VANCOUVER, BRITISH COLUMBIA–(Marketwired – Nov. 14, 2016) – Trevali Mining Corporation (TSX:TV) has released financial results for the three months and nine months ended September 30, 2016. Third quarter (“Q3”) EBITDA(1) increased significantly from the preceding quarter to a record $14.8 million, with income from operations of $10.6 million, and the Company posted a net profit of $2.4-million, or $0.01 per share, for the quarter. Q3 marked a major milestone for Trevali as the Caribou zinc mine in New Brunswick commenced Commercial Production.
This release should be read in conjunction with Trevali’s unaudited condensed consolidated financial statements and management’s discussion and analysis for the three months and nine months ended September 30, 2016, which is available on Trevali’s website and on SEDAR. All financial figures are in Canadian dollar unless otherwise stated.
Q3-2016 Results Highlights:
- Record EBITDA(1) of $14.8 million, up 80% from the Second Quarter 2016 (“Q2”)
- Income from mining operations of $10.6 million an increase of 103% from Q2
- Net income of $2.4 million or $0.01 per share
- Record total concentrate sales revenue of $57.5 million, up 99% from Q2
- Total cash position of $16.9 million
- Consolidated Q3 mill throughput of 402,039 tonnes resulting in record quarterly production of 32.4 million payable pounds of zinc, 9.7 million payable pounds of lead and 362,776 payable ounces of silver at site cash costs(2) US$0.40 per pound of payable Zinc Equivalent (“ZnEq”)(3) produced or US$46.73/tonne milled
- Provisional realized commodity selling prices for Q3-2016 production was US$1.03 per pound zinc, US$0.87 per pound lead and US$19.40 per ounce silver at International Benchmark terms under the Company’s offtake agreement with Glencore
- Q3 Santander site cash costs(2) US$0.33 per pound of payable Zinc Equivalent (“ZnEq”)(3) produced or US$36.33/tonne milled, in line with 2016 cost guidance of US$35-38 per tonne milled
- Q3 Caribou site cash costs(2) US$0.46 per pound of payable Zinc Equivalent (“ZnEq”)(3) produced or US$58.88/tonne milled
“Trevali had a transformative quarter during which we declared Commercial Production at our Caribou zinc mine in New Brunswick,” stated Dr. Mark Cruise, Trevali’s President and CEO. “While our Santander mine in Peru continues to post strong, consistent results including very significant exploration upside, we are particularly proud of our Caribou team. In summary, Caribou has overcome both technical and exceedingly challenging financial hurdles during the first half of 2016 to successfully commission the operation. This includes posting positive Q3 operational results despite the mine not yet being fully ramped. This is an encouraging indicator of the upside at Caribou as we continue to ramp toward the full nameplate 3,000-tpd operating rate. Caribou has been steadily increasing performance and throughput in Q4 in tandem with strengthening zinc and lead commodity prices.”