With its only significant gold production coming off the plagued Pad 1 at the Vueltas mine in Honduras, Geomaque Explorations (GEO-T) has posted a first-quarter loss of US$762,000, or 1 per share.
Still, that’s better that the previous year’s loss of US$1.1 million, or 2 per share. Revenue between the two periods fell to US$1.6 million from US$2 million. During the recent quarter, operations ate up US$1.6 million, compared with the US$1.1 million generated in 2001.
The Vueltas mine produced 5,277 oz. of gold during the first three months of 2002. Geomaque realized US$290 per oz. for its production. Ore loading onto Pad 1 stopped in November of 2001. In February, Pad 2 was completed and mining began that same month. Initial recoveries from the new pad continue to improve. The quarter’s capital expenditures at Vueltas totalled $284,000 during the quarter. Most of that was for the construction of the new pad.
Geomaque has budgeted US$70,000 for drilling aimed at converting existing resources adjacent to the existing pit at Vueltas into reserves.
At the San Francisco mine in Mexico, the solution coming off the heap surrendered 174 oz. of gold for the last gold pour on May 2002. The solution now meets Mexican environmental criteria for water discharge and final governmental approval for water discharge is expected soon.
Geomaque notes that San Francisco still contains resources totalling 51.2 million tonnes running 0.61 gram gold per tonne or 998,000 contained gold ounces, which could become reserves at higher gold prices.
At the end of March, Geomaque had US$341,000 in cash, down from US$614,000 at the end of 2001. The company’s working capital deficit was running US$169,000.
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