In the same category

Crew Gold Corporation

Published : November 16th, 2009

(NO) - Financial Results for the Quarter and Nine Months Ended ...

( 0 vote, 0/5 ) Print article
  Article Comments Comment this article Rating Follow Company  
0
Send
0
comment
    

Published: 08:09 16.11.2009 GMT+1 /HUGIN /Source: Crew Gold Corporation /OSE: CRU /ISIN: CA2265344028

Financial Results for the Quarter and Nine Months Ended September 30, 2009

DATE: November 16, 2009
 
TRADING SYMBOLS;
TORONTO AND OSLO - CRU
 
N E W S   R E L E A S E
 
Financial Results for the Quarter and Nine Months Ended September 30, 2009
 
LONDON, United Kingdom, November 15, 2009 - Crew Gold Corporation ("Crew" or "the Company") (TSE & OSE: CRU)
 
HIGHLIGHTS
  •          Overview
  • �   As a result of reaching agreements for the sale of the assets of Nalunaq Gold Mine, the Nugget Pond Processing facility and the Maco property, the results of the continuing operations of the Company will reflect only LEFA and corporate overheads
    �   Total gold sold in the quarter was 45,663 oz at an average realised price of $957/oz (Q3 2008 - 71,769 oz sold at an average realised price of $871/oz)
    �   Total gold sold for the nine months ended September 30, 2009 was 182,596 oz at an average price of $921/oz (nine months ended September 30, 2008 - 198,166 oz at an average price of $898/oz)
  •          Financial Results
  • �   EBITDA for the quarter of negative $8.8 million (quarter ended September 30, 2008 - positive $2.7 million)
    �   Net loss of $23.1 million for the quarter ended September 30, 2009 (quarter ended September 30, 2008 - net loss of $111.1 million mainly due to impairment charges of $131.3 million)
  •          LEFA
  • -          Quarterly gold production of 37,458 oz, due to reduced SAG mill capacity while repairs were undertaken (Q3 2008 - 46,078 oz)
    -          SAG Mill 1 ("SAG1") was returned to service in September after the replacement of the trunnion bearings.
    -          The transformer damaged in July by lightning at Lero crusher was reinstated in September.
    -          Environmental bond agreed with the Government of Guinea with an unbudgeted $5 million being deposited in June and July, to be followed by further analysis to reconfirm the estimated amounts of reclamation costs and the annual review process
  •            Maco
  • -          Quarterly gold production of 6,669 oz, (Q3 2009 - 5,053 oz)
    -          Agreement signed in September for the sale of the project in its entirety for cash consideration of $7m; $6m of proceeds received to date
  •            Nalunaq Gold Mine ("Nalunaq") and Nugget Pond Processing Facility ("Nugget Pond")
  • -            The final gold recovery of the ore processed from Nalunaq and the treatment of the residual material from the process plant is now completed
    -            Toll milling at Nugget Pond continued in the quarter (commenced on June 29, 2009)
    -            Sale of all Nalunaq gold mine's assets, infrastructure and inventories completed in October for total cash consideration of $1.5 million
    -            Sale of Nugget Pond processing facility completed in October for consideration of CDN$3.5 million (US$3.3 million)
  •            Outlook
  • -            Both SAG mills at LEFA are expected to be operational during the majority of the last quarter (gold production in October was 18,000 ozs). Work is continuing on improving plant availabilities through purchase of insurance spares, progressive refurbishment and debottlenecking projects.
    -            The recent events in Conakry, have impacted deliveries of fuel and this may continue over the next few months until political stability in the country returns. This may result in the rescheduling of mining to conserve fuel.
    -            Further significant capital expenditures will be required to refurbish the LEFA mining fleet as it reaches its mid life  and to improve process plant reliability and efficiencies through the acquisition of insurance spares and additional mobile equipment with the goal being improved throughput and operating costs per oz at LEFA
    -            The Company did not repay its debt facility that came due on October 27, 2009. A proposal has been made by the Company's lenders to undertake a debt for equity restructuring of  the Company's debt. This proposal is subject to the approval of bondholders and is detailed in the Liquidity and Capital Resources section of this MD&A.
    -            Continued reduction of corporate costs
     
     
    OVERVIEW
     
    Crew is currently focused on financial restructuring and maximizing the performance of its gold project in Guinea.
     
