Welcome!

News Feed Item

Dynasty Reports Financial Results for the Three Months Ended March 31, 2014

VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 05/15/14 -- Dynasty Metals & Mining Inc. ("Dynasty" or the "Company") (TSX: DMM)(OTCQX: DMMIF) announces that it has released its unaudited consolidated financial statements for the three months ended March 31, 2014. The selected financial information presented herein is qualified in its entirety by, and should be read in conjunction with, the Company's unaudited consolidated financial statements as at and for the three months ended March 31, 2014 and the related notes thereto and the Company's management's discussion and analysis ("MD&A"), which are available on the Company's website (www.dynastymining.com) and on SEDAR (www.sedar.com).

All dollar amounts in United States dollars unless otherwise stated.

Zaruma Gold Project Operating Results

                                                                Three months
                                                 Three months          ended
                                                        ended   December 31,
                                               March 31, 2014           2013
                                                  (unaudited)    (unaudited)
----------------------------------------------------------------------------


Gold Revenue                                      $ 9,390,956   $ 15,670,352

Gold sales (ounces)                                     7,237         12,355

Average realized price per ounce                      $ 1,298        $ 1,268

Mined material milled (tonnes)                         16,898         29,948

Average grade (grams/tonne)                             10.81          15.14

Average recovery (%)                                     94.7           94.3

Gold production (ounces)                                5,558         13,748

Cash costs (US$/oz Au)(a,b)                             $ 919          $ 592

Cash costs (US$/tonne Au)(a,b)                          $ 302          $ 272

All-in sustaining cash cost (US$/oz Au)(a,b)          $ 1,310          $ 791

----------------------------------------------------------------------------
----------------------------------------------------------------------------

a)   Net of by-product credits

b)   Non-GAAP measure. For the disclosure of the manner in which these
     measures are calculated refer to the "Non-GAAP Measures" section of
     the Company's MD&A for the three months ended March 31, 2014 available
     on SEDAR (http://www.sedar.com/).

c)   There are no comparable operating results for the three months ended
     March 31, 2013 since the Company commenced accounting for the Zaruma
     Project as being in commercial production commencing on October 1,
     2013 as the project was meeting production milestones to be operating,
     for accounting purposes, in the way intended by Management.

The average grade of material processed during the three months ended March 31, 2014 was 10.81 grams per tonne ("g/t"). Substantially all the high grade material mined in the period was from certain sections of the Soroche vein where the grade was particularly high.

The average daily tonnage of material processed through the mill during the three months ended March 31, 2014 of 188 tonnes per day ("tpd") is lower than the average achieved in the fourth quarter of 2013 (325 tpd) due to the reallocation of resources at the beginning of the current year to carry out some normal course maintenance and development work on the main decline. This maintenance and development work is now complete and the Company is refocussing on mining resource grade material to be delivered to the mill for processing.

Cash costs per ounce and all-in sustaining cash costs per ounce for the three months ending March 31, 2014 were $919 and $1,310 respectively which is a considerable increase compared to the three months ended December 31, 2013 when cash costs per ounce and all-in sustaining cash costs per ounce were $592 and $791 respectively. This was the result of the combination of a number of factors, including:

--  The above mentioned maintenance and development work meant that
    resources were diverted from mining material that would be delivered to
    the mill for processing;

--  The Company has adopted a policy to expense any further development
    expenditure as it is incurred in respect of a mine property subsequent
    to the commencement of commercial production, unless substantial new
    future economic benefits are derived from such expenditure at which
    point it will be capitalized. As a result the cost of carrying out the
    decline maintenance and development work was all expensed in the period
    and therefore included in the per ounce cost calculations; and

--  the Company's operations consist of a large fixed cost proportion, with
    the actual cash expenditure not varying a great deal between periods.

In the near term, the Company intends to remain focused on developing the main decline with the intent to continue to develop high grade gold veins in the area, thereby providing access to additional mining faces which in turn is expected to improve production. This outlook is based on current operations, mine plans and exploration results, which are subject to change and as such cannot be assured.

