News Feed Item

Aurcana Reports Q1, 2014 Financial Results

VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 05/30/14 -- Aurcana Corporation ("Aurcana" or the "Company") (TSX VENTURE:AUN)(OTCQX:AUNFF) is pleased to report its unaudited financial results for the first quarter ended March 31, 2014. The summary o the selected financial information should be read in conjunction with the Condensed Interim Consolidated Financial Statements (Unaudited) and the related Management Discussion and Analysis for the quarter ended March 31, 2014 dated May 30, 2014 together referred to as the "Financial Statements", which have been filed on SEDAR (www.sedar.com) and the Company's website (http://www.aurcana.com). All figures are in US dollars unless otherwise noted.

The most significant highlights for the 1st quarter ending March 31, 2014 were:

--  Revenues increased 2% to $13.0 million in Q1, 2014 from $12.8 million in
    Q1, 2013. 
--  55% increase in silver equivalent ounces produced, with 919,989 ounces
    produced (798,788 ounces sold) in Q1, 2014, compared to 593,017 ounces
    produced in Q1, 2013 (506,939 ounces sold). 
--  39% increase in production at the La Negra mill to over 3,000 tonnes per
    day ("tpd") in Q1, 2014, compared to less than 2,200 tpd in Q1, 2013. 
--  Total cash cost per silver ounce, net of by products, decreased 30% to
    $6.22 in Q1, 2014, compared to $8.82 in Q1, 2013, due to economies of
    scale of increased production. 
--  Earnings from mining operations decreased 29% to $3.4 million in Q1,
    2014 from $4.8 million in Q1, 2013, primarily due to lower market prices
    of metals (down 35%). 
--  Comprehensive loss was ($2.6) million in Q1, 2014, compared to loss of
    ($0.001) million in Q1, 2013, with operating cash flow before movements
    in working capital being $0.89 million in Q1, 2014, compared to $3.3
    million in Q1, 2013. Other influences included financing expenses and
    Shafter care and maintenance costs.


During the quarter ended March 31, 2014, the Company generated revenues from the sale of 310,554 ounces of silver (Q1, 2013: 267,349 ounces); 3,808 tonnes of copper concentrate (Q1 2013: 2,103 tonnes); 6,091 tonnes of zinc concentrate (Q1, 2013: 3,115 tonnes); and 895 tonnes o lead concentrate (Q1, 2013: 763); for total net revenues of $13.0 million (Q1, 2013: $12.8 million).

The average price for sales of silver, copper, zinc and lead during the quarter were Ag $20.71 (Q1 2013: $29.52) per ounce; Cu $3.17 (Q1, 2013: $3.62) per pound; Zn $0.92 (Q1, 2013: $0.91) pe pound; and Pb $0.94 (Q1, 2013: $1.02) per pound.


The Company had earnings from mining operations of $3.4 million for the quarter ended March 31, 2014 (Q1, 2013: $4.8 million); loss before taxes of ($3.5) million (Q1, 2013: $1.5 million) comprehensive loss of ($2.6) million (Q1, 2013: ($ 0.001) million).

The decrease in earnings from operations was mainly related to market prices of the metals sold, which averaged a decrease of 35% as compared with the same period last year.

La Negra Mine Production Highlights

--  La Negra completed its mine expansion from 2,200 tpd to 3,000 tpd
    production. Total tonnes of ore milled during the quarter jumped 51% to
    257,140 tonnes from 170,081 in Q1, 2013. 
--  55% increase in silver equivalent ounces produced during the quarter,
    with 919,989 tonnes being produced (Q1, 2013: 593,017). 
--  4% increase in ore mined to 207,544 tonnes in Q1, 2014 from 200,494
    tonnes in Q1, 2013. 
--  La Negra's production increase was supported by a continuous in-house
    diamond drilling program, with the goal to replace each mined tonne with
    two additional tonnes of identified mineralization. 
--  The raise boring machine is expected to be commissioned at the beginning
    of Q3, 2014, allowing the La Negra mine to reach the NW trend where
    higher silver grades of mineralization are located and to improve the
    mine infrastructure.

Aurcana has announced its re-financing from Orion Mine Finance (Master) Fund I LP, an affiliate of Orion Mine Finance Group. Details are in the Company's press release dated April 29, 2014.

