining Phase 1 of the La
Chicharra pit and had not fully completed the stripping of Phase 5
of the San Francisco Main pit. However, we did manage to source
alternative ore to keep the crushers full and have now opened Phase
5. In addition, a second mining contractor has been mobilized to
commence the pre-stripping of Phase 2 of the La Chicharra pit
giving us more mining flexibility and capacity heading into 2018.
Looking ahead, we remain on track to achieve our annual gold
production guidance and have tightened the range to between 88,000
to 90,000 ounces.
“Our balance sheet was strengthened following
the completion of the bought deal financing in July. With
approximately $68.5 million in cash on hand as at September 30,
2017, we have now commenced our revitalization projects at San
Francisco including pre-stripping, the crusher upgrade and power
infrastructure upgrades. As we complete these important projects
over the coming year, we will see improvements in gold recovery and
operating costs.”
Mining and Processing
Category |
Three months ended Sept
30 |
Nine months ended Sept
30 |
2017 |
2016 |
2017 |
2016 |
Ore Processed (t) |
1,916,332 |
1,791,399 |
5,812,892 |
5,734,677 |
Average Grade Processed (g/t) |
0.40 |
0.61 |
0.45 |
0.61 |
Waste Mined (t) |
5,184,524 |
3,724,904 |
12,727,186 |
12,162,717 |
Total Mined (t) |
6,830,131 |
5,469,985 |
17,966,165 |
17,755,794 |
Strip Ratio (W:O) |
3.15 |
2.13 |
2.43 |
2.17 |
Gold Produced (oz) |
19,429 |
24,052 |
67,488 |
75,036 |
Silver Produced (oz) |
8,808 |
13,868 |
31,038 |
43,423 |
Sales and Revenue
Gold produced and sold during the quarter was
19,429 ounces and 19,601 ounces, respectively. The average selling
price realized was $1,278/oz resulting in $25.2 million in metal
revenues. The Company had approximately $68.5 million in cash as at
September 30, 2017, an increase from $35.9 million at June 30,
2017.
Category |
Three months ended Sept
30 |
Nine months ended Sept
30 |
|
2017 |
|
2016 |
|
2017 |
|
2016 |
Gold Sold (oz) |
|
19,601 |
|
23,327 |
|
67,144 |
|
74,468 |
Realized Gold Price ($/oz) |
$ |
1,278 |
$ |
1,338 |
$ |
1,252 |
$ |
1,240 |
Conference Call
The Company will release its 2017 third quarter
results prior to the market open on November 9, 2017, followed by a
conference call and webcast at 11:00am (EDT).
Third quarter conference call and
webcast details:
Date: |
Thursday, November 9, 2017 |
Time: |
11:00am (EDT) |
Toll Free (US and Canada): |
(855) 427-9509 |
Toll Free (Outside North America): |
(210) 229-8822 |
Conference ID: |
96572303 |
Webcast: |
https://edge.media-server.com/m6/p/6giz9ibu |
Replay: |
To be available at http://www.aliogold.com |
About Alio Gold
Alio Gold is a Canadian gold mining company
engaged in exploration, development and production in Mexico.
Its principal assets include the producing San Francisco Mine in
Sonora, Mexico and the development stage Ana Paula Project in
Guerrero, Mexico. The Company also has a portfolio of other
exploration properties, all of which are located in Mexico.
Investor Contact
Lynette GouldVice President, Investor
Relations604-638-8976lynette.gould@aliogold.com
Cautionary Note Regarding
Forward-Looking StatementsCertain statements and
information contained in this news release constitute
“forward-looking statements” within the meaning of applicable U.S.
securities laws and “forward-looking information” within the
meaning of applicable Canadian securities laws, which we refer to
collectively as “forward-looking statements”. Forward-looking
statements are statements and information regarding possible
events, conditions or results of operations that are based upon
assumptions about future economic conditions and courses of action.
