Source: Galane Gold Ltd.
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  • Galane Gold (GG) released its financial results for the three and six months ended June 30, 2022
  • During Q2 2022, the company sold the Mupane property, removing $17.3 million of liabilities from its balance sheet
  • Galaxy produced 2,179 tonnes of concentrate containing 2,346 ounces of gold, compared to 2,155 tonnes of concentrate containing 2,415 ounces of gold in Q2 2021
  • Galane Gold is an un-hedged gold producer and explorer with mining operations and exploration tenements in South Africa and New Mexico
  • Galane Gold Ltd. (GG) is down 11.76 per cent, trading at C$0.075 per share at 2:01 pm ET

Galane Gold (GG) released its financial results for the three and six months ended June 30, 2022.

Q2 highlights:

  • During Q2 2022, the company sold the Mupane property, removing $17.3 million of liabilities from its balance sheet
  • Released updated PEA on the Summit Mine and Banner Mill. It demonstrates a robust financial model and a short-term path to production
  • Galaxy produced 2,179 tonnes of concentrate containing 2,346 ounces of gold, compared to 2,155 tonnes of concentrate containing 2,415 ounces of gold in Q2 2021
  • Earnings from operations of $0.5 million versus $1.0 million in Q2 2021
  • Positive cash flows from operating activities of $0.3 million against $0.5 million in the same period last year
  • 1,760 payable ounces of gold sold at an operating cash cost before royalties of $1,416 per ounce
  • Post quarter-end, the company entered a new offtake agreement for its Galaxy operation. It provides a higher payable percentage for gold content in its concentrate and an unsecured $3 million revolving finance facility

Year to date 2022 highlights:

  • Galaxy produced 4,465 tonnes of concentrate containing 5,489 ounces of gold versus 3,126 tonnes of concentrate containing 3,236 ounces of gold for YTD 2021
  • Earnings from operations of $2.3 million against $0.7 million for YTD last year
  • 4,117 payable ounces of gold sold at an operating cash cost before royalties of $1,216 per ounce
  • Positive cash flows from operating activities of $1.3 million compared to $1.2 million YTD 2021
  • $1.2 million of debt repaid with $1.6 million of debt repaid YTD 2021

Nick Brodie, CEO of Galane Gold, commented on the results.

“Q2 2022 commenced with disruption to the company’s revenue cycle caused by the severe flooding in Durban. Despite this, the Galaxy operation continued to generate positive operating cash flow during the quarter. Post quarter end, shipments of the flood-affected gold concentrate have recommenced from Durban. The company expects to fully pay all the flood-affected gold concentrate during Q4 2022.”

Galane Gold is an un-hedged gold producer and explorer with mining operations and exploration tenements in South Africa and New Mexico.

Galane Gold Ltd. (GG) is down 11.76 per cent, trading at C$0.075 per share at 2:01 pm ET.


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