Nordgold Announces Q1 2019 Financial and Operating Results
London, United Kingdom, 24 May 2019 — Nord Gold SE (Nordgold or the Company), the internationally diversified gold producer, announces its financial and operating results for the first quarter ended 31 March 2019.
2018 was a year of transition, as we launched the Gross mine and made a series of investments in our operations to better position Nordogld for long term sustained growth. In 2019, the first quarter has begun as expected. We have seen some impact on our heap leach operations in Russia from the cold winter, but I am pleased to report we are now starting to realise the benefits of 2018 investments in pit development, including higher grade.
We continue to advance our near mine drilling programmes. The Tokkinsky deposit we have identified near our Neryungri hub is a good example and shows real promise. As the year progresses we will conduct further infill drilling to confirm the resource. Our successful Gross launch shows how we can take promising near mine deposits and develop them around a central hub, economics permitting. Nikolai ZelenskiChief Executive Officer of Nordgold
Q1 2019 Highlights
- Lost Time Injury Frequency Rate (LTIFR) increased in Q1 2019 to 1.77. Nordgold regrets to confirm a fatality incident at its Taparko mine in the period.
- Refined gold production of 211.7 thousand gold equivalent ounces (kozr;) in Q1 2019 was 9% lower quarter-on-quarter (QoQ) mainly as a result of seasonally lower volumes processed at Neryungri due to the impact of winter on the heap leach operations, as well as lower recoveries at Bouly, Taparko and Suzdal mines, partially offset by higher grade.
- Adjusted EBITDA decreased by 2% QoQ to US$122.5 million in Q1 2019 mainly due to lower production partially offset by the higher gold price.
- Net profit increased to US$64.3 million in Q1 2019 compared to a net loss in Q4 2018 when it was negatively affected by an impairment charge in respect of non-current assets.
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