'Argonaut Gold still on the right track'Argonaut Gold (AR.TO) has reported its Q3 production numbers, and with a total production of almost 27,000 ounces of gold, the company is on track to meet the (lower part of) its production guidance of 120-140,000 ounces of gold this year. According to the company, the production at El Castillo was impacted by the rain season, but we think the lower than average grade is a better reason for the production shortfall. The average grade which was processed during the first 9 months of this year was approximately 8% lower than last year, which obviously also has an impact on the production numbers.
By the end of this year, both operations should have a combined output of 150-160,000 ounces per year, which bodes well for the company’s operating cash flow in 2014.
https://www.caesarsreport.com/blog/argonaut-gold-is-still-on-the-right-track/