    Results
    The Company adopted Canadian Institute of Chartered Accountants statement 3064 "Goodwill and Intangible Assets" during the year ended December 31, 2008. As a result prior period pre-operating revenues and costs for LEFA and Maco were recognised in the profit and loss statement and comparative unaudited profit and loss statement and balance sheet amounts have been restated where applicable. Following agreements reached for the sale of the assets of Nalunaq Gold Mine, the Nugget Pond Processing facility and the Maco property, the results and financial position of these operations have been reclassified as discontinued operations.
    For the quarter ended September 30, 2009, EBITDA was negative $8.8 million (quarter ended September 30, 2008 - positive $2.7 million) with mineral sales of $34.2 million offset by direct mining and mine site administration costs of $36.2 million and general corporate expenditures of $3.3 million.
    Loss from discontinued operations (Nalunaq/Nugget Pond and Maco) totalled $2.8 million in the quarter ended September 30, 2009 (quarter ended September 30, 2008 -loss of $65.6 million due mainly to impairment charges of $48.9 million for Nalunaq/Nugget Pond).
    Net loss for the quarter ended September 30, 2009 was $23.1 million (quarter ended September 30, 2008 - net loss of $111.1 million) with EBITDA of negative $8.8 million, amortisation charges of $5.1 million, interest and finance costs on the bonds and other long term debt of $6.1 million, non-cash foreign exchange losses of $2.8 million and losses from discontinued operations of $2.8 million.
    Total group gold produced in the quarter ended September 30, 2009 was 44,127 oz (quarter ended September 30, 2008 - 66,996 oz). Total group gold sold during the quarter ended September 30, 2009 was 45,663 oz (quarter ended September 30, 2008 - 71,769 oz).
    For the nine months ended September 30, 2009, EBITDA was $7.8 million (nine months ended September 30, 2008 - negative $10.6 million) with mineral sales of $119.7 million, realized gains of $1.9 million on the repurchase of a portion of the Company's outstanding long-term bonds in the period, direct mining and mine site administration costs of $100.3 million and general corporate expenditures of $8.9 million.
    Profit from discontinued operations (Nalunaq/Nugget Pond and Maco) totalled $10.6 million in the nine months ended September 30, 2009 (nine months ended September 30, 2008 -loss of $79.2 million due mainly to impairment charges of $48.9 million for Nalunaq/Nugget Pond).
    Net loss for the nine months ended September 30, 2009 was $30.9 million (nine months ended September 30, 2008 - net loss of $185.5 million). This net loss arises from the EBITDA of $7.8 million and profit from discontinued operations of $10.6 million, offset by higher amortisation charges of $27.2 million (due mainly to the acceleration of the amortisation of some major components of the open pit mining equipment at LEFA), interest and finance costs on the bonds and other long term debt of $18.9 million and non-cash foreign exchange losses of $7.1 million.
    Total group gold produced in the nine months ended September 30, 2009 was 168,295 oz (nine months ended September 30, 2008 - 198,288 oz). Total gold sold during the nine months ended September 30, 2009 was 182,596 oz (nine months ended September 30, 2008 - 198,166 oz).
    For full results, please see attached pdf file.
    William LeClair
    Chief Executive Officer
    Safe Harbour Statement
    Certain statements contained herein that are not statements of historical fact may constitute forward-looking statements and are made pursuant to applicable and relevant national legislation (including the Safe-Harbour provisions of the United States Private Securities Litigation Reform Act of 1995) in countries where Crew is conducting business and/or investor relations. The words "expect", "anticipate", "will", "believe" and "may", and other similar expressions, are often used to identify forward-looking statements.  Forward-looking statements included herein relate, but are not limited to, statements regarding (1) the completion of the proposed Restructuring, (2) the expected impact of the Restructuring, (3) the results of the resource and reserve reviewing currently underway at the LEFA gold mine, and (4) expected shareholdings following completion of the Restructuring. 
     
    Forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to be materially different from the events or results expressed or implied by such forward-looking statements. In evaluating these statements, prospective purchasers should specifically consider various factors that may cause actual events or results to be materially different from the events or results expressed or implied by such forward-looking statements. Risk factors that could impact the Company include, without limitation, risks relating to (1) receipt of all necessary approvals of the Restructuring, (2) the actions of bondholders in enforcing the existing terms of the bonds, (3) production levels at the LEFA gold mine. Although Crew has attempted to identify important factors that could cause actual events or results to differ from those described in forward-looking statements contained herein, there can be no assurance that the forward-looking statements will prove to be accurate as actual events or results could differ materially from those anticipated in such statements.
    The material factors and assumptions used to develop forward-looking statements include, without limitation, (1) there being no significant disruptions affecting operations, whether due to labour disruptions, supply disruptions, damage to equipment or otherwise, (2) continued development, operation and production at LEFA consistent with our current expectations, (3) foreign exchange rates among the currencies that Crew does business in being approximately consistent with current levels, (4) certain price assumptions for gold, (5) prices for electricity, fuel oil and other key supplies remaining consistent with current levels, (6) production forecasts meeting expectations, and (7) materials and labour costs increasing on a basis consistent with our expectations.
    Except as may be required by applicable law or stock exchange regulation, the Company undertakes no obligation to update publicly or release any revisions to these forward-looking statements to reflect events or circumstances after the date of this document or to reflect the occurrence of unanticipated events. Accordingly, readers should not place undue reliance on forward-looking statements.


    Q3 2009 Results




    This content was distributed through

    Hugin Group

    - connecting communication professionals with their target audience. Visit us here.
    Data and Statistics for these countries : Guinea | United Kingdom | All
    Gold and Silver Prices for these countries : Guinea | United Kingdom | All

    Crew Gold Corporation

    PRODUCER
    CODE : CRU.TO
    ISIN : CA 4020361073
    CUSIP : 402036107
    Follow and Invest
    Add to watch list Add to your portfolio Add or edit a note
    Add Alert Add to Watchlists Add to Portfolio Add Note
    ProfileMarket
    Indicators
    VALUE :
    Projects & res.
    Press
    releases
    Annual
    report
    RISK :
    Asset profile
    Contact Cpy

    Crew Gold is a gold producing company based in United kingdom.

    Crew Gold holds various exploration projects in Philippines.

    Its main assets in production are LEFA MINE in Guinea and NALUNAQ in Greenland and its main asset in development is MACO GOLD MINE in Philippines.

    Crew Gold is listed in Canada, in Germany and in United States of America. Its market capitalisation is CA$ 496.1 millions as of today (US$ 502.1 millions, € 373.4 millions).

    Its stock quote reached its lowest recent point on November 28, 2008 at CA$ 0.05, and its highest recent level on August 06, 2010 at CA$ 6.00.

    Crew Gold has 106 922 000 shares outstanding.

    Your feedback is appreciated, please leave a comment or rate this article.
    Rate : Average note :0 (0 vote) View Top rated
     
