Make Kitco Your Homepage

SSR Mining reports lower gold equivalent production and net income in Q1, says on track to meet 2022 guidance

Kitco News

Editor's Note: With so much market volatility, stay on top of daily news! Get caught up in minutes with our speedy summary of today's must-read news and expert opinions. Sign up here!

(Kitco News) - SSR Mining (TSX: SSRM) reported today that the company delivered first quarter production of 173,675 gold equivalent ounces at AISC of $1,093/oz, down 11% compared to Q1 2021 (196,094 ounces).

According to the company's statement, its previously announced full year 2022 guidance of 700,000 – 780,000 gold equivalent ounces at AISC of $1,120 to $1,180 per gold equivalent ounce is unchanged and remains weighted to the second half of the year.

SSR Mining reported record quarterly production of 52,582 ounces at Seabee as the company accessed a continuation of a high-grade zone outside of the Mineral Reserve that was first mined in the second quarter of 2021.

"Similarly at Çöpler, the ramp up of the flotation circuit is well underway, allowing us to process a record number of tonnes through the sulfide plant in the quarter," the company noted in a statement.

President and CEO Rod Antal added that the first quarter of 2022 continued SSR Mining's proud track record of operational outperformance and that the company continues to expect stronger production in the quarters ahead.

The company said it generated cash flows from operating activities of $62.2 million and free cash flow of $27.7 million, adding that free cash flow was impacted by increased tax and royalty payments, as well as increased working capital outlays, in the first quarter and remains significantly second half weighted.

Chile's mining sector contracts in March as local copper production falls 5%

SSR Mining also pointed out that net income attributable to its equity holders was $67.6 million in Q1 2022, which is lower than net income of $108.9 million a year ago.  

In addition, the company said that its Board of Directors declared a quarterly cash
dividend of $0.07 per common share payable on June 9, 2022 to holders of record at the close of business on May 13, 2022.

SSR Mining is a leading, free cash flow focused gold company with four producing operations located in the USA, Turkey, Canada, and Argentina, combined with a global pipeline of development and exploration assets. In 2021, the four operating assets produced approximately 794,000 gold-equivalent ounces.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.