GoGold more than doubles net income in first quarter
(Kitco News) - GoGold Resources (TSX: GGD) (OTCQX: GLGDF) today reported a revenue of $13.2 million in Q1 2021 (Q1 2020 - $8.6 million) from the sale of 541,608 silver equivalent ounces which provided cash flow from operations of $3.3 million.
The company produced 551,207 silver equivalent ounces at its Parral operation in Mexico, consisting of 302,933 silver ounces, 3,208 gold ounces, and 86 copper tonnes.
The company said that free cash flow from Parral was $6.3 million and the company’s cash flow from operations before working capital was $4.9 million ($3.3 million after working capital).
Net income was $2.7 million ($0.01 per share) in Q1 2021 compared to a net loss of $2 million in Q1 2020.
"Parral had another great quarter, generating $6.3 million in free cash flow, which is being reinvested into Los Ricos, which we believe will generate great value for our shareholders," president and CEO Brad Langille stated. "We have successfully renegotiated the Parral off-take agreement which we believe will increase quarterly cash flows by approximately $300,000 on a go-forward basis."
GoGold Resources is a Canadian-based silver and gold producer focused on operating, developing, exploring and acquiring high quality projects in Mexico. The company operates the Parral tailings mine in the state of Chihuahua and has the Los Ricos South and Los Ricos North exploration projects in the state of Jalisco.