On-Track to Achieve Updated Consolidated Production and Cost Guidance
(All amounts are in
"The Company responded well to the challenges experienced in the third quarter, positioning us to meet our updated guidance," stated
"As we look beyond 2021, we continue to advance the B3 ramp up and C-Zone development at New Afton and the development of the decline towards the Intrepid underground ore zone at
Consolidated Third Quarter Highlights
- Total production for the quarter was 105,628 gold equivalent1 ("gold eq.") ounces (72,210 ounces of gold, 226,679 ounces of silver and 15.6 million pounds of copper). For the nine-month period ended
September 30, 2021 , production was 307,359 gold eq.1 ounces (205,849 ounces of gold, 653,932 ounces of silver and 47.5 million pounds of copper). - The Company is currently on track to meet the updated annual consolidated gold equivalent1 production guidance range (405,000 to 450,000 ounces) and consolidated all-in sustaining costs2 range (
$1,415 to$1,495 per gold eq. ounce) (refer to the Company'sSeptember 13, 2021 news release for further information). - Revenues for the quarter were
$180 million . - Operating expense for the quarter was
$915 per gold eq. ounce. - Total cash costs2 for the quarter were
$966 per gold eq. ounce. - All-in sustaining costs2 for the quarter were
$1,408 per gold eq. ounce. - Average realized gold price2 of
$1,788 per ounce and average realized copper price2 of$4.28 per pound. - Net loss for the quarter was
$11 million ($0.02 per share). - Adjusted net earnings2 for the quarter were
$23 million ($0.03 per share). - Cash generated from operations for the quarter was
$54 million ($0.08 per share). Cash generated from operations for the quarter, before changes in non-cash operating working capital2, was$81 million ($0.12 per share). - At the end of the quarter, the Company had a cash position of
$151 million and a strong liquidity position of$477 million .
Consolidated Financial Highlights
Q3 2021 | Q3 2020 | 9M 2021 | 9M 2020 | |
Revenue ($M) | 179.8 | 173.7 | 542.9 | 444.5 |
Operating expenses ($M) | 88.6 | 86.7 | 277.7 | 242.6 |
Net (loss) earnings, per share ($) | (0.02) | 0.02 | (0.02) | (0.09) |
Adj. net earnings (loss), per share ($)2 | 0.03 | 0.02 | 0.09 | (0.01) |
Operating cash flow, per share ($) | 0.08 | 0.14 | 0.32 | 0.29 |
Adj. operating cash flow, per share ($)2 | 0.12 | 0.12 | 0.34 | 0.27 |
- Revenues for the quarter were
$180 million and$543 million for the nine-month period endedSeptember 30, 2021 , an increase compared to the prior-year periods due to higher gold and copper prices, partially offset by lower sales volume. - Operating expenses for the quarter and nine-month period ended
September 30, 2021 , were higher than the prior-year periods due to the strengthening of the Canadian dollar relative to theU.S. dollar and the prior-year period benefitting from the wage subsidy. - Net loss for the quarter ended
September 30, 2021 , was$11 million ($0.02 per share) compared to net earnings for the prior-year period of$16 million ($0.02 per share). The change was primarily due to an unrealized loss on the revaluation of investments, partially offset by lower finance costs. Net loss for the nine-month period endedSeptember 30, 2021 , was$10 million ($0.02 per share), a decrease compared to the prior-year period primarily due to higher revenue and lower finance costs, partially offset by an increase in operating expenses and an unrealized loss on the revaluation of investments. Additionally, the prior-year period included a loss on the sale of theBlackwater Project . - Adjusted net earnings2 for the quarter were
$23 million ($0.03 per share) and$58 million ($0.09 per share) for the nine-month period endedSeptember 30, 2021 , an increase compared to the prior-year periods primarily due to higher revenue and lower finance costs.
