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Hummingbird Resources maintains guidance, increases revenue by one-third

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(Kitco News) - Hummingbird Resources (AIM:HUM) said Wednesday it sold 56,095 ounces of gold at an average price of US$1,621/oz in H1.

The African miner said 2020 guidance is maintained at 110,000 - 125,000 oz at an ASIC of up to US$995 per oz as previously announced.

The company had $92 million of revenue for the period, up one-third from H1 2019's $67.1 million. The all-in-sustaining-cost was $936/oz

Adjusted EBITDA for the period was $38.9 million.

CEO Dan Betts said the situation in Mali is being monitored.

"The recent political unrest in Mali, while a concern, has not impacted our current operations, which are some 280kms from the capital, however, we are closely monitoring any potential impact it may have on logistics. We have a highly capable security team in country and on site who are keeping our operations, contractors and management teams well informed of on- going developments so as to safeguard our employees, contractors, communities, operations and assets," said Betts.

"The first half of the year was busy in terms of M&A activity. The acquisition of Kouroussa is a significant step forward in our growth strategy to be a multi-asset producer and provides us with the potential to develop another asset into production, which also has significant exploration upside. Additionally, the earn in agreement with ARX for Dugbe, Liberia will enable us to realise value from the project whilst allowing us to focus on our core business.  The recent announcement from Pasofino Gold is a positive development and we look forward to further updating the market with progress at the project."

Betts said the 2020 exploration program is 75% complete and over 12,000 metres of drilling has been completed at the potential underground mine at Komana East, as well as other resource and greenfield exploration programs.

With increase revenue, the company said debt has been significantly reduced.

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