Calibre Mining Corp. (TSX: CXB) (OTCQX: CXBMF) saw a spike in its profits this year, with a 26 per cent increase over the previous quarter and a remarkable 72 per cent growth compared to the beginning of the year.
On Tuesday, the mid-tier gold producer announced its third-quarter results for the three and nine months ended Sept. 30 this year. During the quarter, the company had a record-breaking cash reserve of $97 million and increased its free cash flow to $16.3 million.
The most outstanding performance, however, was in the company’s gold sales, which set a fourth consecutive quarterly record with the sale of 73,241 ounces, generating a total revenue of $143.9 million at an average realized gold price of $1,929 per ounce.
Calibre effectively managed costs, with consolidated total cash costs at $1,007 per ounce and all-in-sustaining costs at $1,115 per ounce.
The company also reported a net income of $23.4 million, equivalent to $0.05 per basic share, and an adjusted net income of $24.5 million. On the exploration front, it succeeded at Libertad, resulting in an initial mineral resource estimate at the Volcan Gold deposit.
High-grade gold targets were intercepted at the Jabali Mine during the quarter, potentially expanding its resources. The company continued to expand zones of high-grade gold mineralization at Atravesada and along the VTEM gold corridor within the Limon Mine Complex.
Calibre identified high-grade, near-surface drill results north and south of the operating Pan mine, demonstrating the potential to increase the property’s resources, grade and confidence. Lastly, the company announced a normal course issuer bid as a potential use of its available cash.
Table via Calibre Mining.
Read more: Calibre Mining intercepts high-grade gold below Jabali mine, identifies 3 new gold targets
Read more: Calibre Mining Q3 gold production numbers exceed analyst expectations: Canaccord Genuity
In Q3 2023, the corporate general and administrative (G&A) expenses amounted to $3.2 million, while year-to-date 2023 saw these expenses at $8.6 million. In comparison, the corresponding periods in 2022 reported G&A expenses of $3.1 million for Q3 and $9.4 million for the year to date. The year-to-date corporate administration costs were reduced, primarily due to decreased reliance on professional consultants.
Darren Hall said Calibre’s exploration efforts have continued to bear fruit in various areas, including the emergence of a new gold trend northwest of the recently announced Volcan gold deposit at Libertad, showcasing high-grade discovery potential.
We have increased our cash position from US$4 million at the end of 2019 to almost US$100 million at the end of Q3 2023. $CXB #GoldMining #CalibreMining pic.twitter.com/C6S8Aa4WpI
— Calibre Mining Corp. (@CalibreMiningCo) November 6, 2023
He highlighted that drill results in close proximity to the operational Pan mine have indicated opportunities for potential resource and grade increases.
“The company continues to self-fund all exploration and growth from operating cash flow while increasing our cash reserves,” Hall said. “We remain dedicated to providing lasting and responsible benefits to all stakeholders. Our ongoing incorporation of sustainability initiatives throughout our operations further solidifies our strong social license to operate.”
Calibre’s ongoing exceptional performance in gold sales, cost management and exploration highlights its financial strength and commitment to responsible resource development and sustainability.
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