The following tables show selected consolidated financial information as at March 31, 2014 and December 31, 2013 and for the three months ending March 31, 2014 and 2013:

----------------------------------------------------------------------------
----------------------------------------------------------------------------

                                               For the Three  For the Three
                                                Months Ended   Months Ended
                                              March 31, 2014 March 31, 2013
----------------------------------------------------------------------------

OPERATING REVENUES                               $ 9,677,584            $ -
                                             -------------------------------

OPERATING COSTS (Note 4)
  Mining and processing                            5,912,688              -
  Royalties                                          373,366              -
  Depreciation and depletion                       1,105,450              -
                                             -------------------------------
                                                   7,391,504              -
                                             -------------------------------
EARNINGS FROM MINE OPERATIONS                      2,286,080              -

EXPENSES
  Corporate administration (Note 5)                1,113,800      1,246,360
  Stock-based compensation (Note 11)                  95,327         56,798
                                             -------------------------------
                                                   1,209,127      1,303,158
                                             -------------------------------
EARNINGS (LOSS) BEFORE INCOME TAXES                1,076,953     (1,303,158)

INCOME TAXES
  Current tax expense                                 27,565              -
                                             -------------------------------
NET EARNINGS / (LOSS) AND COMPREHENSIVE
 EARNINGS / (LOSS) FOR THE PERIOD                $ 1,049,388   $ (1,303,158)
----------------------------------------------------------------------------
----------------------------------------------------------------------------

EARNINGS / (LOSS) PER SHARE
  Basic                                               $ 0.02        $ (0.03)
  Diluted                                             $ 0.02        $ (0.03)
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Consolidated Statements of Financial Position, as at:

----------------------------------------------------------------------------
----------------------------------------------------------------------------

                                                               December 31,
                                             March 31, 2014            2013
ASSETS
Current assets
  Cash                                          $ 3,245,011     $ 4,913,500
  Receivables                                        18,281          20,162
  Prepaid expenses                                  863,117         556,380
  Inventory (Note 6)                              4,247,070       4,320,543
                                            --------------------------------

                                                  8,373,479       9,810,585
Advances, deposits and warranties                   306,348         306,348
Mine properties, plant and equipment (Note
 7)                                              50,376,246      51,309,641
Exploration and evaluation properties (Note
 8)                                              14,973,291      14,067,965
                                            --------------------------------

                                               $ 74,029,364    $ 75,494,539
----------------------------------------------------------------------------
----------------------------------------------------------------------------

LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
  Accounts payable and accrued liabilities      $ 3,512,383     $ 6,090,741
  Taxes payable                                   2,509,636       2,426,941
  Short term loans (Note 9)                       1,000,000       1,132,591
                                            --------------------------------

                                                  7,022,019       9,650,273
Provision for closure and restoration (Note
 10)                                              1,863,816       1,845,452
                                            --------------------------------

                                                  8,885,835      11,495,725
                                            --------------------------------
Shareholders' equity
  Capital stock (Note 11)                        89,059,365      89,059,365
  Contributed surplus (Note 11)                  14,036,713      13,941,386
  Deficit                                       (37,952,549)    (39,001,937)
                                            --------------------------------

                                                 65,143,529      63,998,814
                                            --------------------------------

                                               $ 74,029,364    $ 75,494,539
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Liquidity

As at March 31, 2014 the Company had cash resources of $3.3 million and a working capital surplus (current assets less current liabilities) of $1.3 million compared to cash resources of $4.9 million and a working capital surplus of $0.2 million as at December 31, 2013.

Included within accounts payable as at March 31, 2014 is approximately $2.5 million of corporate income and employee participation taxes relating to the year ended December 31, 2013. Subsequent to the period end these taxes were paid in full by the due date which was mid-April 2014.

Included within short term loans is a $1 million Promissory Note from corporations represented by the Company's President and Chief Executive Officer. The Promissory Note bears no interest, is repayable on demand and is secured by way of a General Security Agreement over certain assets of the Company.

About Dynasty Metals & Mining

Dynasty Metals & Mining Inc. is a Canadian based mining company involved in the exploration and development of mineral properties in Ecuador.

The Company is currently focused on developing its Zaruma Gold Project, at which the Company is engaged in intermittent production. The Company also has the following non-producing assets: the Jerusalem Project and Dynasty Goldfield Project.

