======================================================================
GPR - GREAT PANTHER RELEASES Q2 RESULTS, REPORTS RECORD SALES
MARGIN FROM MINING OPERATIONS
======================================================================
Great Panther Releases Q2 Results, Reports Record Sales Margin From
Mining Operations
GREAT PANTHER RESOURCES LIMITED (TSX: GPR; the "Company") reports that
it has filed its quarterly unaudited financials and MD&A for the three
and six months ended June 30, 2007.
The Company is pleased to report gross revenue of $3,245,000 for the
second quarter 2007, an increase of 238% over the same period last
year, and sales margin from mining operations (before amortization and
depletion) of $1.1 million.
The Unaudited Interim Consolidated Financial Statements and
Management's Discussion and Analysis for the three and six months ended
June 30, 2007 have been filed on SEDAR. (All figures are in Canadian
dollars unless otherwise stated).
Second Quarter Financial Highlights
- Sales Revenue $3.2 million
- Sales Margin from Mining Operations
(before amortization and depletion) $1.1 million
- Operating Profit (Loss) ($4.3 million)
- Profit (Loss) per Share ($0.06)
- Working Capital $5.2 million
- Direct Cash Cost per Ounce of Silver Equivalent
(year to date)
Guanajuato USD $6.42
Topia USD $3.82
Second Quarter Operating Highlights
- Guanajuato: Silver Equivalent Production 176,828 ounces
Plant Throughput 48,403 tonnes
- Topia: Silver Equivalent Production 133,522 ounces
Plant Throughput 7,407 tonnes
Summary of Second Quarter Highlights
.. Mineral sales revenue increased to $3.2 million, compared with $1.0
million for the three months ended June 30, 2006, an increase of 238%.
.. Total June 30, 2007 year to date direct cash costs of production per
silver equivalent oz. decreased to USD$3.82 and USD$6.42 for Topia and
Guanajuato, respectively, compared to USD$4.60 and USD$9.10 in the
first quarter 2007.
.. Total quarterly production of 310,350 Ag Eq oz compared to 138,658
Ag Eq oz in the second quarter 2006, an increase of 124%.
.. 21% quarter-by-quarter increase in output at Guanajuato from 146,552
Ag Eq oz in the first quarter 2007 to 176,828 Ag Eq oz in the second
quarter 2007.
.. Surface drilling at Guanajuato intersected four new silver-gold
zones and provided further definition on the three previously known
zones of silver-gold mineralization in the Promontorio area of the mine
complex.
.. Surface drilling results continued to expand the mineralized zone at
the Mapimi Project. Highlights included 168 g/t silver equivalent (Ag
Eq) over 78.65 metres; 212 g/t Ag Eq over 21.95 metres; and 372 g/t Ag
Eq over 32.93 metres.
.. Drilling continued at Mapimi, with a target of increasing the NI
43-101 compliant inferred resource estimate above existing 22.3 million
ounces of silver equivalent.
.. Management team strengthened with appointment of Raakel Iskanius, CA
as Chief Financial Officer in May 2007.
click here for this chart:
http://www.greatpanther.com/i/misc/NR_2007-08-14-Au.jpg
Revenue from operations is expected to increase further in the second
half of 2007 with increased capacity at both mines.
One-time start-up costs, other costs of exploration expensed, overhead,
and accelerated depreciation, resulted in an overall accounting loss
for the second quarter 2007 of $4.5 million (including $1.5 million of
non-cash charges) or $0.06 per share.
ON BEHALF OF THE BOARD
Signed: "Robert A. Archer"
Robert A. Archer,
President & CEO
Signed: "Kaare G. Foy"
Kaare G. Foy
Executive Chairman
This news release contains forward-looking statements within the
meaning of the United States Private Securities Litigation Reform Act
of 1995 and forward-looking information within the meaning of the
Securities Act (Ontario) (together, "forward-looking statements").
Such forward-looking statements may include but are not limited to the
Company's plans for production at its Guanajuato and Topia Mines in
Mexico, exploring its other properties in Mexico, the overall economic
potential of its properties, the availability of adequate financing and
involve known and unknown risks, uncertainties and other factors which
may cause the actual results, performance or achievements expressed or
implied by such forward-looking statements to be materially different.
Such factors include, among others, risks and uncertainties relating to
potential political risks involving the Company's operations in a
foreign jurisdiction, uncertainty of production and cost estimates and
the potential for unexpected costs and expenses, physical risks
inherent in mining operations, currency fluctuations, fluctuations in
the price of silver, gold and base metals, completion of economic
evaluations, changes in project parameters as plans continue to be
refined, the inability or failure to obtain adequate financing on a
timely basis, and other risks and uncertainties, including those
described in the Company's Annual Report on Form 20-F for the year
ended December 31, 2006 and reports on Form 6-K filed with the
Securities and Exchange Commission and available at www.sec.gov and
Material Change Reports filed with the Canadian Securities
Administrators and available at www.sedar.com.
======================================================================
Copyright (c) 2007 GREAT PANTHER RESOURCES LIMITED (GPR) All rights
reserved. For more information visit our website at
http://www.greatpanther.com/ or send mailto:info@greatpanther.com
======================================================================
.