Coeur reports higher silver and lower gold production in first quarter, reaffirms full year guidance
(Kitco News) - Coeur Mining (NYSE: CDE) reported today that in Q1 2022, the company produced 75,409 ounces of gold (Q1 2021: 85,225 ounces) and 2.5 million ounces of silver (Q1 2021: 2.4 million ounces).
The company said that solid performances at Palmarejo and Wharf more than offset COVID-19 impacts at Kensington and lower production levels at Rochester.
According to a press-release, production during the first quarter was in-line with Coeur’s expectations, leading the company to reaffirm 2022 guidance.
The company’s first quarter 2022 revenue totaled $188 million compared to $208 million in the prior period and $202 million in the first quarter of 2021.
Quarterly operating cash flow totaled $(6) million compared to $35 million in the prior period, mainly driven by lower metal sales and changes in working capital. The company also reported Q1 2022 net income of $7.7 million (Q1 2021: $2.1 million).
“Coeur delivered first quarter gold and silver production in-line with expectations, and we remain positioned to meet full-year 2022 guidance,” said Mitchell J. Krebs, President and CEO. “Our site operating teams continue to address industry-wide cost pressures through innovative business improvement initiatives and efficiency enhancements that have helped to mitigate the impact of global inflation.”
He also noted that the pace of development activity at the company’s Rochester POA 11 expansion project continues to accelerate.
“Following completion and ramp-up, Rochester is expected to drive a new growth phase for Coeur, featuring robust precious metals production and free cash flow from an exclusively North American asset base with a large and growing U.S. footprint,” he added.
Coeur Mining is a U.S.-based precious metals producer with four wholly-owned operations: the Palmarejo gold-silver complex in Mexico, the Rochester silver-gold mine in Nevada, the Kensington gold mine in Alaska and the Wharf gold mine in South Dakota. In addition, the company wholly-owns the Silvertip silver-zinc-lead development project in British Columbia and has interests in several precious metals exploration projects throughout North America.
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