Q3 Financials - still very good (also, progress at projects)The financials are still looking nice. There is no justification for this being a 2 cent stock.
Q3 Revenue - CAD $21.5 million (C $32.3M for 9 mths)
Adjusted EBITDA - $11.6 million ($15.3M for 9 mths)
Total Cash Cost Per Oz - CAD $611 (C $669 for 9 mths)
Roman Kashuba, CEO commented, “With the increase of gold price and stable TCC we were able to deliver robust revenue and cash inflow from our Savkino deposit. Meanwhile we actively develop our other assets – Nasedkino and Zolinsk-Arkiinskoe deposits.”
Some highlights from the MD&A:
* Mine construction process has started at Nasedkino (with ordering of big equipment supply items to build the factory).
Pg 3 (Subsequent Developments): ``On 2nd of November the Company concluded agreement with Citic Heavy Industries Co, LTD for supply of equipment to build factory for Dalsvetmet LLC (Nasedkino deposit). The Contract value is 9 mln USD. The equipment will be delivered during 2017 in the process of construction of factory. The contract will be financed partially using internal resources and partially using bank loan.``
* Looks like really good progress at Zolinsk-Arkiinskoe. I know they already have a mining permit to mine the alluvial deposits - only alluvial for now. They will likely need another permit for bedrock mining once they reach that stage. As you may recall, alluvial deposits are essential loose gold on the surface, often along riverbeds and such. Alluvial mining can keep them busy for years, without have to get into bedrock mining, if the alluvial deposits are large enough. Alluvial mining should be very profitable at these gold prices, depending on the efficiency of the operation, and scale also.
Pg 3: ``In the end of 2016 the Company is going to start the preparation of Technical project of extraction in alluvial reserves on the basin of river Shirokaya. In 2017 the Company plans to start extraction.``
* They also made some exploration progress at Savkino also, but did`t update the 43-101 report as yet. They plan on doing so after the next round of drilling.
You can find the MD&A report on the company`s website, as well as the Financials.
Here is the NR:
https://mangazeyamining.ru/news/mangazeya-mining-announces-filing-q3-9-months-2016-financial-statements-mda-quarterly-highlights-approval-charter-board-directors-confidentiality-disclosure/