Rob McEwen 'deeply pained' for the company's 'awful' financial performance in 2019 and 2020
(Kitco News) - Rob McEwen, Chairman & Chief Owner of McEwen Mining (NYSE: MUX) (TSX: MUX), said that he is "deeply pained" by the company's "awful" financial performance in 2019 and 2020, but McEwen Mining is "shaping a better future."
The company announced Thursday that for the full-year 2020, production was 114,800 gold equivalent ounces (GEOs), or 34% less compared to 174,400 GEOs in 2019.
McEwen Mining's consolidated net loss in 2020 of $152.3 million, or $0.38 per share relates primarily to the impairment for the Gold Bar mine of $83.8 million; investment of $27.5 million on advanced projects and exploration; a gross loss of $27 million from our operations; and general and administrative costs of $9 million.
The company's three 100%-owned mines generated a cash gross loss of $4.0 million in 2020, and a gross loss of $27 million.
McEwen Mining expects that its 2021 gold equivalent production to be in the range of 141,000 to 160,400 GEOs, a 23% to 40%increase over 2020.
Rob McEwen added, "2020 was a brutal year but we more than survived and have come out stronger from it."
"This year will not be stellar as we continue to fix operating issues and continue to invest in exploration and business systems - the foundations for a strong mining company. Looking beyond this year, myself and our entire senior management team, many of which are new hires, feel very optimistic about the company's growth," concluded McEwen.
McEwen Mining is a diversified gold and silver producer and explorer focused in the Americas with operating mines in Nevada, Canada, Mexico and Argentina. It also owns a large copper deposit in Argentina.