GoGold Releases Financial Results for Quarter Ending June 30, 2023
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GoGold Releases Financial Results for Quarter Ending June 30, 2023

Shares Outstanding:        326,382,261

Trading Symbols:            TSX: GGD


HALIFAX, NS, Aug. 9, 2023 /PRNewswire/ – GoGold Resources Inc. (TSX: GGD) (OTCQX: GLGDF(“GoGold”, “the Company”) announces the financial results for the quarter ending June 30, 2023, including net income of $2.6 million (all amounts are in U.S. dollars) and Parral generating $8.6 million from the sale of 360,011 silver equivalent ounces.

“GoGold maintains a strong balance sheet with $98.7 million USD in cash which continues to allow us to advance our Los Ricos projects in an expeditious manner. Our main focus at GoGold is our flagship assets at Los Ricos. With the upcoming addition of our zinc circuit at Parral, which is in its tenth year of production, Parral is expected to remain a meaningful contributor of cash flow over the next seven years of mine life. The savings and additional revenue which the zinc circuit will provide should significantly reduce our all in sustaining cost at Parral,” said Brad Langille, President and CEO. “We continue to focus on completing the studies required for the upcoming updated mineral resource estimate and preliminary economic assessment at Los Ricos South to be completed by end of summer.”

Financial Highlights for the quarter ending June 30, 2023:

  • Cash of $98.7 million USD
  • Net income of $2.6 million, including interest income of $1.5 million
  • Revenue of $8.5 million on the sale of 360,011 silver equivalent ounces at a realized price per ounce of $21.39 per oz
  • Production of 375,112 silver equivalent ounces, consisting of 203,894 silver ounces, 1,512 gold ounces, and 135 copper tonnes
  • Adjusted cash cost per silver equivalent ounce of $15.24
  • Adjusted all in sustaining cost per silver equivalent ounce of $20.85

Proposed SART Zinc Circuit

As originally reported on July 12, 2023, the Company has begun the process of adding a zinc circuit to the existing SART plant at Parral. Bench scale and in-field heap leach testing has demonstrated that an addition of a zinc circuit to the SART plant should produce a saleable zinc product and more importantly regenerate cyanide that is expected to increase cash flow at Parral over the next seven years of mine life.

Summary of Zinc circuit effects:

  • Saleable zinc precipitate to be added to the revenue stream
  • Regeneration of approximately 750 tons of cyanide per quarter
  • Anticipated to generate net increased cash flows of $1.5 million per quarter
  • Zinc circuit capital expenditure estimated at $2 million over 6 month construction period
  • Project payback expected within 6 months after construction
  • Construction of zinc circuit is independent of current SART operations, therefore no interruption to current operations is expected
  • Parral up to end of its mine life will be a producer of silver, gold, copper and zinc

Following are tables showing summarized financial information and key performance indicators:

Summarized Consolidated Financial Information

Three months ended Jun 30

Nine months ended Jun 30

(in thousands USD, except per share amounts)






$      8,485

$     10,389

$   24,570

$      29,578

Cost of sales, including depreciation1





Operating income (loss)1





Net income (loss)1





Basic net income (loss) per share





Cash flow used in operations





1Includes a pre-tax non-cash negative inventory adjustment of $10,500 in the nine months ended June 30, 2023


Key Performance Indicators1

Three months ended Jun 30

Nine months ended Jun 30

(in thousands USD, except per ounce amounts)





Total tonnes stacked, fresh tailings




Total tonnes stacked, rehandled tailings



Silver equivalent ounces sold





Adjusted AISC per silver equivalent ounce2

$     20.85

$         17.73

$         13.99

$      18.11

Adjusted Cash cost per silver equivalent ounce2

$     15.24

$         13.17

$         19.38

$      13.29

Realized silver price

$     23.57

$         20.26

$         21.79

$      21.78

1Key performance indicators are unaudited non-GAAP measures, see reconciliation in MD&A.

2Gold and copper are converted using average market prices.