All statements and information other than statements of historical
fact may be forward-looking statements. In some cases,
forward-looking statements can be identified by the use of words
such as “seek”, “expect”, “anticipate”, “budget”, “plan”,
“estimate”, “continue”, “forecast”, “intend”, “believe”, “predict”,
“potential”, “target”, “may”, “could”, “would”, “might”, “will” and
similar words or phrases (including negative variations) suggesting
future outcomes or statements regarding an outlook.
Forward-looking statements in news release
herein by reference include, but are not limited to statements and
information regarding: the Company's future mining activities,
including mining capacity, recovery, cash costs, production and
mine life; the Company's reserves and resources estimates; the
Company’s exploration and development plans, including anticipated
costs and timing thereof; the Company’s plans for growth through
exploration activities, acquisitions or otherwise; and expectations
regarding future maintenance and capital expenditures, working
capital requirements, the availability of financing and future
effective tax rates. Such forward-looking statements are based on a
number of material factors and assumptions, including, but not
limited to: that contracted parties provide goods or services in a
timely manner, that no unusual geological or technical problems
occur, that plant and equipment function as anticipated and that
there is no material adverse change in the price of gold, costs
associated with production or recovery. Forward-looking statements
involve known and unknown risks, uncertainties and other factors
which may cause actual results, performance or achievements, or
industry results, to differ materially from those anticipated in
such forward-looking statements. The Company believes the
expectations reflected in such forward-looking statements are
reasonable, but no assurance can be given that these expectations
will prove to be correct and you are cautioned not to place undue
reliance on forward-looking statements contained herein.
Some of the risks and other factors which could
cause actual results to differ materially from those expressed in
the forward- looking statements contained in this news release
herein by reference include, but are not limited to: risks and
uncertainties relating to the interpretation of drill results, the
geology, grade and continuity of mineral deposits and conclusions
of economic evaluations; results of initial feasibility,
pre-feasibility and feasibility studies, and the possibility that
future exploration, development or mining results will not be
consistent with the Company’s expectations; risks relating to
possible variations in reserves, resources, grade, planned mining
dilution and ore loss, or recovery rates and changes in project
parameters as plans continue to be refined; mining and development
risks, including risks related to accidents, equipment breakdowns,
labour disputes (including work stoppages and strikes) or other
unanticipated difficulties with or interruptions in exploration and
development; the potential for delays in exploration or development
activities or the completion of feasibility studies; risks related
to the inherent uncertainty of production and cost estimates and
the potential for unexpected costs and expenses; risks related to
commodity price and foreign exchange rate fluctuations; the
uncertainty of profitability based upon the cyclical nature of the
industry in which the Company operates; risks related to failure to
obtain adequate financing on a timely basis and on acceptable terms
or delays in obtaining governmental or local community approvals or
in the completion of development or construction activities; risks
related to environmental regulation and liability; political and
regulatory risks associated with mining and exploration; risks
related to the uncertain global economic environment; and other
factors contained in the section entitled “Risks and Uncertainties”
per above.
Although the Company has attempted to identify
important factors that could cause actual results or events to
differ materially from those described in the forward-looking
statements, you are cautioned that this list is not exhaustive and
there may be other factors that the Company has not identified.
Furthermore, the Company undertakes no obligation to update or
revise any forward-looking statements included in, or incorporated
by reference in, this news release if these beliefs, estimates and
opinions or other circumstances should change, except as otherwise
required by applicable law.
For further information, please
contact:
Lynette GouldVice President, Investor
Relations604-638-8976lynette.gould@aliogold.com
Neither the TSX nor its Regulation Services
Provider (as that term is defined in the policies of the TSX) nor
the New York Stock Exchange MKT accepts responsibility for the
adequacy or accuracy of this news release.
Alio Gold (AMEX:ALO)
Historical Stock Chart
From Mar 2024 to Apr 2024
Alio Gold (AMEX:ALO)
Historical Stock Chart
From Apr 2023 to Apr 2024