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Harte Gold posts record production

Mining
TSX:HRT
26 March 2020 11:52 (EDT)
Harte Gold Corp - CEO, Sam Coetzer

Source: Mining MX

Harte Gold (TSX:HRT) has announced in its annual report today that it has beaten its revised production guidance for 2019.

The company’s 2019 production figures reached 27,316 ounces, topping the 24,000 to 26,000 ounces it originally estimated for the year.

This was on the back of several records set by the company in the last quarter of 2019.

Harte Gold had its highest production quarter ever in Q4, along with its highest ever production month in December.

The company posted revenues of C$49.8 million for the year, and had positive EBITDA of $1.5 million for the year.

CEO and President, Sam Coetzer, said the company’s focus was on mine development and opening new working areas to improve production going forward.

“The Sugar Zone mine experienced a challenging start-up year in 2019.

“However, most of those growing pains are behind us.

“I was encouraged by the support we received from investors in completing our recent $27 million flow through transaction. The capital will create flexibility throughout the mine, and allow for better grade control and mill feed supply,” he said.

The company also commented on how it sees COVID-19 affecting performance moving forward.

Harte Gold has admitted that its risk profile has increased, due to a host of factors caused by the virus.

The company says the biggest factor will be lost manpower, with contractors, experts, and employees potentially being affected by COVID-19.

Harte Gold also believes that mining shutdowns are inevitable, as governments take stricter action to combat the disease’s spread.

The company has stated that assuming there are no COVID-19 shutdowns, the 2020 guidance will be 42,000 ounces to 48,000 ounces. This is a possible increase of 80 per cent production.

The company has allocated $18.5 million for further development at the site. Other than that, all other discretionary spending has been deferred, in anticipation of unforeseen COVID-19 effects.

Harte Gold (TSX:HRT) is up 5 per cent to $0.105 at 11:51am EST.

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