TORONTO, ONTARIO--(Marketwired - Aug 8, 2013) - Torex Gold Resources Inc. (the "Company" or "Torex") (TXG.TO)(TXG-WTA.TO) announced today its financial results for the three and six months ended June 30, 2013.
SECOND QUARTER 2013 REPORT HIGHLIGHTS
Advancement of the El Limón and Guajes Project
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The Company has received final acceptance of the Environmental Impact Assessment ("MIA") and The Change of Land Use ("ETJ") permits for its El Limón and Guajes Project;
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The environmental management programs and plans have been submitted and, pending their approval, construction of the processing plant and mine will commence;
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Engineering for the process plant and procurement of long lead time equipment continues to progress as per the Feasibility Study schedule. To date, costs and delivery times for those items are in line with the estimates contained in the Feasibility Study;
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Mine site environmental rescue works, including counting and marking flora and fauna to be relocated from the site, have been completed for the first mining stage (dozer trails);
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A collective bargaining agreement ("CBA") for the construction stage has been signed with a national union;
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A new general manager for the El Limón and Guajes Project has been hired;
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Acquisition of the land needed for the relocation of the villages has been completed;
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Construction of the east service road continued with widening and upgrading portions of the existing roads that will be incorporated into the east service road.
Continued evaluation of the Media Luna Project
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The maiden inferred resource estimate is expected to be completed by early in the fourth quarter of 2013 instead of the first quarter of 2014, as previously reported; and
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During the quarter the Company continued to intersect high-grade gold mineralization over significant thickness at the Media Luna Project (as defined herein).
FINANCIAL HIGHLIGHTS
The net loss for the three and six months ended June 30, 2013 decreased to $9.0 million and $27.2 million respectively, compared with a net loss of $15.1 million for the three months ended July 31, 2012 and $30.6 million for six months ended July 31, 2012. Exploration and evaluation expenditures totalled $17.4 million and $30.9 million during the three and six months ended June 30, 2013, respectively, compared to $13.2 million and $26.3 million for the three and six months ended July 31, 2012. The Company's cash position decreased by $68.1 million during the first six months of 2013 compared with a decrease of $22.5 million for the six months ended July 31, 2012. At June 30, 2013, the Company had $619.2 million in assets, including $333.0 million of cash, and had a working capital balance of $330.0 million compared with $626.4 million in assets, including $401.1 million of cash, and a working capital balance of $400.4 million as at December 31, 2012. Total expenditures incurred on the development of El Limón and Guajes Project to the end of June 30, 2013 amounted to $43.8 million.