Northern American Palladium Announces First Quarter 2016 Results

Northern American Palladium (TSX:PDL) has announced its financial and operational results for the three months ending March 31, 2016.

As quoted in the press release:

Q1 2016 Results Summary

• Produced 40,216 ounces of payable palladium at an All-Inclusive Sustaining Cost⁽¹⁾ (“AISC”) of US$ 643 per ounce compared to 45,129 ounces of palladium in Q1 2015 at an AISC⁽¹⁾ of US$ 797 per ounce.

• Revenue of $32.5 million, decreased $31.5 million or 49% compared to Q1 2015. Adjusted EBITDA⁽¹⁾of ($5.8) million, a decrease of $15.6 million compared to $9.8 million for Q1 2015.

• Underground mining operations produced 338,807 tonnes (3,723 tonnes per day) at a grade of 4.3 g/t palladium, a decrease of 56,245 tonnes or 14% over the mining rate of 4,389 tonnes per day in Q1 2015 at a grade of 4.0 g/t palladium.

• The LDI mill processed 353,601 tonnes of blended feed at an average grade of 4.0 g/t palladium with an 83.8% recovery rate, compared with 751,420 tonnes at an average grade of 2.5 g/t palladium in Q1 2015 with a recovery rate of 83.0%. The significant reduction in tonnes milled is primarily due to the suspension of processing of the low grade surface stockpile due to low commodity prices.

Jim Gallagher, CEO, said:

Good progress was made on our three key priorities for the first quarter which included lowering our operating costs, continuing both the engineering and underground development necessary for the conversion to a sub-level shrinkage mining method and building out long-term tailings and water management capacity.

Click here for the full press release.