    Corporate Presentations of Crew Gold Corporation
    4/17/2007Induced Polarization Crew Mobilizes To Pardo Property
    In the News and Medias of Crew Gold Corporation
    7/6/2009disposes Nalunaq assets for USD1.5m
    Financings of Crew Gold Corporation
    6/17/2008All Conditions for Private Placement Satisfied
    6/13/2008Private Placement Fully Subscribed
    6/12/2008Contemplated Private Placement
    Nominations of Crew Gold Corporation
    10/14/2009(NO) - Crew Gold Appointment of New Chairman
    11/13/2008Crew Appoints Financial Advisors and Sets Price for ...
    7/28/2008Staff Appointments
    Financials of Crew Gold Corporation
    11/16/2009(NO) - Financial Results for the Quarter and Nine Months End...
    8/17/2009Financial Results for the Quarter and Six Months Ended ...
    5/17/2009Financial Results for the Quarter Ended March 31, 2009
    11/17/2008Financial Results for Quarter and Nine Months Ended ...
    8/13/2008Financial Results for the Quarter and Six Months Ended ...
    5/13/2008 Financial Results for Quarter Ended March 31, 2008
    Project news of Crew Gold Corporation
    1/25/2010(Lefa Mine)Update January 25, 2010
    6/23/2009(Lefa Mine)Revised Production Guidance for LEFA for 2009
    4/23/2008(Lefa Mine)Lefa Exploration Update
    2/18/2008(Lefa Mine)Lefa Project Update
    Corporate news of Crew Gold Corporation
    7/23/2010(NO) - Consolidation of common shares on a 20 to 1 basis
    6/2/2010(NO) - Severstal and Endeavour Financial Reach Agreement for...
    1/25/2010Update on Q4 2009 production and other matters
    1/28/2010Endeavour Financial Secondary Market Purchase
    12/29/2009Listing Prospectus In Connection With The Issuance Of New Sh...
    12/22/2009Delivery of Shares under its Debt Restructuring
    12/3/2009Update on Interest Payments
    12/8/2009(NO) - Purchase of Crew Gold Shares
    12/4/2009(NO) - Crew Gold Corporation Announces Closing of Debt Restr...
    11/30/2009 Crew Gold Provides an Update on the Debt-for-Equity ...
    11/24/2009(NO) - Results from Bondholders' Meetings
    11/16/2009(NO) - Financial Statements and MDA for Quarter and Nine Mon...
    10/28/2009(NO) - Crew Gold Corporation Completes Sale of the Nugget ....
    10/28/2009(NO) - Crew Gold Announces an Agreement in Principle with ....
    10/13/2009(NO) - Crew Gold Announces Resignations
    10/12/2009(NO) - Crew Gold Provides Corporate and LEFA Operational Upd...
    9/17/2009(NO) - Crew Gold Corporation announces an agreement to sell ...
    9/10/2009Gives Production and Cash Update
    9/9/2009completes negotiations for the ...
    9/1/2009Results from Bondholders' Meetings
    8/27/2009provides clarification of the process ...
    8/20/2009Summons to Bondholders Meetings
    8/17/2009Initiatives to Strengthen Balance Sheet through ...
    8/17/2009Financial Statements and MDA for the Quarter and Six ...
    7/3/2009Sale of Nalunaq Assets
    5/18/2009Financial Statements and MDA for Quarter Ended 31 March 2009
    2/27/2009Unaudited results for the Quarter and Year ended ...
    2/23/2009Q4 Unaudited Financial Statement Release
    2/19/2009Consolidation of Common Shares on an 8 to 1 Basis
    2/9/2009launches offer to exchange NOK ...
    1/30/2009Results from Special Shareholder Meeting
    1/12/2009Notification of Trade for Simon Russell
    1/8/2009Notice of Special Shareholder Meeting
    1/5/2009Notification of Trade for Brian Hosking
    12/29/2008Update on Lefa Operations
    12/22/2008ANNOUNCES ISSUANCE OF NEW SHARES
    12/19/2008Notification of Trade for Simon Russell
    12/15/2008Notification of Trade for Cameron Belsher
    12/15/2008Announces Final Allocations for Rights Offering
    12/9/2008Announces Fully Subscribed Rights Offering
    11/21/2008CREW ANNOUNCES LISTING OF SUBSCRIPTION RIGHTS
    11/18/2008Crew Announces Record Date for Proposed Rights Offering
    11/17/2008Financial Statements & MDA for Quarter & Nine Months ...
    11/10/2008The company offers the following clarification ...
    11/10/2008PROVIDES OPERATIONAL AND FINANCIAL UPDATE
    9/26/2008Take Over of Mining Works at LEFA
    9/10/2008Listing Prospectus in Connection with Issuance of New Shares
    8/20/2008CEO Jan Vestrum Steps Down
    8/13/2008Financial Statements and Management's Discussion and ...
    7/17/2008Issuance of Shares
    7/10/2008Notification of Trade
    7/7/2008Employee and Director Updates
    6/27/2008AGM Minutes on 27 June 2008
    6/26/2008Notice of Annual and Special General Meeting of Shareholders
    6/16/2008Notification of Trade-BH
    6/13/2008Notification of Trade BH
    6/6/2008Lefa Measured and Indicated Resources Passes 5 Million Ounce...
    5/29/2008Notification of Trade
    5/14/2008Financial Statements and Management's Discussion and ...
    5/14/2008Notification of Trade
    4/28/2008Notification of Trade
    4/10/2008 Notification of Trade for Jan Vestrum
    4/2/2008Response to Intex Resources Press Release on March ...
    4/1/2008Correction to MD&A and Financial Statements for Period ...
    3/31/2008Management Discussions and Analysis and Financial ...
    3/31/2008Company Presentation 31 March 2008
    3/31/2008 Results for Quarter Ended 31 December 2008
    3/12/2008Release Dates for Quarterly and Year End Results
    2/14/2008Final Placing of Shares in Intex Resources ASA
    1/23/2008Flagging
    1/14/2008 Board of Directors
    5/17/2007Induced Polarization Results Define Strong Anomalies On Pard...
    Comments closed
     
