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Eldorado Gold Posts 2Q Loss, Hikes Output Guidance

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Eldorado Gold Corp. (TSX: ELD; NYSE: EGO) reports a loss for the second quarter but raised output guidance for full-year 2018. The company posted a net loss of $24.4 million, or 3 cents per share, compared to a profit of $11.2 million, or 2 cents, in the same quarter a year ago. However, Eldorado says, the loss was primarily due to several significant non-cash charges. Otherwise, the adjusted loss was $1.8 million, or zero cents per share, compared to a profit of $6.3 million, or a penny, in the year-ago period. Gold production was 99,105 ounces, including 3,134 ounces of pre-commercial production from Lamaque. This was up 56% from 63,692 in the second quarter of 2017. Key permitting milestones included confirmation that construction of a mill at Kisladag can proceed under the existing environmental impact assessment, Eldorado says. The rise in output guidance is due to expected higher production at Kisladag. “This was an excellent quarter for us. Production was strong, driven by better-than-expected ounces from the heap leach pad at Kisladag,” says George Burns, president and chief executive officer. “We achieved lower costs at Olympias, reflecting mill and filter press optimizations. With production and costs continuing to trend positively, we have increased full-year guidance to 330,000-340,000 ounces of gold (from 290,000 to 330,000)….Development continues ahead of schedule at Lamaque and we are on track to complete the feasibility study for a mill at Kisladag in the third quarter of this year.”

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