Centerra Gold Sees Higher Q3 Loss on Impairment Charge

Centerra Gold Inc. (TSX:CG) released its results for the third quarter of 2015, commenting that it incurred a net loss of $18.1 million, or $0.08 per common share (basic). That’s up from a net loss of $3.2 million in the year-ago period.
The company also announced a quarterly dividend of C$0.04 per common share. That’s about C$9,462,818.
As quoted in the press release:

The 2015 loss was the result of a non-cash impairment charge of $18.7 million ($0.08 per share) of the goodwill in the Kyrgyz reporting segment. Additionally, the third quarter of 2015 reflects lower operating costs and lower taxes, partially offset by fewer ounces sold and lower average realized gold price1 , in the quarter.
For the first nine months of 2015, the Company recorded net earnings of $44.5 million or $0.19 per common share (basic), compared to a net loss of $32.8 million or $0.14 per common share (basic) in the comparative period of 2014, reflecting a 28% increase in gold ounces sold and lower operating costs year-to-date and a non-cash impairment charge of $18.7 million ($0.08 per share).

Other highlights include:

• Announced positive feasibility study results and the planned development of the Company’s 100% owned Öksüt Gold Project, subject to final approval of the Turkish environmental impact assessment (EIA) and receipt of all required permits.
• Lowered all-in sustaining cost1 guidance for the year to $827 to $875 per ounce sold reflecting lower diesel fuel prices and favourable exchange rates for local currencies at Kumtor.
• Produced 107,485 ounces of gold in the third quarter, which includes 103,701 ounces at Kumtor and 3,784 ounces at Boroo, and 403,256 ounces of gold year-to-date.
• All-in sustaining costs per ounce sold1 of $1,089 for the third quarter and $881 year-to-date, which excludes revenue-based tax in the Kyrgyz Republic and income taxes.
• Cash provided by operations in the third quarter totaled $41.1 million.
• Kumtor received approval from the Kyrgyz State Agency for Environmental Protection and Forestry of its 2015 annual mine plan.
• Following the quarter-end, announced the appointment of Scott Perry as CEO, effective November 1, 2015, to replace Ian Atkinson who is retiring and the appointment of Frank Herbert as President.

Click here to read the full Centerra Gold Inc. (TSX:CG) press release.