Consolidated Operational Highlights
Q3 2021 | Q3 2020 | 9M 2021 | 9M 2020 | |
Gold eq. production (ounces)1 | 105,628 | 115,536 | 307,359 | 317,050 |
Gold eq. sold (ounces)1 | 97,196 | 110,905 | 293,235 | 306,231 |
Gold production (ounces) | 72,210 | 78,959 | 205,849 | 210,043 |
Gold sold (ounces) | 66,982 | 75,760 | 198,705 | 205,385 |
Copper production (Mlbs) | 15.6 | 18.2 | 47.5 | 53.6 |
Copper sold (Mlbs) | 14.0 | 17.5 | 44.2 | 50.5 |
Average realized gold price, per ounce2 | 1,788 | 1,613 | 1,798 | 1,532 |
Average realized copper price, per pound2 | 4.28 | 2.99 | 4.20 | 2.69 |
Operating expenses, per gold eq. ounce | 915 | 778 | 947 | 791 |
Total cash costs, per gold eq. ounce2 | 966 | 822 | 1,001 | 839 |
Depreciation and depletion, per gold eq. ounce | 497 | 452 | 496 | 469 |
All-in sustaining costs, per gold eq. ounce2 | 1,408 | 1,313 | 1,503 | 1,349 |
Sustaining capital and sustaining leases ($M)2 | 34.9 | 46.1 | 122.4 | 136.3 |
Growth capital ($M)2 | 23.1 | 16.4 | 74.8 | 46.6 |
Operational Highlights
Q3 2021 | Q3 2020 | 9M 2021 | 9M 2020 | |
Gold eq. production (ounces)1 | 60,785 | 64,221 | 172,462 | 164,960 |
Gold eq. sold (ounces)1 | 57,800 | 61,726 | 168,682 | 163,137 |
Gold production (ounces) | 58,557 | 63,004 | 166,113 | 162,185 |
Gold sold (ounces) | 55,597 | 60,592 | 162,454 | 160,438 |
Average realized gold price, per ounce2 | 1,788 | 1,615 | 1,797 | 1,533 |
Operating expenses, per gold eq. ounce | 960 | 833 | 979 | 924 |
Total cash costs, per gold eq. ounce2 | 960 | 833 | 979 | 924 |
Depreciation and depletion, per gold eq. ounce | 635 | 602 | 647 | 634 |
All-in sustaining costs, per gold eq. ounce2 | 1,307 | 1,469 | 1,470 | 1,592 |
Sustaining capital and sustaining leases ($M)2 | 17.6 | 37.4 | 76.9 | 103.9 |
Growth capital ($M)2 | 4.3 | 0.1 | 9.3 | 0.3 |
Operating Key Performance Indicators
Q3 2020 | Q4 2020 | Q1 2021 | Q2 2021 | Q3 2021 | |
Tonnes mined per day (ore and waste) | 145,701 | 158,638 | 150,767 | 158,556 | 149,630 |
Ore tonnes mined per day | 36,515 | 42,918 | 35,681 | 36,256 | 52,917 |
Operating waste tonnes per day | 62,818 | 73,921 | 65,643 | 71,124 | 88,216 |
Capitalized waste tonnes per day | 46,368 | 41,799 | 49,442 | 51,176 | 8,497 |
Total waste tonnes per day | 109,186 | 115,720 | 115,085 | 122,300 | 96,713 |
Strip ratio (waste:ore) | 2.99 | 2.70 | 3.23 | 3.37 | 1.83 |
Tonnes milled per calendar day | 26,998 | 26,999 | 26,301 | 25,349 | 25,245 |
Gold grade milled (g/t) | 0.88 | 0.93 | 0.80 | 0.82 | 0.89 |
Gold recovery (%) | 89 | 90 | 89 | 87 | 89 |
Mill availability (%) | 90 | 94 | 89 | 88 | 91 |
Gold production (ounces) | 63,004 | 66,734 | 54,656 | 52,901 | 58,557 |
Gold eq. production (ounces)1 | 64,221 | 68,241 | 56,513 | 55,163 | 60,785 |
- Third quarter gold eq.1 production was 60,785 ounces (58,557 ounces of gold and 160,461 ounces of silver), a decrease compared to the prior-year period due to lower tonnes milled. For the nine-month period ended
September 30, 2021 , gold eq.1 production was 172,462 ounces (166,113 ounces of gold and 457,069 ounces of silver), an increase over the prior-year period due to higher tonnes processed, with the prior-year period including a two-week voluntary shutdown due to COVID-19. - Operating expense and total cash costs2 were
