TORONTO, February 21, 2017 /PRNewswire/ --
Richmont Mines Inc. (TSX: RIC) (NYSE: RIC) ("Richmont" or the "Corporation") announces operating and financial results for the three and twelve months ended December 31, 2016, driven by solid results from the Island Gold Mine. The Corporation will host a conference call and webcast on Tuesday, February 21, 2017, beginning at 8:30 a.m. Eastern Time (details below.) (All amounts are in Canadian dollars, unless otherwise indicated.)
Fourth Quarter and Annual Highlights
[1][2]______________________________________ (1) Non-IFRS performance measure. Refer to the Non-IFRS Performance Measures section contained in the 2016 Management's Discussion and Analysis. (2) Operating cash flow presented is after changes in non-cash working capital.
Recent Corporate Highlights
"We have reported a number of key milestones for 2016, including record company-wide production. The strong performance was driven by another consecutive year of solid results from the Island Gold Mine, which exceeded all annual production and cost guidance metrics," stated Renaud Adams, CEO. He continued, "2016 was a pivotal year for Island Gold. During the year we completed a strategic underground mine and mill upgrade, advanced the accelerated underground development program and received the amended permits to increase mine and mill throughput rates to 1,100 tonnes per day. In 2017 we will continue to focus on positioning the Island Gold Mine for long-term success that drives shareholder value creation, which is supported by a solid balance sheet and a disciplined management team."
Financial Highlights (in thousands of $, except per share amounts) Quarter ended Quarter ended Year ended Year ended Dec. 31, 2016 Dec. 31, 2015 Dec. 31, 2016 Dec. 31, 2015 Revenue from mining operations 44,204 31,864 168,700 143,733 Net earnings (loss) per share, basic 0.02 -0.07 0.2 0.12 Operating cash flow, per share 0.2 0.12 0.79 0.74 Adj. operating cash flow, per share(1)(2) 0.17 0.04 0.8 0.6 Net free cash flow, per share(2) -0.05 -0.27 -0.25 -0.17 Revenue from mining operations (US$) 33,134 23,861 127,340 112,406 Net earnings (loss) per share, basic (US$) 0.01 -0.05 0.15 0.09 Operating cash flow, per share (US$) 0.15 0.09 0.6 0.58 Adj. operating cash flow, per share(1)(2)(US$) 0.13 0.03 0.61 0.47 Net free cash flow, per share(2) (US$) -0.04 -0.21 -0.19 -0.13 (1) Before changes in non-cash working capital. (2) Non-IFRS performance measure. Refer to the Non-IFRS performance measures section contained in the 2016 Management's Discussion & Analysis.
Operational Highlights Quarter ended Quarter ended Year ended Year ended Dec. 31, 2016 Dec. 31, 2015 Dec. 31, 2016 Dec. 31, 2015 Gold produced (oz) 29,505 22,380 104,050 98,031 Gold sold (oz) 27,759 21,576 102,660 96,895 Average cash costs per ounce ($)(1) 952 1,028 908 972 Average AISC per ounce ($)(1) 1,229 1,660 1,272 1,368 Average realized gold price per ounce ($) 1,589 1,474 1,640 1,480 Average cash costs per ounce (US$)(1) 714 770 685 760 Average AISC per ounce (US$)(1) 922 1,243 960 1,070 Average realized gold price per ounce (US$) 1,191 1,104 1,238 1,157 (1) Non-IFRS performance measure. Refer to the Non-IFRS performance measures section contained in the 2016 Management's Discussion and Analysis.
Island Gold Mine Highlights ISLAND GOLD MINE Quarter ended Quarter ended Year ended Year ended Dec. 31, 2016 Dec. 31, 2015 Dec. 31, 2016 Dec. 31, 2015 Gold produced (oz) 24,086 14,203 83,323 55,040 Gold sold (oz) 22,422 13,504 82,273 52,363 Cash costs per ounce ($)(1) 826 1,019 779 1,027 AISC per ounce ($)(1) 912 1,580 988 1,453 Realized gold price per ounce ($) 1,592 1,476 1,639 1,481 Cash costs per ounce (US$)(1) 619 763 587 803 AISC per ounce (US$)(1) 683 1,183 745 1,136 Realized gold price per ounce (US$) 1,193 1,105 1,237 1,158 Underground tpd 977 657(2) 869(3) 659(2) Mill tonnes 83,091 60,352 297,757 242,137 Mill tpd 903 656(2) 814(3) 663(2) Head grade (g/t gold) 9.31 7.62 9.02 7.31 Recoveries (%) 96.9 96 96.5 96.8 Sustaining costs ($000's) 1,920 7,576 17,203 22,330 Project costs ($000's) 11,535 14,505 39,925 30,894 Non-sustaining exploration ($000's) 3,899 2,865 14,802 4,600 Sustaining costs (US$000's) 1,439 5,673 12,985 17,463 Project costs (US$000's) 8,646 10,862 30,137 24,160 Non-sustaining exploration (US$000's) 2,923 2,145 11,173 3,597 (1) Non-IFRS performance measure. Refer to the Non-IFRS performance measures section contained in the 2016 Management's Discussion and Analysis. (2) 2015 productivity includes a 3-week underground mine shutdown and a 2-week mill shutdown in Q4 2015. (3) 2016 productivity includes a 16-day underground mine shutdown and a 25-day mill shutdown in Q3 2016.
