Make Kitco Your Homepage

McEwen Mining posts Q2 net loss of $12.4 million on investment in Los Azules copper project

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) - McEwen Mining (TSX: MUX) reported Thursday that its Q2 2022 production was 27,600 gold ounces and 704,600 silver ounces, or 36,100 gold equivalent ounces (GEOs), down 11% compared to 40,700 GEOs produced in Q2 2021.

Average cash costs per GEO sold from the company’s 100%-owned mines in Q2 were $1,169, 15% below its guidance midpoint of $1,380 per GEO. Average all-in sustaining costs per GEO sold from the company’s 100%-owned mines were $1,549, 11%below its guidance midpoint of $1,740 per GEO.

The company added that its consolidated net loss in Q2 was $12.4 million, or $0.26 per share (giving effect to the 1-for-10 reverse share split on July 28th), which relates primarily to $14.4 million investment in the Los Azules copper project.

McEwen added that its 100%-owned mines generated a cash gross profit of $7.7 million in Q2 and a gross profit of $4.2 million. Cash and cash equivalents at June 30th, 2022, totaled $47.8 million.

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


Fortuna Silver reports net income drop in second quarter on declining silver prices and rising costs

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.