$960 per gold eq. ounce for the quarter, an increase over the prior-year period due to lower sales volumes, the strengthening of the Canadian dollar relative to theU.S. dollar, and the prior-year period benefitting from the wage subsidy. The strengthening of the Canadian dollar and the loss of the wage subsidy increased costs by approximately$90 per gold eq. ounce in the quarter. For the nine-month period endedSeptember 30, 2021 , operating expense and total cash costs2 were$979 per gold eq. ounce, an increase over the prior-year period due to the strengthening of the Canadian dollar relative to theU.S. dollar, and the receipt of the wage subsidy in the prior-year period. - Sustaining capital and sustaining lease2 payments for the quarter were
$18 million , including$2 million of capitalized mining costs. Sustaining capital spend during the quarter primarily included the advancement of the annual tailings dam raise. For the nine-month period endedSeptember 30, 2021 , sustaining capital and sustaining lease2 payments were$77 million , including$29 million of capitalized mining costs. - All-in sustaining costs2 were
$1,307 per gold eq. ounce for the quarter, a decrease over the prior-year period primarily due to lower sustaining capital spend, partially offset by lower sales volumes and higher total cash costs. For the nine-month period endedSeptember 30, 2021 , all-in sustaining costs2 were$1,470 per gold eq. ounce, a decrease over the prior-year period primarily due to higher sales volumes and lower sustaining capital spend. - Growth capital2 for the quarter was
$4 million and$9 million for the nine-month period endedSeptember 30, 2021 , related to the development of the Intrepid underground ore zone. During the quarter, development of the decline towards the Intrepid underground ore zone advanced 215 metres. - The open pit mine achieved 149,630 tonnes per day during the quarter, in-line with the 2021 overall target of ~151,000 tonnes per day. Approximately 4.9 million ore tonnes and 8.9 million waste tonnes (including 0.8 million capitalized waste tonnes) were mined from the open pit at an average reduced strip ratio of 1.83:1. As planned, the strip ratio is expected to remain approximately 2:1 for the remainder of the year to achieve the original 2021 guidance of approximately 2.7:1.
- The mill processed 25,245 tonnes per day for the quarter, a decrease compared to the prior-year period due to maintenance activities performed on the gyratory crusher impacting mill throughput. The mill processed an average grade of 0.89 grams per tonne at a gold recovery of 89%. Mill availability for the quarter averaged 91%.
- There are currently no active cases of COVID-19 at the
Rainy River Mine .Rainy River has implemented measures to mitigate and limit the spread of COVID-19 to protect the well-being of its employees, contractors, their families, local communities, and other stakeholders. For more information see: http://newgold.com/covid-19/.