Mr. Lenic Rodriguez, President & CEO stated, "La Negra continues to grow and is on target to achieve its 2014 guidance of 3.6 to 4 million ounces of silver equivalent. Aurcana is well on its way to becoming the next mid-tier silver producer."


During Q1, 2014, Aurcana continued to upgrade and expand the La Negra Mine. Metal concentrate prices continued to drop, and the Company continued to adjust its cost structure, both on the operational and administrative side. In December 2013, the Shafter mine was placed on care and maintenance, due to economic conditions and low silver prices.

The Company expects to continue increasing silver equivalent production in 2014 and beyond.

To read the complete Condensed Interim Consolidated Financial Statements click on this link: http://www.aurcana.com/i/pdf/2014-Q1-FS.pdf

To read the complete Management Discussion and Analysis click on this link: http://www.aurcana.com/i/pdf/2014-Q1-MDA.pdf


The Company's shares are also traded in the United States on OTCQX under the symbol "AUNFF". Investors can find current financial disclosure and Real-Time Level 2 quotes for the Company on www.otcqx.com and www.otcmarkets.com.

About Aurcana Corporation

Aurcana Corporation is a primary silver producing company with two properties: the La Negra Mine in Mexico and the Shafter Mine in Texas, US. The latter was put on care and maintenance in December 2013, in part due to depressed silver prices. The Company continues to plan further expansion at its La Negra Mine and to focus on surface exploration on its extensive land holdings in the Maconi Mining District.

The technical information in this release has been reviewed and approved by J. Blackwell (PGeo.), a technical consultant to the Company and a Qualified Person as defined by National Instrument 43-101.


Lenic Rodriguez, President & CEO


This news release contains certain forward-looking statements, including statements regarding forecast silver production, silver grades, recoveries, potential mineralization, exploration result, future plans and objectives of the Company and the business and anticipated financial performance of the Company. These statements are forward-looking statements that involve various risks and uncertainties. These forward-looking statements include, but are not limited to, statements with respect to mining and processing of mined ore, achieving projected recovery rates, anticipated production rates and mine life, operating efficiencies, costs and expenditures, changes in mineral resources and conversion of mineral resources to proven and probable reserves, and other information that is based on forecasts of future operational or financial results, estimates of amounts not yet determinable and assumptions of management.Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as "expects" or does not expect", "is expected", anticipates" or "does not anticipate" "plans", "estimates" or "intends" or stating that certain actions, events or results " may", "could", "would", "might" or "will" be taken, occur or be achieved) are not statements of historical fact and may be "forward-looking statements". Forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to materially differ from those reflected in the forward-looking statements.

