Alhambra Resources Reports Financial and Operating Results for Third Quarter ending September 30, 2011 December 1, 2011
Posted by Editor in Corporate News.Tags: gold investing, gold mining, kazakhgold, kazakhstan gold
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CALGARY, Alberta – Alhambra Resources Ltd. (“Alhambra” or the “Corporation”) announces its financial and operating results for the quarter ended September 30, 2011. All amounts related to the financial results are expressed in thousands of United States dollars unless otherwise indicated.
For the full earning release, please visit Alhambra’s Investor Relations page or download the full PDF version here.
HIGHLIGHTS FOR THE QUARTER:
- Due to a positive Kazakhstan court ruling, the Corporation reversed the provision recorded on its balance sheet of $13.8 million, being the discounted value of the total Historical Cost liability of $15.8 million, and interest and penalties charged against earnings totalling $2.5 million
- Gold production was estimated at 4,665 ounces (“ozs”)
- Revenue from gold sales amounted to $7.0 million based on the sale of 3,858 ozs
- Gold sales were lower than anticipated as the gold being mined is from the deeper East pit which is harder than experienced in prior years resulting in leaching taking longer and hence lower gold sales
- Cash operating costs were $622 per oz of gold sold
- Stacked 257,003 tonnes (“t”) of ore on the heaps at an average grade of 0.87 grams/tonne (“g/t”)
- The estimated recoverable gold in work in process (“WIP”) as of September 30, 2011 was 39,184 ozs
- Mining operations at Saga Creek generated a net income of $3.45 million ($0.03/basic share)
- The Corporation recorded net income of $2.55 million ($0.02/basic share)
- 4,272 metres (“m”) of exploration drilling was completed
- Exploration expenditures were $0.7 million
FINANCIAL HIGHLIGHTS
| (in US$000 except per share amounts) |
Three Months ended September 30 |
Nine Months ended September 30 |
||
|
2011 |
2010 |
2011 |
2010 |
|
| Revenue from gold sales |
$ 7,012 |
$ 5,482 |
$ 12,555 |
$ 11,853 |
| Net income (loss) |
2,550 |
(24) |
(1,201) |
(797) |
| Per share (basic and diluted) |
0.02 |
(0.00) |
(0.01) |
(0.01) |
| Weighted average shares outstanding | ||||
| Basic |
104,132,059 |
88,458,974 |
104,094,115 |
82,562,988 |
| Diluted |
106,079,287 |
88,458,974 |
104,094,115 |
82,562,988 |
| Shares outstanding at end of period |
104,132,059 |
103,900,559 |
104,132,059 |
103,900,559 |
China Buying Gold Mines, Bypassing London Market with Gold November 22, 2011
Posted by Editor in Corporate News.Tags: Gold, gold investing, gold mining, kazakhgold, kazakhstan gold
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Interesting conversation on Bloomberg TV recently about China’s plans for Gold. We noted some insightful comments from James Rickards, senior managing director of Tangent Capital Partners, who notes that China is buying gold mines around the world and shipping the gold directly to China thereby bypassing the “normal” London channels.
The full interview can be found online at Bloomberg.com
Deep Core Drilling At Uzboy Confirms The Intersection of Several Zones Of Higher-Grade Gold Mineralization November 9, 2011
Posted by Editor in Corporate News.Tags: Gold, gold investing, gold kazakhstan, gold mining, kazakhgold, kazakhstan, kazakhstan gold
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CALGARY, Alberta – Alhambra Resources Ltd. (TSX-V: ALH) (“Alhambra” or the “Corporation”), an international gold explorer and producer, announces assay results for seven diamond drill holes (“DDH”) completed southwest of the West Zone of the Uzboy gold deposit (“Uzboy”). The DDH drilling program has extended the zone of gold mineralization in West Uzboy to depth and along strike including the intersection of several zones of higher-grade gold mineralization.
Uzboy is one of three advanced exploration project areas within Alhambra’s 9,800 km2 Uzboy Project located in north central Kazakhstan (see location map below).
