Welcome!

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.

Revenue

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.

Earnings

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."

Summary

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

Corporate

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.

ON BEHALF OF THE BOARD OF DIRECTORS OF AURCANA CORPORATION

Lenic Rodriguez, President & CEO

NR-14-8

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.

Contacts:
Aurcana Corporation
(604) 331-9333 or Toll Free: (866) 532-9333
(604) 633-9179 (FAX)

Aurcana Corporation
Gary Lindsey
Corporate Relations
(720) 273-6224
[email protected]
www.aurcana.com

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
In his session at @ThingsExpo, Greg Gorman is the Director, IoT Developer Ecosystem, Watson IoT, will provide a short tutorial on Node-RED, a Node.js-based programming tool for wiring together hardware devices, APIs and online services in new and interesting ways. It provides a browser-based editor that makes it easy to wire together flows using a wide range of nodes in the palette that can be deployed to its runtime in a single-click. There is a large library of contributed nodes that help so...
With major technology companies and startups seriously embracing Cloud strategies, now is the perfect time to attend 21st Cloud Expo October 31 - November 2, 2017, at the Santa Clara Convention Center, CA, and June 12-14, 2018, at the Javits Center in New York City, NY, and learn what is going on, contribute to the discussions, and ensure that your enterprise is on the right path to Digital Transformation.
Many organizations adopt DevOps to reduce cycle times and deliver software faster; some take on DevOps to drive higher quality and better end-user experience; others look to DevOps for a clearer line-of-sight to customers to drive better business impacts. In truth, these three foundations go together. In this power panel at @DevOpsSummit 21st Cloud Expo, moderated by DevOps Conference Co-Chair Andi Mann, industry experts will discuss how leading organizations build application success from all...
Most of the time there is a lot of work involved to move to the cloud, and most of that isn't really related to AWS or Azure or Google Cloud. Before we talk about public cloud vendors and DevOps tools, there are usually several technical and non-technical challenges that are connected to it and that every company needs to solve to move to the cloud. In his session at 21st Cloud Expo, Stefano Bellasio, CEO and founder of Cloud Academy Inc., will discuss what the tools, disciplines, and cultural...
The “Digital Era” is forcing us to engage with new methods to build, operate and maintain applications. This transformation also implies an evolution to more and more intelligent applications to better engage with the customers, while creating significant market differentiators. In both cases, the cloud has become a key enabler to embrace this digital revolution. So, moving to the cloud is no longer the question; the new questions are HOW and WHEN. To make this equation even more complex, most ...
DevOps is being widely accepted (if not fully adopted) as essential in enterprise IT. But as Enterprise DevOps gains maturity, expands scope, and increases velocity, the need for data-driven decisions across teams becomes more acute. DevOps teams in any modern business must wrangle the ‘digital exhaust’ from the delivery toolchain, "pervasive" and "cognitive" computing, APIs and services, mobile devices and applications, the Internet of Things, and now even blockchain.
As DevOps methodologies expand their reach across the enterprise, organizations face the daunting challenge of adapting related cloud strategies to ensure optimal alignment, from managing complexity to ensuring proper governance. How can culture, automation, legacy apps and even budget be reexamined to enable this ongoing shift within the modern software factory?
SYS-CON Events announced today that App2Cloud will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct. 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. App2Cloud is an online Platform, specializing in migrating legacy applications to any Cloud Providers (AWS, Azure, Google Cloud).
Agile has finally jumped the technology shark, expanding outside the software world. Enterprises are now increasingly adopting Agile practices across their organizations in order to successfully navigate the disruptive waters that threaten to drown them. In our quest for establishing change as a core competency in our organizations, this business-centric notion of Agile is an essential component of Agile Digital Transformation. In the years since the publication of the Agile Manifesto, the conn...
WebRTC is great technology to build your own communication tools. It will be even more exciting experience it with advanced devices, such as a 360 Camera, 360 microphone, and a depth sensor camera. In his session at @ThingsExpo, Masashi Ganeko, a manager at INFOCOM Corporation, will introduce two experimental projects from his team and what they learned from them. "Shotoku Tamago" uses the robot audition software HARK to track speakers in 360 video of a remote party. "Virtual Teleport" uses a mu...
Internet of @ThingsExpo, taking place October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 21st Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devic...
Mobile device usage has increased exponentially during the past several years, as consumers rely on handhelds for everything from news and weather to banking and purchases. What can we expect in the next few years? The way in which we interact with our devices will fundamentally change, as businesses leverage Artificial Intelligence. We already see this taking shape as businesses leverage AI for cost savings and customer responsiveness. This trend will continue, as AI is used for more sophistica...
21st International Cloud Expo, taking place October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy. Me...
Trying to improve density, lower costs and run applications faster than before? Today, enterprises looking for a secure cloud strategy are increasingly turning to container-based Platform as a Service solutions for on-premises hosted DevOps. In her session at 21st Cloud Expo, Alise Cashman Spence, Offering Manager, Power Systems Cloud Solutions at IBM, will discuss the driving factors behind these cloud trends and how IBM customers are realizing exceptional performance, security and control for ...
DevOps is often described as a combination of technology and culture. Without both, DevOps isn't complete. However, applying the culture to outdated technology is a recipe for disaster; as response times grow and connections between teams are delayed by technology, the culture will die. A Nutanix Enterprise Cloud has many benefits that provide the needed base for a true DevOps paradigm. In their Day 3 Keynote at 20th Cloud Expo, Chris Brown, a Solutions Marketing Manager at Nutanix, and Mark Lav...