Operational Highlights
Q3 2021 | Q3 2020 | 9M 2021 | 9M 2020 | |
Gold eq. production (ounces)1 | 44,843 | 51,315 | 134,898 | 152,090 |
Gold eq. sold (ounces)1 | 39,395 | 49,179 | 124,553 | 143,094 |
Gold production (ounces) | 13,653 | 15,955 | 39,735 | 47,858 |
Gold sold (ounces) | 11,385 | 15,168 | 36,251 | 44,948 |
Copper production (Mlbs) | 15.6 | 18.2 | 47.5 | 53.6 |
Copper sold (Mlbs) | 14.0 | 17.5 | 44.2 | 50.5 |
Average realized gold price, per ounce2 | 1,789 | 1,606 | 1,803 | 1,529 |
Average realized copper price, per pound2 | 4.28 | 2.99 | 4.20 | 2.69 |
Operating expenses, per gold eq. ounce | 849 | 708 | 904 | 640 |
Total cash costs, per gold eq. ounce2 | 974 | 807 | 1,030 | 742 |
Depreciation and depletion, per gold eq. ounce | 288 | 255 | 285 | 272 |
All-in sustaining costs, per gold eq. ounce2 | 1,423 | 988 | 1,403 | 971 |
Sustaining capital and sustaining leases ($M)2 | 17.4 | 8.7 | 45.1 | 32.0 |
Growth capital ($M)2 | 18.8 | 16.1 | 65.5 | 37.2 |
Operating Key Performance Indicators
Q3 2020 | Q4 2020 | Q1 2021 | Q2 2021 | Q3 2021 | |
Tonnes mined per day (ore and waste) | 17,249 | 17,259 | 11,395 | 15,104 | 12,861 |
Tonnes milled per calendar day | 15,483 | 15,358 | 13,564 | 13,795 | 13,068 |
Gold grade milled (g/t) | 0.44 | 0.46 | 0.39 | 0.43 | 0.43 |
Gold recovery (%) | 80 | 79 | 79 | 80 | 83 |
Gold production (ounces) | 15,955 | 16,362 | 11,994 | 14,088 | 13,653 |
Copper grade milled (%) | 0.71 | 0.73 | 0.64 | 0.79 | 0.72 |
Copper recovery (%) | 82 | 81 | 80 | 83 | 82 |
Copper production (Mlbs) | 18.2 | 18.5 | 13.8 | 18.2 | 15.6 |
Mill availability (%) | 98 | 99 | 96 | 98 | 98 |
Gold eq. production (ounces)1 | 51,315 | 52,326 | 39,512 | 50,542 | 44,843 |
- Third quarter gold eq.1 production was 44,843 ounces (13,653 ounces of gold, and 15.6 million pounds of copper), a decrease compared to the prior-year period primarily due to lower tonnes milled. For the nine-month period ended
September 30, 2021 , gold eq.1 production was 134,898 ounces (39,735 ounces of gold and 47.5 million pounds of copper), a decrease over the prior-year period primarily due to lower tonnes processed. - Operating expense and total cash costs2 were
$849 and$974 per gold eq. ounce for the quarter, an increase over the prior-year period due to lower sales volumes, the strengthening of the Canadian dollar relative to theU.S. dollar, and the prior-year period benefitting from the wage subsidy. The strengthening of the Canadian dollar and the loss of the wage subsidy increased costs by approximately$70 per gold eq. ounce in the quarter. For the nine-month period endedSeptember 30, 2021 , operating expense and total cash costs2 were$904 and$1,030 per gold eq. ounce, an increase over the prior-year period due to lower sales volumes, the strengthening of the Canadian dollar relative to theU.S. dollar, and the receipt of the wage subsidy in the prior-year period. - Sustaining capital and sustaining lease2 payments for the quarter were
$17 million , primarily related to B3 mine development and the advancement of the planned tailings dam raise. For the nine-month period endedSeptember 30, 2021 , sustaining capital and sustaining lease2 payments were$45 million . - All-in sustaining costs2 were
$1,423 per gold eq. ounce for the quarter and$1,403 per gold eq. ounce for the nine-month period endedSeptember 30, 2021 . The increases over the prior-year periods were due to lower sales volumes, higher total cash costs and higher sustaining capital spend. - Growth capital2 was
$19 million for the quarter, and$66 million for the nine-month period endedSeptember 30, 2021 , primarily related to C-Zone development and the thickened and amended tailings project. - C-Zone development advanced by approximately 790 metres in the quarter and continues to advance on plan.
- The underground mine averaged 12,861 tonnes per day during the quarter as the mine focused on recovery level activities and the progressive ramp-up of the B3 zone. The mining rate is expected to increase as more drawpoints become available and as the B3 zone continues to ramp-up.
- The mill averaged 13,068 tonnes per day, below the prior-year period, but in-line with mining rates and the plan to optimize metal recoveries while processing higher grade supergene ore. The mill processed gold grades of 0.43 grams per tonne and copper grades of 0.72%, with gold and copper recoveries of 83% and 82%, respectively.