HIGHLIGHTS
- A down-plunge extension of a higher-grade zone of gold mineralization has been confirmed,
- Gold mineralization has been expanded by 225 metres (“m”) along the dip and 60 m along strike,
- Broad intervals (from 9.0 m to 46.0 m) of gold mineralization were intersected in all seven diamond drill holes,
- The deposit is still open on strike to the southwest and at depth.
The full version of the press release can be found by visiting Alhambra’s official IR website or by downloading the PDF version.
Kazakhstan Court Overturns US$1.6 Million Historical Cost Assessment and Will be Re-considering Corporate Income Tax Assessment October 19, 2011
Posted by Editor in Corporate News.Tags: Gold, gold investing, gold mining, kazakhgold, kazakhstan, kazakhstan gold
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CALGARY, Alberta – Alhambra Resources Ltd. (TSX-V: ALH) (“Alhambra” or the “Corporation”), an international gold explorer and producer, announces that on September 27, 2011, the Cassation Chamber of the Akmola Oblast Court in Kazakhstan (the “Cassation Court”) overturned the decision of the Appeal Court of the Akmola Oblast with regard to the tax assessment as related to Historical Costs put forth by the city of Stepnagorsk tax office (the “Tax Office”) filed against the Corporation’s 100% owned operating subsidiary, Saga Creek Gold Company LLP (“Saga Creek”), and sent back to the lower court the Corporate Income Tax assessment for re-consideration (see News Release dated August 26, 2011).
HIGHLIGHTS
A copy of the Cassation Court’s ruling was received on October 5, 2011. While the Corporation is still interpreting and analyzing the legal and financial implications of the Cassation Court’s ruling, the decisions made are as follows:
- The 2009 assessment for Historical Costs amounting to approximately US$1.6 million was cancelled,
- The assessment for Corporate Income Tax (“CIT”) amounting to approximately US$0.4 million was cancelled and sent back to the lower court for review and re-consideration by a different judge,
- The assessment for Mineral Extraction Tax (“MET”) in the amount of approximately US$1.0 million was upheld.
“We are extremely happy with the ruling of the Cassation Court,” stated John J. Komarnicki, Chairman and CEO of Alhambra who was in the courtroom in Kazakhstan when the ruling was announced. “The court’s ruling on Historical Costs was in line with our understanding and interpretation of the law. Regarding the other two aspects of the assessment, we continue to believe our legal position is correct, and we are working with our legal counsel to fully understand the decision and determine our next steps.”
For the full release, please download a PDF version here or visit Alhambra’s official Investor Relations site.
Alhambra Resources 2nd Qtr 2011 Financial & Operating Results September 23, 2011
Posted by Editor in Corporate News.Tags: gold mining, kazakgold, kazakhstan, kazakhstan gold
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Our latest financial and operating results for the 2nd QTR for 2011 are available for download here and by visiting Alhambra’s official IR website.
Highlights for the quarter include:
- Gold production was estimated at 3,239 ounces (“ozs”)
- Revenue from gold sales amounted to $3.1 million based on the sale of 2,033 ozs
- Gold sales were lower than anticipated as the spring thaw in 2011 was later than experienced in prior years resulting in lower recoveries and hence lower gold sales.
- Cash operating costs were $687.30 per oz of gold sold
- Stacked 209,325 tonnes (“t”) of ore on the heaps at an average grade of 0.74 grams/tonne (“g/t”)
- The estimated recoverable gold in work in process (“WIP”) as of June 30, 2011 was 38,377 ozs
- Mining operations at Saga Creek generated a net loss of $0.8 million ($0.01/basic share) and positive cash flow from operating activities of $0.1 million ($0.00/basic share)
- The Corporation recorded net cash generated from operating activities of $0.0 million ($0.00/share) and a net loss of $2.1 million ($0.02/share)
- 7,338 metres of exploration drilling was completed
- Exploration expenditures were $1.1 million
Uzboy Core Drilling Increases Potential Deposit Size by Extending Gold Mineralization in Four Zones From 50 to 160 Metres August 19, 2011
Posted by Editor in Corporate News.Tags: gold mining, kazakhgold, kazakhstan, kazakhstan gold
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CALGARY, ALBERTA–(Marketwire – Aug. 10, 2011) - Alhambra Resources Ltd. (TSX VENTURE:ALH) (“Alhambra” or the “Corporation”), an international gold explorer and producer, announces that its core drilling program has extended the strike length of four zones of gold mineralization at its Uzboy gold deposit (“Uzboy”) which the Corporation anticipates should lead to an increase in gold resources.