Actual results may differ materially from results contemplated by the forward-looking statements. Important factors that could differ materially from the Company's expectations include, among others,risks related to international operations, unsuccessful exploration results, conclusions of economic evaluations and changes in project parameters as plans continue to be refined as well as changes in metal prices, changes in the availability of funding for mineral exploration and development, unanticipated changes in key management personnel and general economic conditions. When relying on forward-looking statements to make decisions, investors and others should carefully consider the foregoing factors and other uncertainties and should not place undue reliance on such forward-looking statements. The Company does not undertake to update any forward-looking statements, oral or written, made by itself or on its behalf, except as required by applicable law. Accordingly, readers should not place undue reliance on forward- looking statements.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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
@ThingsExpo has been named the Top 5 Most Influential M2M Brand by Onalytica in the ‘Machine to Machine: Top 100 Influencers and Brands.' Onalytica analyzed the online debate on M2M by looking at over 85,000 tweets to provide the most influential individuals and brands that drive the discussion. According to Onalytica the "analysis showed a very engaged community with a lot of interactive tweets. The M2M discussion seems to be more fragmented and driven by some of the major brands present in the...
Traditional on-premises data centers have long been the domain of modern data platforms like Apache Hadoop, meaning companies who build their business on public cloud were challenged to run Big Data processing and analytics at scale. But recent advancements in Hadoop performance, security, and most importantly cloud-native integrations, are giving organizations the ability to truly gain value from all their data. In his session at 19th Cloud Expo, David Tishgart, Director of Product Marketing ...
The Quantified Economy represents the total global addressable market (TAM) for IoT that, according to a recent IDC report, will grow to an unprecedented $1.3 trillion by 2019. With this the third wave of the Internet-global proliferation of connected devices, appliances and sensors is poised to take off in 2016. In his session at @ThingsExpo, David McLauchlan, CEO and co-founder of Buddy Platform, discussed how the ability to access and analyze the massive volume of streaming data from millio...
WebRTC has had a real tough three or four years, and so have those working with it. Only a few short years ago, the development world were excited about WebRTC and proclaiming how awesome it was. You might have played with the technology a couple of years ago, only to find the extra infrastructure requirements were painful to implement and poorly documented. This probably left a bitter taste in your mouth, especially when things went wrong.
SYS-CON Events announced today that Pulzze Systems will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Pulzze Systems, Inc. provides infrastructure products for the Internet of Things to enable any connected device and system to carry out matched operations without programming. For more information, visit http://www.pulzzesystems.com.
Without lifecycle traceability and visibility across the tool chain, stakeholders from Planning-to-Ops have limited insight and answers to who, what, when, why and how across the DevOps lifecycle. This impacts the ability to deliver high quality software at the needed velocity to drive positive business outcomes. In his general session at @DevOpsSummit at 19th Cloud Expo, Eric Robertson, General Manager at CollabNet, will discuss how customers are able to achieve a level of transparency that e...
SYS-CON Events announced today that Interface Masters Technologies, a leader in Network Visibility and Uptime Solutions, will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Interface Masters Technologies is a leading vendor in the network monitoring and high speed networking markets. Based in the heart of Silicon Valley, Interface Masters' expertise lies in Gigabit, 10 Gigabit and 40 Gigabit Eth...
Successful digital transformation requires new organizational competencies and capabilities. Research tells us that the biggest impediment to successful transformation is human; consequently, the biggest enabler is a properly skilled and empowered workforce. In the digital age, new individual and collective competencies are required. In his session at 19th Cloud Expo, Bob Newhouse, CEO and founder of Agilitiv, will draw together recent research and lessons learned from emerging and established ...
Enterprise IT has been in the era of Hybrid Cloud for some time now. But it seems most conversations about Hybrid are focused on integrating AWS, Microsoft Azure, or Google ECM into existing on-premises systems. Where is all the Private Cloud? What do technology providers need to do to make their offerings more compelling? How should enterprise IT executives and buyers define their focus, needs, and roadmap, and communicate that clearly to the providers?
One of biggest questions about Big Data is “How do we harness all that information for business use quickly and effectively?” Geographic Information Systems (GIS) or spatial technology is about more than making maps, but adding critical context and meaning to data of all types, coming from all different channels – even sensors. In his session at @ThingsExpo, William (Bill) Meehan, director of utility solutions for Esri, will take a closer look at the current state of spatial technology and ar...
As software becomes more and more complex, we, as software developers, have been splitting up our code into smaller and smaller components. This is also true for the environment in which we run our code: going from bare metal, to VMs to the modern-day Cloud Native world of containers, schedulers and microservices. While we have figured out how to run containerized applications in the cloud using schedulers, we've yet to come up with a good solution to bridge the gap between getting your conta...
SYS-CON Events announced today that Streamlyzer will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Streamlyzer is a powerful analytics for video streaming service that enables video streaming providers to monitor and analyze QoE (Quality-of-Experience) from end-user devices in real time.
You have great SaaS business app ideas. You want to turn your idea quickly into a functional and engaging proof of concept. You need to be able to modify it to meet customers' needs, and you need to deliver a complete and secure SaaS application. How could you achieve all the above and yet avoid unforeseen IT requirements that add unnecessary cost and complexity? You also want your app to be responsive in any device at any time. In his session at 19th Cloud Expo, Mark Allen, General Manager of...
DevOps theory promotes a culture of continuous improvement built on collaboration, empowerment, systems thinking, and feedback loops. But how do you collaborate effectively across the traditional silos? How can you make decisions without system-wide visibility? How can you see the whole system when it is spread across teams and locations? How do you close feedback loops across teams and activities delivering complex multi-tier, cloud, container, serverless, and/or API-based services?
SYS-CON Media announced today that @WebRTCSummit Blog, the largest WebRTC resource in the world, has been launched. @WebRTCSummit Blog offers top articles, news stories, and blog posts from the world's well-known experts and guarantees better exposure for its authors than any other publication. @WebRTCSummit Blog can be bookmarked ▸ Here @WebRTCSummit conference site can be bookmarked ▸ Here