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McEwen posts net loss of $19.3 million in first quarter as gold equivalent production down 18%

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(Kitco News) - McEwen Mining (TSX: MUX) yesterday reported its Q1 2022 production of 20,850 gold ounces and 336,500 silver ounces, or 25,100 gold equivalent ounces (GEOs), a decline of 18% compared to 30,600 GEOs during Q1 2021.

The company said that average cash cost per GEO sold from its 100%-owned mines in Q1 was $1,696, below the company’s guidance of $1,940 to 2,100 per GEO.

The company’s consolidated net loss in Q1 was $19.3 million, or $0.04 per share, which relates primarily to $14.4 million invested in exploration and advanced projects and a gross loss of $6.0 million from its operations.

The company added that its cash, cash equivalents and restricted cash at March 31, 2022 were $70.4 million, of which $35.6 million is attributable to McEwen Copper.

“Management continues to work diligently to address operational challenges and reduce costs, while continuing to invest in exploration and the advancement of McEwen Copper’s Los Azules project,” the company said in a statement.

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 has an exposure to copper through its subsidiary McEwen Copper, owner of the Los Azules copper deposit in Argentina.

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