HIGHLIGHTS
- A 42 core hole drilling program has been completed of which 35 holes have been assayed (see Figure 2),
- Broad intervals of low-grade gold mineralization were intersected in 30 of 35 holes (86% success),
- Drilling has successfully extended the strike length of four zones of gold mineralization from 50 to 160 m in length (see Figure 3),
- The mineralization in these four zones located on the southwest flanks of the West and East Uzboy gold deposits is open along strike and down dip and demonstrates the potential to expand mineralization size and intersect higher grade gold mineralization,
- The gold mineralization of the East Uzboy deposit continues in the direction of the West Uzboy deposit and could be part of a single large gold system,
- Collected data will allow Alhambra’s independent geological consultants ACA Howe to update the National Instrument (“NI”) 43-101 resource estimate report for Uzboy and, considering the drilling results, an increase of its current gold resources is expected.
“We are very excited about the positive Uzboy drilling results,” stated John J. Komarnicki, Alhambra’s Chairman and CEO, “We have successfully extended four zones of gold mineralization and discovered numerous zones of low-grade oxide mineralization which should translate into a longer mine life. We believe these discoveries and extensions will lead to an increase in gold resources as well as an increase in the potential deposit size of the area around the Uzboy gold deposits.”
The Gold Ride Continues July 19, 2011
Posted by Editor in Corporate News.Tags: alhambra resources blog, gold mining, kazakhgold, kazakhstan, kazakhstan gold
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As the debt crisis spreads across Europe and with indecision in the US congress over the debt ceiling, there has been a rapid rise in the price of Gold, with the Standard & Poor’s GSCI Spot Index increasing for a third straight week, climbing to a one-month high on July 13. To get a clearer view of what’s been driving this rise, we put together a few links to articles that we found interesting:
Bloomberg: Investors Boost Bullish Commodity Bets as Gold Demand Jumps on Debt Crisis
San Francisco Chronicle: Gold Prices May Reach $5,000 by 2020, Standard Chartered Says
Financial Times: India’s Wealthy Boost Gold With Unexpected Spree
Standard Chartered Makes Bold Call on Gold Price June 22, 2011
Posted by Editor in Corporate News.Tags: Gold, gold mining, kazakhgold, kazakhstan, kazakhstan gold
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Recently, Standard Chartered made a pretty bullish call on the price of Gold when they issued a report where they see the precious metal heading as high as $5000 an ounce. A punchy an insightful commentary on this report was featured on Business Insider last week which provides a some great data and charts in support of the bullish price call.
We happen to like their call to “invest in physical gold or if you’re taking on a lot more risk, invest in junior gold miners.”
An Interesting View on Gold Prices May 31, 2011
Posted by Editor in Corporate News.Tags: gold mining, gold prices, kazakhgold, kazakhstan, kazakhstan gold, polyus gold
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To follow the ongoing commentary on the price of Gold is like drinking from a fire hydrant. However, every once in a while we see some interesting perspectives out there.
Bloomberg just published an opinion piece that we thought was interesting. They put a bit of a prick in the bubble of those that link the precious metal’s 27 percent increase in dollar terms during the past year to signal ominous things to come. However, they argue that:
Yes, price surges for gold don’t always reflect genuine fears and the need for disaster-proof investments.
And, yes, gold’s price may continue to climb this year. A recent Bloomberg News survey of 31 analysts, investors and gold- mine operators found respondents, on average, predicting a year- end price of $1,750 an ounce, up significantly from recent levels of about $1,530. If such a rise occurs, however, it’s likely to reflect normal public demand for a shiny commodity, rather than a far- sighted warning to the world’s central bankers.
