Golconda Gold Ltd V.GG

Alternate Symbol(s): GGGOF

Metals & Mining Gold

Golconda Gold Ltd. is a gold producer and explorer with mining operations and exploration tenements in South Africa and the United States. Its principal business activities are the exploration, development, and operation of gold mining properties. It operates through its wholly owned subsidiary, Galane Gold Mines Ltd., two assets: a producing mine which also has the rights to certain mineral exploration tenements (the mine and mineral exploration tenements collectively, the Galaxy Property) located in the Republic of South Africa (South Africa), through subsidiaries located in Mauritius and South Africa; and a mine and processing infrastructure located in the United States of America (the Summit Property). Its Galaxy gold property is situated about eight kilometers (km) west of the town of Barberton and 45 km west of the provincial capital of Nelspruit in the Mpumalanga Province of South Africa. The property covers 58.6 square kilometers and is part of the Barberton Greenstone Belt.

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Golconda Gold Ltd > good financials, almost debt free

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Post by onetimeron Aug 23, 2022 9:52am

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Post# 34913789

good financials, almost debt free

Earnings from operations of $0.5 million (Q2 2021 - $1.0 million).
Positive cash flows from operating activities of $0.3 million (Q2 2021 - $0.5 million operating cash outflow).
1,760 payable ounces of gold sold at an operating cash cost before royalties of $1,416 per ounce (1) .
Post quarter-end, the Company entered a new offtake agreement for its Galaxy operation, providing a higher payable percentage for gold content in its concentrate and an unsecured $3 million revolving finance facility.

Year to Date 2022 Highlights (“YTD 2022”)

Galaxy produced 4,465 tonnes of concentrate containing 5,489 ounces of gold (YTD 2021 - 3,126 tonnes of concentrate containing 3,236 ounces of gold).
Earnings from operations of $2.3 million (YTD 2021 - $0.7 million).
4,117 payable ounces of gold sold at an operating cash cost before royalties of $1,216 per ounce (1) .
Positive cash flows from operating activities of $1.3 million (YTD 2021 - $1.2 million operating cash outflow).
$1.2 million of debt repaid (YTD 2021 - $1.6 million of debt repaid).
The sale of Mupane has recharged our balance sheet with the removal of over $17 million in liabilities and, as a result at the end of Q2 2022, the Company had net debt of less than $1 million. Consequently, post quarter end, the Company was able to finalise a new revolving finance facility for Galaxy to enable continued investment to support the ramp-up of production. (2) ”