- Erdene Resource Development (TSX:ERD) has doubled its net loss in the first quarter of 2020, when compared to the previous corresponding period
- The junior miner generated a net loss just over C$1 million in the first quarter of this year, compared to a net loss of just over $500,000 in 2019’s same quarter
- The company’s first quarter expenditures also increased to approximately $1.5 million, compared to $941,000 in 2019
- The increase in expenditures was attributed to consultancy costs accrued during the Bayan Khundii Feasibility Study
- Erdene Resource Corp (ERD) is up 2 per cent, with shares trading at $0.23 and a market cap of $43 million
Erdene Resource Development Corp (TSX:ERD) has doubled its net loss in the first quarter of 2020.
The junior miner lost C$1,041,990 for the first quarter of this year, compared to a net loss of $516,687 in 2019’s same quarter.
The company is currently developing its Bayan Khundii gold project, with a feasibility study and environmental and social impact report due for completion mid-way through the year.
Exploration expenditures for the quarter hit $1,511,929, up from $941,083 in the first quarter of 2019. The increase in expenditures was attributed to the costs of technical consultancy fees connected to the Bayan Khundii Feasibility Study.
President and CEO of Erdene, Peter Akerley outlined the company’s aims at the Bayan Khundii Gold Project.
“Our goal is to define a relatively simple, low-capital cost operation producing on average 60,000 ounces per year and be shovel ready by the end of 2020.
“Permitting and development readiness activities are ongoing in advance of financing and construction decisions, targeting first gold production as early as 2021,” he said.
The company hopes the Bayan Khundii mine will be a platform for growth within the Khundii district, as it hopes to expand its presence in the region.
The company is already working on its next projects in the pipeline, the Altan Nar project and the Dark Horse project. The company has begun resource modelling and is currently developing a prospective drill program.
Erdene Resource Corp (ERD) is up 2 per cent, with shares trading for $0.23 at 3:41 pm EDT.