    Latest comment posted for this article
    Be the first to comment
    Add your comment
    TORONTO (CRU.TO)FRANKFURT (KNC.F)
    4.64+1.31%0.070+59.09%
    TORONTO
    CA$ 4.64
    01/18 15:36 0.060
    1.31%
    Prev close Open
    4.58 4.59
    Low High
    4.59 4.64
    Year l/h YTD var.
     -  -
    52 week l/h 52 week var.
    - -  4.64 -%
    Volume 1 month var.
    10,400 -%
    24hGold TrendPower© : 16
    Produces Gold
    Develops Gold
    Explores for
     
     
     
    Analyse
    Interactive chart Add to compare
    Interactive
    chart
    Print Compare Export
    Last updated on : 3/1/2010
    You must be logged in to use the porfolio and watchlists (free)
    Top Newsreleases
    MOST READ
    Annual variation
    DateVariationHighLow
     
    5 years chart
     
    3 months chart
     
    3 months volume chart
     
     
    Mining Company News
    Plymouth Minerals LTDPLH.AX
    Plymouth Minerals Intersects Further High Grade Potash in Drilling at Banio Potash Project - Plannin
    AU$ 0.12-8.00%Trend Power :
    Santos(Ngas-Oil)STO.AX
    announces expected non-cash impairment
    AU$ 7.18+0.84%Trend Power :
    Oceana Gold(Au)OGC.AX
    RELEASES NEW TECHNICAL REPORT FOR THE HAILE GOLD MINE
    AU$ 2.36-4.45%Trend Power :
    Western Areas NL(Au-Ni-Pl)WSA.AX
    Advance Notice - Full Year Results Conference Call
    AU$ 3.86+0.00%Trend Power :
    Canadian Zinc(Ag-Au-Cu)CZN.TO
    Reports Financial Results for Q2 and Provides Project Updates
    CA$ 0.12+4.55%Trend Power :
    Stornoway Diamond(Gems-Au-Ur)SWY.TO
    Second Quarter Results
    CA$ 0.02+100.00%Trend Power :
    McEwen Mining(Cu-Le-Zn)MUX
    TO ACQUIRE BLACK FOX FROM PRIMERO=C2=A0
    US$ 3.37+2.43%Trend Power :
    Rentech(Coal-Ngas)RTK
    Rentech Announces Results for Second Quarter 2017
    US$ 0.20-12.28%Trend Power :
    KEFIKEFI.L
    Reduced Funding Requirement
    GBX 0.59+0.51%Trend Power :
    Lupaka Gold Corp.LPK.V
    Lupaka Gold Receives First Tranche Under Amended Invicta Financing Agreement
    CA$ 0.02+0.00%Trend Power :
    Imperial(Ag-Au-Cu)III.TO
    Closes Bridge Loan Financing
    CA$ 2.70+0.75%Trend Power :
    Guyana Goldfields(Cu-Zn-Pa)GUY.TO
    Reports Second Quarter 2017 Results and Maintains Production Guidance
    CA$ 1.84+0.00%Trend Power :
    Lundin Mining(Ag-Au-Cu)LUN.TO
    d Share Capital and Voting Rights for Lundin Mining
    CA$ 7.35+3.09%Trend Power :
    Canarc Res.(Au)CCM.TO
    Canarc Reports High Grade Gold in Surface Rock Samples at Fondaway Canyon, Nevada
    CA$ 0.26-11.86%Trend Power :
    Havilah(Cu-Le-Zn)HAV.AX
    Q A April 2017 Quarterly Report
    AU$ 0.34+19.64%Trend Power :
    Uranium Res.(Ur)URRE
    Commences Lithium Exploration Drilling at the Columbus Basin Project
    US$ 6.80-2.86%Trend Power :
    Platinum Group Metals(Au-Cu-Gems)PTM.TO
    Platinum Group Metals Ltd. Operational and Strategic Process ...
    CA$ 2.08+3.48%Trend Power :
    Devon Energy(Ngas-Oil)DVN
    Announces $340 Million of Non-Core Asset Sales
    US$ 65.55+1.69%Trend Power :
    Precision Drilling(Oil)PD-UN.TO
    Announces 2017Second Quarter Financial Results
    CA$ 8.66-0.35%Trend Power :
    Terramin(Ag-Au-Cu)TZN.AX
    2nd Quarter Report
    AU$ 0.03+0.00%Trend Power :