Beaufor Mine Highlights BEAUFOR MINE Quarter ended Quarter ended Year ended Year ended Dec. 31, 2016 Dec. 31, 2015 Dec. 31, 2016 Dec. 31, 2015 Gold produced (oz) 5,419 5,652 19,562 26,411 Gold sold (oz) 5,337 5,237 19,216 26,875 Cash costs per ounce($)(1) 1,480 1,081 1,444 991 AISC per ounce ($)(1) 1,904 1,512 1,854 1,212 Realized gold price per ounce ($) 1,577 1,467 1,647 1,474 Cash costs per ounce (US$)(1) 1,110 810 1,090 775 AISC per ounce (US$)(1) 1,428 1,133 1,399 948 Realized gold price per ounce (US$) 1,182 1,099 1,243 1,153 Underground tpd 302 306 298 343 Mill tonnes 27,988 28,345 113,013 125,447 Head grade (g/t gold) 6.16 6.3 5.5 6.64 Recoveries (%) 97.8 98.4 98 98.6 Sustaining costs ($000's) 2,260 2,259 7,871 5,942 Sustaining costs (US$000's) 1,694 1,692 5,941 4,647 (1) Non-IFRS performance measure. Refer to the Non-IFRS performance measures section contained in the 2016 Management's Discussion and Analysis.
Upcoming News & Events
Financial Statements and Management's Discussion and Analysis
The financial statements and related Management's Discussion and Analysis can be found on the Corporation's website at http://www.richmont-mines.com or under the Corporation's profile on http://www.sedar.com and with the Securities and Exchange Commission at http://www.sec.gov/edgar.shtml.
Webcast and Conference Call
Senior management will discuss the 2016 financial results in a webcast and conference call to be held on Tuesday, February 21, 2017 starting at 8:30 a.m. Eastern Time.
Webcast access:
http://event.on24.com/r.htm?e=1355317&s=1&k=D7D190B298425068E1228B2C3B8F9C62
Telephone access:
A replay will be available until March 7, 2017 by dialing 1-416-764-8677 (Toronto local and international) or 1-888-390-0541 (toll free in Canada and U.S.), using pass code 420436#. The webcast and presentation slides will be archived on the Corporation's website at http://www.richmont-mines.com.
About Richmont Mines Inc. Richmont Mines currently produces gold from the Island Gold Mine in Ontario, and the Beaufor Mine in Quebec. The Corporation is also advancing development of the significant high-grade resource extension at depth of the Island Gold Mine in Ontario. With 35 years of experience in gold production, exploration and development, and prudent financial management, the Corporation is well-positioned to cost-effectively build its Canadian reserve base and to successfully enter its next phase of growth.
Forward-Looking Statements This news release contains forward-looking statements that include risks and uncertainties. When used in this news release, the words "estimate", "project", "anticipate", "expect", "intend", "believe", "hope", "may", "objective" and similar expressions, as well as "will", "shall" and other indications of future tense, are intended to identify forward-looking statements. The forward-looking statements are based on current expectations and apply only as of the date on which they were made. Except as may be required by law or regulation, the Corporation undertakes no obligation and disclaims any responsibility to publicly update or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise.
The factors that could cause actual results to differ materially from those indicated in such forward-looking statements include, without limitation, changes in the prevailing price of gold, the Canadian-United States exchange rate, grade of ore mined and unforeseen difficulties in mining operations and mine development that could affect revenue and production costs and future production. Other factors such as uncertainties regarding government regulations could also affect the results. Other risks may be set out in Richmont Mines' Annual Information Form, Annual Reports and periodic reports. The forward-looking information contained herein is made as of the date of this news release.
Cautionary note to US investors concerning resource estimates Information in this press release is intended to comply with the requirements of the Toronto Stock Exchange and applicable Canadian securities legislation, which differ in certain respects with the rules and regulations promulgated under the United States Securities Exchange Act of 1934, as amended ("Exchange Act"), as promulgated by the SEC. The requirements of National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101") adopted by the Canadian Securities Administrators differ significantly from the requirements of the United States Securities and Exchange Commission (the "SEC").
U.S. Investors are urged to consider the disclosure in our annual report on Form 20-F, File No. 001-14598, as filed with the SEC under the Exchange Act, which may be obtained from us (without cost) or from the SEC's web site: http://sec.gov/edgar.shtml.
National Instrument 43-101 The geological data in this news release has been reviewed by Mr. Daniel Adam, Geo., Ph.D., Vice-President, Exploration, an employee of Richmont Mines Inc., and a qualified person as defined by NI 43-101.
Renaud Adams, President and CEO, Phone: 416 368-0291 ext. 101; Anne Day, Vice-President, Investor Relations, Phone: +1-416-368-0291 ext. 105