Brian Speechly, a Fellow of AusIMM (Australian Institute of Mining and Metallurgy), a director of the Company and a "qualified person" within the definition of that term in the National Instrument 43-101, has supervised the preparation of and has verified the technical information contained in this news release.

Forward-Looking Information

This news release contains statements which are, or may be deemed to be, "forward-looking information" which are prospective in nature, including, without limitation, statements regarding Dynasty's future plan and, expectations relating to the Zaruma mine development and mineral extraction Forward-looking information is not based on historical facts, but rather on then current expectations, beliefs, assumptions, estimates and forecasts about the business and the industry and markets in which the Company operates, including assumptions relating to the Company's ability to continue progress through its declines with minimal or no interruption, that the Company will be able to continue its progress in respect of its mines as planned, that the Company will continue to sell processed gold and silver at levels that allow it to fund the continued development of its mining projects, that the Company will have access to capital if required, that all necessary approvals and arrangements will be obtained and/or finalized in a satisfactory manner in order to continue developing the Company's projects, and that the Company's equipment will operate at expected levels. Often, but not always, forward-looking information can be identified by the use of forward-looking words such as "plans", "expects" or "does not expect", "is expected", "scheduled", "estimates", "forecasts", "projects", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "should", "would", "might" or "will" be taken, occur or be achieved.

Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations. Forward-looking information involves known and unknown risks, uncertainties and other factors which may cause Dynasty's actual results, revenues, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Important risks that could cause Dynasty's actual results, revenues, performance or achievements to differ materially from Dynasty's expectations include, among other things: (i) risks related to prior mining activity at its mines and declines, (ii) uncertainties relating to mineral resource estimates (iii) risks related to availability of capital on satisfactory terms, (iv) risks related to being an early stage producer; (ii) risks related to Dynasty's lack of history in producing metals from Dynasty's mineral exploration properties and its ability to successfully establish mining operations or profitably produce precious metals; (v) that Dynasty will be unable to successfully negotiate agreements with the holders of surface rights on areas covered by Dynasty's project concessions; (vi) changes in the market prices of gold, silver, and other minerals, which, in the past, have fluctuated widely and which could affect the profitability of Dynasty's operations and financial condition; (vii) risks related to governmental regulations, including taxation statutes; (viii) risks related to Dynasty's primary properties being located in Ecuador, including political, economic, and regulatory instability; (ix) uncertainty in Dynasty's ability to obtain and maintain certain permits necessary to the Company's current and anticipated operations; and other risks found in Dynasty's Annual Information Form for the year ended December 31, 2013, which is available on SEDAR at www.sedar.com. Other than in accordance with its legal or regulatory obligations, Dynasty is not under any obligation and Dynasty expressly disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Contacts:
Dynasty Metals & Mining Inc.
Murray Oliver
Toll Free: 1 888-735-3881 (North America only)
Tel: (604) 687-7810
Email: [email protected]
www.dynastymining.com

Brisco Capital Partners Corp.
Scott Koyich
Tel: (403) 262-9888
Email: [email protected]