This news release should be read in conjunction with the interim condensed consolidated financial statements for the three and nine months ended June 30, 2023, notes to the financial statements, and management’s discussion and analysis for the quarter ended June 30, 2023, which have been filed on SEDAR and are available on the Company’s website. 

Technical information contained in this news release with respect to GoGold has been reviewed and approved by Mr. Bob Harris, P.Eng., who is a qualified person for the purposes of NI 43-101.

About GoGold Resources

GoGold Resources (TSX: GGD) is a Canadian-based silver and gold producer focused on operating, developing, exploring and acquiring high quality projects in Mexico. The Company operates the Parral Tailings mine in the state of Chihuahua and has the Los Ricos South and Los Ricos North exploration projects in the state of Jalisco. Headquartered in Halifax, NS, GoGold is building a portfolio of low cost, high margin projects. For more information visit gogoldresources.com.


The securities described herein have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), or any state securities laws, and may not be offered or sold within the United States or to, or for the benefit of, U.S. persons (as defined in Regulation S under the U.S. Securities Act) except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities laws or pursuant to exemptions therefrom. This release does not constitute an offer to sell or a solicitation of an offer to buy of any of GoGold’s securities in the United States.

This news release may contain “forward-looking information” as defined in applicable Canadian securities legislation. All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding the Parral tailings project, the Los Ricos project, future operating margins, future production and processing, and future plans and objectives of GoGold, constitute forward looking information that involve various risks and uncertainties. Forward-looking information is based on a number of factors and assumptions which have been used to develop such information but which may prove to be incorrect, including, but not limited to, assumptions in connection with the continuance of GoGold and its subsidiaries as a going concern, general economic and market conditions, mineral prices, the accuracy of mineral resource estimates, and the performance of the Parral project There can be no assurance that such information will prove to be accurate and actual results and future events could differ materially from those anticipated in such forward-looking information.

Important factors that could cause actual results to differ materially from GoGold’s expectations include exploration and development risks associated with the GoGold’s projects, the failure to establish estimated mineral resources or mineral reserves, volatility of commodity prices, variations of recovery rates, the effects of the global COVID-19 pandemic, and global economic conditions. For additional information with respect to risk factors applicable to GoGold, reference should be made to GoGold’s continuous disclosure materials filed from time to time with securities regulators, including, but not limited to, GoGold’s Annual Information Form. The forward-looking information contained in this release is made as of the date of this release.

Cautionary non-GAAP Measures and Additional GAAP Measures

Note that for purposes of this section, GAAP refers to IFRS. The Company believes that investors use certain non-GAAP and additional GAAP measures as indicators to assess mining companies. They are intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared with GAAP. Non-GAAP and additional GAAP measures do not have a standardized meaning prescribed under IFRS and therefore may not be comparable to similar measures presented by other companies.

Additional GAAP measures that are presented on the face of the Company’s consolidated statements of comprehensive income include “Operating income (loss)”. These measures are intended to provide an indication of the Company’s mine and operating performance. Per ounce measures are calculated by dividing the relevant mining and processing costs and total costs by the tonnes of ore processed in the period. “Adjusted cash costs per ounce” and “Adjusted all-in sustaining costs per ounce” are used in this analysis and are non-GAAP terms typically used by mining companies to assess the level of gross margin available to the Company by subtracting these costs from the unit price realized during the period. These non-GAAP terms are also used to assess the ability of a mining company to generate cash flow from operations. There may be some variation in the method of computation of these metrics as determined by the Company compared with other mining companies. In this context, “Adjusted cash costs per ounce” reflects the cash operating costs allocated from in-process and dore inventory associated with ounces of silver and gold sold in the period. “Adjusted cash costs per ounce” may vary from one period to another due to operating efficiencies, grade of material processed and silver/gold recovery rates in the period. “Adjusted all-in sustaining costs per ounce” include total cash costs, exploration, corporate and administrative, share based compensation and sustaining capital costs. For a reconciliation of non-GAAP and GAAP measures, please refer to the Management Discussion and Analysis dated August 8, 2023 for the three months ended June 30, 2023, as presented on SEDAR.

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SOURCE GoGold Resources Inc.


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