|August 15, 2013
Veris Gold Corp. Delivers Record Production for Second Quarter of 2013
|Vancouver, BC – August 15, 2013 – Veris Gold Corp. (TSX: VG) (OCTQB: YNGFF) (Frankfurt Xetra Exchange: NG6A) (“Veris Gold” or the “Company”) announced its unaudited interim financial and operational results for the second quarter ended June 30, 2013 on August 15, 2013. This information should be read in conjunction with the Company’s condensed consolidated interim financial statements, including the notes thereto, and the related Management’s Discussion and Analysis.
A conference call to discuss the financial and operational highlights has been scheduled for Tuesday, August 20, 2013 at 8:00 am Pacific Daylight Time (11:00 am Eastern Daylight Time). Details of the call may be found on the Veris Gold website.
All dollar amounts are expressed in United States Dollars unless otherwise specified.
Highlights for the three-month period ended June 30, 2013 (“Q2-2013″) include:
“We are very pleased to report a successful second quarter to our shareholders. Our lower cash costs per ounce sold, and increased gold sales were a direct result of increased tonnage from our mines and strong performance from the mill operations at Jerritt Canyon,” stated R. Llee Chapman, President and CEO of Veris Gold. “We expect to continue to strengthen quarter-after-quarter and we feel confident that by continuing to optimize mill and mining operations we are well on our way to meet our year-end forecast of achieving $850 cash costs per ounce sold and producing 145,000 to 155,000 ounces of gold for the year at Jerritt Canyon. Production at our new Starvation Canyon Mine continues to both meet and exceed expected targets.” Mr. Chapman continued, “We are also very pleased to see our recent toll milling contracts begin to positively impact our revenue stream and we look forward to increasing this source of cash flow over the next several quarters.”
The Company reported net income of $9.4 million during the quarter ended June 30, 2013, compared to a net loss of $8.3 million incurred in the same quarter of the previous year. The Q2-2013 net income gain arose primarily from income from mine operations of $3.1 million and non-cash derivative gains of $12.2 million, offset with $3.6 million in finance and transactions costs, a significant improvement from the $7.2 million loss from operations which drove the Q2-2012 net loss. The Company achieved $0.09 basic income per share in Q2-2013, compared to a loss per share of $0.09 for the same period the previous year.
The increase in sales volume in Q2-2013 versus Q2-2012 was attributable to increase in production helped mostly from the opening of the Starvation Canyon Mine in April.
Jerritt Canyon Underground Mining
In Q2-2013 12,915 tons of third party ore that was toll-milled generated $1.7 million in revenue.
Outlook/Guidance for 2013
The Company is also focused on restructuring of the existing short term debts as well as the gold forward facility to improve the financial strength of the Company, preferably through the use of longer term financing more closely aligned with the life of mine for Jerritt Canyon.
QP and Quality Control:
The information contained in this news release has been reviewed and approved by the Company’s Vice President of Exploration, Todd Johnson, P.E., (Qualified Person per the requirements of NI 43-101).
About Veris Gold Corp.
On behalf of
R. Llee Chapman
Veris Gold Delivers Record Production for Second Quarter of 2013
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