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
As data explodes in quantity, importance and from new sources, the need for managing and protecting data residing across physical, virtual, and cloud environments grow with it. Managing data includes protecting it, indexing and classifying it for true, long-term management, compliance and E-Discovery. Commvault can ensure this with a single pane of glass solution – whether in a private cloud, a Service Provider delivered public cloud or a hybrid cloud environment – across the heterogeneous enter...
DXWorldEXPO LLC announced today that Kevin Jackson joined the faculty of CloudEXPO's "10-Year Anniversary Event" which will take place on November 11-13, 2018 in New York City. Kevin L. Jackson is a globally recognized cloud computing expert and Founder/Author of the award winning "Cloud Musings" blog. Mr. Jackson has also been recognized as a "Top 100 Cybersecurity Influencer and Brand" by Onalytica (2015), a Huffington Post "Top 100 Cloud Computing Experts on Twitter" (2013) and a "Top 50 C...
We all know that end users experience the internet primarily with mobile devices. From an app development perspective, we know that successfully responding to the needs of mobile customers depends on rapid DevOps – failing fast, in short, until the right solution evolves in your customers' relationship to your business. Whether you’re decomposing an SOA monolith, or developing a new application cloud natively, it’s not a question of using microservices - not doing so will be a path to eventual ...
We all know that end users experience the internet primarily with mobile devices. From an app development perspective, we know that successfully responding to the needs of mobile customers depends on rapid DevOps – failing fast, in short, until the right solution evolves in your customers' relationship to your business. Whether you’re decomposing an SOA monolith, or developing a new application cloud natively, it’s not a question of using microservices - not doing so will be a path to eventual ...
"We were founded in 2003 and the way we were founded was about good backup and good disaster recovery for our clients, and for the last 20 years we've been pretty consistent with that," noted Marc Malafronte, Territory Manager at StorageCraft, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
DXWorldEXPO LLC announced today that ICC-USA, a computer systems integrator and server manufacturing company focused on developing products and product appliances, will exhibit at the 22nd International CloudEXPO | DXWorldEXPO. DXWordEXPO New York 2018, colocated with CloudEXPO New York 2018 will be held November 11-13, 2018, in New York City. ICC is a computer systems integrator and server manufacturing company focused on developing products and product appliances to meet a wide range of ...
We all know that end users experience the Internet primarily with mobile devices. From an app development perspective, we know that successfully responding to the needs of mobile customers depends on rapid DevOps – failing fast, in short, until the right solution evolves in your customers' relationship to your business. Whether you’re decomposing an SOA monolith, or developing a new application cloud natively, it’s not a question of using microservices – not doing so will be a path to eventual b...
More and more brands have jumped on the IoT bandwagon. We have an excess of wearables – activity trackers, smartwatches, smart glasses and sneakers, and more that track seemingly endless datapoints. However, most consumers have no idea what “IoT” means. Creating more wearables that track data shouldn't be the aim of brands; delivering meaningful, tangible relevance to their users should be. We're in a period in which the IoT pendulum is still swinging. Initially, it swung toward "smart for smart...
Vulnerability management is vital for large companies that need to secure containers across thousands of hosts, but many struggle to understand how exposed they are when they discover a new high security vulnerability. In his session at 21st Cloud Expo, John Morello, CTO of Twistlock, addressed this pressing concern by introducing the concept of the “Vulnerability Risk Tree API,” which brings all the data together in a simple REST endpoint, allowing companies to easily grasp the severity of the ...
Sanjeev Sharma Joins November 11-13, 2018 @DevOpsSummit at @CloudEXPO New York Faculty. Sanjeev Sharma is an internationally known DevOps and Cloud Transformation thought leader, technology executive, and author. Sanjeev's industry experience includes tenures as CTO, Technical Sales leader, and Cloud Architect leader. As an IBM Distinguished Engineer, Sanjeev is recognized at the highest levels of IBM's core of technical leaders.
As Cybric's Chief Technology Officer, Mike D. Kail is responsible for the strategic vision and technical direction of the platform. Prior to founding Cybric, Mike was Yahoo's CIO and SVP of Infrastructure, where he led the IT and Data Center functions for the company. He has more than 24 years of IT Operations experience with a focus on highly-scalable architectures.
Headquartered in Plainsboro, NJ, Synametrics Technologies has provided IT professionals and computer systems developers since 1997. Based on the success of their initial product offerings (WinSQL and DeltaCopy), the company continues to create and hone innovative products that help its customers get more from their computer applications, databases and infrastructure. To date, over one million users around the world have chosen Synametrics solutions to help power their accelerated business or per...
"DivvyCloud as a company set out to help customers automate solutions to the most common cloud problems," noted Jeremy Snyder, VP of Business Development at DivvyCloud, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
Founded in 2000, Chetu Inc. is a global provider of customized software development solutions and IT staff augmentation services for software technology providers. By providing clients with unparalleled niche technology expertise and industry experience, Chetu has become the premiere long-term, back-end software development partner for start-ups, SMBs, and Fortune 500 companies. Chetu is headquartered in Plantation, Florida, with thirteen offices throughout the U.S. and abroad.
Dion Hinchcliffe is an internationally recognized digital expert, bestselling book author, frequent keynote speaker, analyst, futurist, and transformation expert based in Washington, DC. He is currently Chief Strategy Officer at the industry-leading digital strategy and online community solutions firm, 7Summits.