- There is currently one active case of COVID-19 at the
New Afton Mine . New Afton has implemented measures to mitigate and limit the spread of COVID-19 to protect the well-being of its employees, contractors, their families, local communities, and other stakeholders. For more information see: http://newgold.com/covid-19/.
Sustainability and ESG
Third Quarter 2021 Conference Call and Webcast
The Company will host a webcast and conference call today at
- Participants may listen to the webcast by registering on our website at www.newgold.com or via the following link https://produceredition.webcasts.com/starthere.jsp?ei=1503407&tp_key=ffe45e2c74
- Participants may also listen to the conference call by calling North American toll free 1-888-664-6383, or 1-416-764-8650 outside of the
U.S. andCanada , passcode 50065410. - A recorded playback of the conference call will be available until
December 12, 2021 by calling North American toll free 1-888-390-0541, or 1-416-764-8677 outside of theU.S. andCanada , passcode 065410. An archived webcast will also be available at www.newgold.com.
About
Endnotes
1. | Total gold eq. ounces include silver and copper produced/sold converted to a gold eq. based on a ratio of |
2. | "Total cash costs", "all-in sustaining costs", "adjusted net earnings/(loss)", "sustaining capital and sustaining leases", "growth capital", "cash generated from operations", and "average realized gold/copper price per ounce/pound" are all non-GAAP financial performance measures that are used in this press release. These measures do not have any standardized meaning under IFRS and therefore may not be comparable to similar measures presented by other issuers. For more information about these measures, why they are used by the Company, and a reconciliation to the most directly comparable measure under IFRS, see the "Non-GAAP Financial Performance Measures" section of this news release. |
Non-GAAP Financial Performance Measures
Total Cash Costs per Gold eq. Ounce
"Total cash costs per gold equivalent ounce" is a non-GAAP financial performance measure that is a common financial performance measure in the gold mining industry but does not have any standardized meaning under IFRS and therefore may not be comparable to similar measures presented by other issuers.
This measure is intended to provide additional information only and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. This measure is not necessarily indicative of cash generated from operations under IFRS or operating costs presented under IFRS.
Total cash cost figures are calculated in accordance with a standard developed by
In addition to gold, the Company produces copper and silver. Gold equivalent ounces of copper and silver produced or sold in a quarter are computed using a consistent ratio of copper and silver prices to the gold price and multiplying this ratio by the pounds of copper and silver ounces produced or sold during that quarter.
Notwithstanding the impact of copper and silver sales, as the Company is focused on gold production,
All-In Sustaining Costs per Gold eq. Ounce
"All-in sustaining costs per gold equivalent ounce" is a non-GAAP financial performance measure that does not have any standardized meaning under IFRS and therefore may not be comparable to similar measures presented by other issuers.
"All-in sustaining costs per gold equivalent ounce" is intended to provide additional information only and does not have any standardized meaning under IFRS and may not be comparable to similar measures presented by other mining companies. It should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. The measure is not necessarily indicative of cash flow from operations under IFRS or operating costs presented under IFRS.
Costs excluded from all-in sustaining costs are non-sustaining capital expenditures, non-sustaining lease payments and exploration costs, financing costs, tax expense, and transaction costs associated with mergers, acquisitions and divestitures, and any items that are deducted for the purposes of adjusted earnings.
Sustaining Capital and Sustaining Leases
"Sustaining capital" and "sustaining lease" are non-GAAP financial performance measures that do not have any standardized meaning under IFRS and therefore may not be comparable to similar measures presented by other issuers.
Growth Capital
"Growth capital" is a non-GAAP financial performance measure that does not have any standardized meaning under IFRS and therefore may not be comparable to similar measures presented by other issuers.
The following tables reconcile the above non-GAAP measures to the most directly comparable IFRS measure on an aggregate basis.
