Mountain Province 3Q production grew 17%

 

Sales 956K carat in 3Q 

Update 1: Recently Mountain Province Diamonds announces third quarter and nine months ended September 30, 2020 announced its financial and operating results for the Q3 2020 and nine months ended September 30, 2020. All figures are expressed in Canadian dollars unless otherwise noted. At the time Q3 is focussed. 

According to the Operational Highlights for Q3 2020, about 821K tonnes treated, an 8% decrease from the 891K tonnes treated in Q3 2019 at Mountain Province. Overall 1,795,000 carats recovered at an average grade of 2.19 carats per tonne, a 17% increase compared to the 1,528,000 carats recovered at 1.71 carats per tonne of Q3 2019. 9,881,000 total tonnes mined, a 16% decrease from 11,742,00 total tonnes mined in Q3 2019.

From the Financial highlights for Q3 2020 it is learned that the revenue from 956,000 carats sold at $47.3 million (US$35.3 million) at an average realised value of $50 per carat (US$37) compared to $54.8 million from 791,000 carats sold in Q3 2019 (US$41.6 million) at an average realized value of $69 per carat (US$53). 

Adjusted EBITDA of $15.3 million compared to $10.6 million in Q3 2019. Loss from mine operations $2.2 million compared to loss from mine operations of $6.1 million in Q3 2019. Cash costs of production, including capitalized stripping costs of $95 per tonne treated (2019: $90 per tonne) and $44 per carat recovered (2019: $53 per carat). 

Net loss at September 30, 2020 was $6.5 million or $0.03 loss per share (2019: net loss $25.8 million or $0.12 loss per share). Included in the determination of the net loss at September 30, 2020 are foreign exchange gains of $11.1 million, $8.1 million of which relates to unrealized gains on the translation of the Company's USD-denominated debt as a result of the strengthening of the Canadian dollar versus US dollar. 

The remaining $3 million gain was realized on the settlement of outstanding foreign exchange contracts to sell US dollars. Cash costs of production, including capitalized stripping costs, and Adjusted EBITDA are non-IFRS measures with no standardized meaning prescribed under IFRS.  See the Non-IFRS Measures section of the Company's September 30, 2020 MD&A for explanation and reconciliation.