Strong financial results appear to be the main theme among most gold mining companies. The stellar results could be attributed to, among other things, the high gold prices that have made the mining and exploration business highly lucrative. With prices above $1700 an ounce, companies are finding it easy to top estimates and guidance.
Steppe Gold Quarterly Results
Steppe Gold Limited (TSE:STGO) (OTCQX:STPGF) is the latest to report impressive results. The company delivered $13.2 million in revenues at the back of strong margins. During the quarter, it produced 7,923 ounces of gold at a realized price per ounce of $1,882.It also delivered 3,429 ounces of silver at an annualized price of $23 from its flagship ATO gold operation.
Robust revenue growth allowed the company to remain cash flow strong with operating income topping highs of $8.3 million on costs of $6.7 an ounce sold. Likewise, it finished the quarter with $32.6 million in cash.
Steppe Gold Limited is one of the company’s that has taken advantage of a spike in gold prices to record highs. Having started production from the ATO gold mine in March, the company has continuously raised the grade being mined, which topped 2.3 grams per ton in the fourth quarter from 2.2 in the third quarter and 1.7 in the second quarter.
As Steppe Gold Limited continues to accelerate gold mining operations, Granada Gold Mine Inc. (TSXV: GGM) and Canada Silver Cobalt Works Inc. (TSXV: CCW) (OTC: CCWOF) have inked a strategic partnership. The two have confirmed plans to use the Re-20X process to extract rare earth and alkali metals recently discovered at the Granada gold Mine property. The Re-20x process has previously been used in the production of cobalt sulphide compound at SGS Canada.
Separately Premier Gold Mines Limited (TSX: PG) (OTCPK: PIRGF) has secured approval for a proposed arrangement with Equinox Gold Corp from the Federal Economic Competition Commission. Likewise, the Toronto Stock Exchange has approved the listing of the common shares of i-80 Gold Corp as part of the arrangement.