Consolidated OPEX, Cash Cost and All-in Sustaining Costs Reconciliation
Three months ended | Nine months ended | |||
(in millions of | 2021 | 2020 | 2021 | 2020 |
CONSOLIDATED OPEX, CASH COST AND ALL-IN SUSTAINING COSTS RECONCILIATION | ||||
Operating expenses | 88.6 | 86.7 | 277.7 | 242.6 |
Gold equivalent ounces sold1 | 97,196 | 110,905 | 293,235 | 306,231 |
Operating expenses per gold equivalent ounce sold ($/ounce) | 915 | 778 | 947 | 791 |
Operating expenses | 88.6 | 86.7 | 277.7 | 242.6 |
Treatment and refining charges on concentrate sales | 4.9 | 4.9 | 15.7 | 14.6 |
Total cash costs | 93.5 | 91.6 | 293.5 | 257.2 |
Gold equivalent ounces sold1 | 97,196 | 110,905 | 293,235 | 306,231 |
Total cash costs per gold equivalent ounce sold ($/ounce)2 | 966 | 822 | 1,001 | 839 |
Sustaining capital expenditures2 | 31.8 | 43.2 | 113.5 | 128.2 |
Sustaining exploration - expensed | 0.4 | 0.2 | 0.7 | 0.1 |
Sustaining leases2 | 2.6 | 2.8 | 8.0 | 8.1 |
Corporate G&A including share-based compensation | 4.9 | 6.0 | 16.9 | 14.1 |
Reclamation expenses | 3.3 | 2.2 | 8.0 | 5.8 |
Total all-in sustaining costs | 136.5 | 146.0 | 440.6 | 413.5 |
Gold equivalent ounces sold1 | 97,196 | 110,905 | 293,235 | 306,231 |
All-in sustaining costs per gold equivalent ounce sold ($/ounce)2 | 1,408 | 1,313 | 1,503 | 1,349 |
Sustaining Capital Expenditures Reconciliation Table
Three months ended | Nine months ended | |||
(in millions of | 2021 | 2020 | 2021 | 2020 |
TOTAL SUSTAINING CAPITAL EXPENDITURES | ||||
Mining interests per statement of cash flows | 55.4 | 59.4 | 189.2 | 174.9 |
New Afton growth capital expenditures | (18.8) | (16.0) | (65.5) | (37.2) |
(4.3) | (0.1) | (9.3) | (0.3) | |
Blackwater growth capital expenditures | — | (0.2) | — | (9.2) |
Sustaining capital expenditures | 32.3 | 43.1 | 114.4 | 128.2 |
Adjusted Net Earnings/(Loss)
"Adjusted net earnings" and "adjusted net earnings per share" are non-GAAP financial performance measures that do not have any standardized meaning under IFRS and therefore may not be comparable to similar measures presented by other issuers. "Adjusted net earnings" and "adjusted net earnings per share" exclude "other gains and losses" as per Note 3 of the Company's consolidated financial statements; and loss on redemption of long-term debt. Net earnings have been adjusted, including the associated tax impact, for the group of costs in "Other gains and losses" on the condensed consolidated income statements. Key entries in this grouping are: the fair value changes for the gold stream obligation; fair value changes for the free cash flow interest obligation; the gold and copper option contracts; foreign exchange forward contracts; foreign exchange gain or loss, loss on disposal of assets and fair value changes in investments. The income tax adjustments reflect the tax impact of the above adjustments and is referred to as "adjusted tax expense".
