Richmont Reports Dip In 1Q Output But Costs Also Decline
Richmont Mines Inc. (TSX, NYSE: RIC) reports first-quarter production of 29,401 ounces of gold, comparable to 29,505 in the fourth quarter but down from 32,369 in the same period a year ago, although the company says the January-March result was in line with guidance. Cash costs were C$791, down from C$952 in the fourth quarter and C$800 a year ago. Richmont reports that the Island Gold Mine produced 23,772 ounces of gold, at cash costs of C$668 per ounce, which is a 19% decrease over the prior quarter. "The Island Gold Mine has delivered another quarter of solid production as well as lower cash costs, confirming the potential of this operation as we continue to transform the mine into one of the lowest-cost underground gold producers in the Americas,” says Renaud Adams, president and chief executive officer. “The expansion case PEA (preliminary economic assessment) is nearing completion and we remain confident that we will issue a positive report that will support the 1,100 tonnes-per-day expansion scenario while achieving our overall low cost objective."