The net loss amounted to $200,000 (or nil per share) on revenue of $7 million, compared with a loss of $700,000 (2 per share) on $6.5 million in revenue in the third quarter of 2001. Cash flow from operations doubled to $1.2 million between the two periods.
For the first nine months of the year, Claude incurred a loss of $3.2 million (7 a share) on revenue of $17.6 million, compared with a loss of $1.9 million (5 per share) on $22.3 million a year earlier. Between the two 9-month periods, cash flow from operations fell to $500,000 from $2.6 million.
Seabee produced 11,100 oz. gold during the quarter, and the average grade was 7.6 grams per tonne, compared with 4.8 grams in the first half of 2002. The improvement reflects stope development on the higher-grade B and C zones between the 400- and 550-metre levels.
Over the 9-month period, 26,600 oz. were produced at US$280 apiece, off from 33,600 oz. at US$224 per oz. a year earlier.
The company expects the grade improvements to continue into the fourth quarter, with 2003 production targeted at 50-55,000 oz.
Seabee has 216,800 tonnes in proved reserves grading 7.9 grams gold per tonne, or 53,600 contained ounces. In the probable category are an additional 392,800 tonnes grading 9.4 grams, or 118,600 oz.
Claude’s exploration efforts are focused on the Madsen project, near Red Lake, Ont. The operator,
Placer can acquire a 55% interest in Madsen by spending $8.2 million by 2005 and delivering a bankable feasibility study by 2007.
At the end of September, Claude’s short-term investments totalled $657,000, unchanged from the end of 2001. The company’s hedge book contained forward gold contracts covering 8,250 oz. of 2002 production at an average of US$296 per oz., for a market-value loss of US$100,000.
Claude has since raised $1.5 million in gross proceeds by privately placing 1 million shares priced at $1.50 apiece. Proceeds are earmarked for exploration.
Be the first to comment on "Seabee’s grades improve in third quarter"