The Company uses "adjusted net earnings" for its own internal purposes. Management's internal budgets and forecasts and public guidance do not reflect the items which have been excluded from the determination of "adjusted net earnings". Consequently, the presentation of "adjusted net earnings" enables investors to better understand the underlying operating performance of the Company's core mining business through the eyes of management. Management periodically evaluates the components of "adjusted net earnings" based on an internal assessment of performance measures that are useful for evaluating the operating performance of
Three months ended | Nine months ended | |||
(in millions of | 2021 | 2020 | 2021 | 2020 |
ADJUSTED NET EARNINGS (LOSS) RECONCILIATION | ||||
Earnings (loss) before taxes | (4.9) | 17.7 | 3.5 | (59.0) |
Other losses (gains) | 32.0 | (8.6) | 66.1 | 51.8 |
Loss on repayment of long term debt | — | 6.5 | — | 6.5 |
Adjusted net earnings (loss) before taxes | 27.1 | 15.6 | 69.6 | (0.7) |
Income tax (expense) recovery | (6.4) | (2.0) | (13.8) | 0.8 |
Income tax adjustments | 2.7 | (1.2) | 2.4 | (8.8) |
Adjusted income tax (expense) recovery | (3.7) | (3.2) | (11.4) | (8.0) |
Adjusted net earnings (loss)2 | 23.4 | 12.4 | 58.2 | (8.7) |
Adjusted earnings (loss) per share (basic and diluted)2 | 0.03 | 0.02 | 0.09 | (0.01) |
Cash Generated from Operations, before Changes in
"Cash generated from operations, before changes in non-cash operating working capital" is a non-GAAP financial performance measure that does not have any standardized meaning under IFRS and therefore may not be comparable to similar measures presented by other issuers. Other companies may calculate this measure differently and this measure is unlikely to be comparable to similar measures presented by other companies. "Cash generated from operations, before changes in non-cash operating working capital" excludes changes in non-cash operating working capital.
Cash generated from operations, before non-cash changes in working capital is intended to provide additional information only and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. This measure is not necessarily indicative of operating profit or cash flows from operations as determined under IFRS. The following table reconciles this non-GAAP financial performance measure to the most directly comparable IFRS measure.
Three months ended | Nine months ended | |||
(in millions of | 2021 | 2020 | 2021 | 2020 |
CASH RECONCILIATION | ||||
Cash generated from operations | 54.3 | 92.2 | 218.0 | 196.3 |
Change in non-cash operating working capital | 27.0 | (8.2) | 11.8 | (12.7) |
Cash generated from operations, before changes in non-cash operating working capital2 | 81.3 | 84.0 | 229.8 | 183.6 |
Average Realized Price
"Average realized price per ounce of gold sold" is a non-GAAP financial performance measure that does not have any standardized meaning under IFRS and therefore may not be comparable to similar measures presented by other issuers. Other companies may calculate this measure differently and this measure is unlikely to be comparable to similar measures presented by other companies. Management uses this measure to better understand the price realized in each reporting period for gold sales. "Average realized price per ounce of gold sold" is intended to provide additional information only and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. The following tables reconcile this non-GAAP financial performance measure to the most directly comparable IFRS measure on an aggregate and mine-by-mine basis.
Three months ended | Nine months ended | |||
(in millions of | 2021 | 2020 | 2021 | 2020 |
TOTAL AVERAGE REALIZED PRICE | ||||
Revenue from gold sales | 118.4 | 120.8 | 352.7 | 310.5 |
Treatment and refining charges on gold concentrate sales | 1.2 | 1.5 | 4.0 | 4.8 |
Gross revenue from gold sales | 119.6 | 122.3 | 356.7 | 315.3 |
Gold ounces sold | 66,982 | 75,760 | 198,705 | 205,385 |
Total average realized price per gold ounce sold ($/ounce)2 | 1,788 | 1,613 | 1,798 | 1,532 |
For additional information with respect to the non-GAAP measures used by the Company, refer to the detailed "Non-GAAP Financial Performance Measure" section disclosure in the MD&A for the three months ended
Cautionary Note Regarding Forward-Looking Statements
Certain information contained in this news release, including any information relating to
All forward-looking statements in this news release are based on the opinions and estimates of management that, while considered reasonable as at the date of this press release in light of management's experience and perception of current conditions and expected developments, are inherently subject to important risk factors and uncertainties, many of which are beyond
Forward-looking statements are necessarily based on estimates and assumptions that are inherently subject to known and unknown risks, uncertainties and other factors that may cause actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking statements. Such factors include, without limitation: significant capital requirements and the availability and management of capital resources; additional funding requirements; price volatility in the spot and forward markets for metals and other commodities; fluctuations in the international currency markets and in the rates of exchange of the currencies of
Technical Information
The scientific and technical information contained in this news release has been reviewed and approved by
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