KARORA REPORTS RECORD REVENUE AND STRONG CASH FLOW FOR Q1 2024
FIRST QUARTER 2024 HIGHLIGHTS
GOLD PRODUCTION AND SALES
- Pre reported Q1 2024 production of 36,147 gold ounces decreased 9% from 39,827 ounces in the first quarter of 2023, and 10% compared to production of 40,295 ounces in the fourth quarter of 2023 ("the previous quarter"). Production was negatively impacted by wet weather experienced across all three operating sites during the quarter and a regional interruption to state grid power impacting the Lakewood mill and Beta Hunt mine, affecting gold ounces produced. Gold sales for Q1 2024 were strong at 40,343 ounces, an increase of 12% compared to Q1 2023 and 8% higher than the previous quarter.
COSTS ON TRACK TO ACHEIVE WITH 2024 GUIDANCE
- Cash operating costs1 and AISC1 per ounce sold for Q1 2024 averaged
US$1,193 andUS$1,285 , respectively, versusUS$1,272 andUS$1,435 , respectively, for Q4 2023. The lower costs compared to the prior quarter primarily reflects the impact of higher nickel by-product credits ($2.91 million orUS$54 /oz nickel by-product credits in the current quarter compared to$0.3 million US$5 /oz for the final quarter of 2023). The higher by-product credits reflect recommencement of nickel sales in the first quarter.
RECORD QUARTERLY REVENUE
- Revenue in Q1 2024 totaled
$115.5 million , a new quarterly record for the Company and 19% higher than the first quarter of 2023 and 14% from the previous quarter. The increase compared to both prior quarters reflected higher realized gold price and higher sales volumes.
SOLID OPERATING CASH FLOW GENERATION
- Q1 2024 cash flow provided by operating activities of
$42.6 million versus$20.9 million in the first quarter of 2023 and$32.1 million the previous quarter, driven by the improved gold sales volume and realized price. - Cash at
March 31, 2024 of$87.3 million was an increase of$4.8 million or 6% from$82.5 million atDecember 31, 2023 .
EARNINGS PERFORMANCE
- Net earnings for Q1 2024 of
$2.1 million ($0.01 per share) compared to net loss of$2.9 million ($0.02 per share) for the same period in 2023 and net loss of$1.7 million ($0.01 per share) in the fourth quarter of 2023. The first quarter of 2024 was impacted by a non-cash$6.3 million loss on derivatives and$5.0 million foreign exchange loss. - Adjusted earnings1 for Q1 2024 of
$13.3 million ($0.07 per share) compared to$4.8 million (0.03 per share) in the first quarter of 2023 and$3.3 million ($0.02 per share) for the previous quarter, reflecting higher sales volumes and prices as noted above. - Adjusted EBITDA1,2 for Q1 2024 of
$40.5 million ($0.23 per share) was an increase of 42% from$28.6 million in the first quarter of 2023 and 63% higher than the$24.9 million in the fourth quarter of 2023.
1. |
Non-IFRS: the definition and reconciliation of these measures are included in the "Non-IFRS Measures" section of this news release and in the MD&A for the three months ended |
2. |
Earnings before interest, taxes, depreciation and amortization |
MERGER WITH WESTGOLD TO CREATE
-
Karora and Westgold Resources Limited ("Westgold" ASX:WGX) agreed to combine in a merger pursuant to which Westgold will acquire 100% of the issued and outstanding common shares of Karora by way of a statutory plan of arrangement under the Canada Business Corporations Act ("CBCA"). The combination represents a transformational step change in growth for both Karora and Westgold shareholders, creating a globally investable ASX listed top 5 Australian gold producer based on the pro forma market capitalization. The merger is subject to procedural matters and conditional on receiving approval of 66 ⅔% of Karora shareholders at a meeting to occur in July. Please see Karora news release datedApril 7, 2024 for further details. - Under the proposed merger, Karora shareholders to receive a premium up front and own 49.9% of the combined +400,000 ozpa mid-tier gold producer.
- The combination of Karora and Westgold is expected to deliver substantial potential synergies of
$440 million .
Karora will host a call/webcast on
https://app.webinar.net/qPWvB7E8zl7
(replay access information is provided below).
Beta Hunt also continued to generate very encouraging exploration results. Results from the Stage 2 infill program at the Fletcher zone continue to demonstrate why we are so excited about this area as a very significant new gold mineralized system just west of Beta Hunt's largest and most prolific zone to-date – Western Flanks. As a reminder, in the first quarter, we reported some exciting intersections at Fletcher (3.8 g/t over 33.0 metres, 15.2 g/t over 3.3 metres and 34.6 g/t over 2.0 metres, see Karora news release dated
Overall, our cost performance came in as planned for Q1 at
Finally, but most significantly, we announced a very exciting merger transaction with Westgold on
RESULTS OF OPERATIONS
Table 1. Results of Operations
|
|
Three Months Ended, |
||
|
|
|
|
|
Gold Operations (Consolidated) |
|
|
|
|
|
Tonnes milled (000s) |
436 |
502 |
485 |
|
Recoveries |
94 % |
94 % |
94 % |
|
Gold milled, grade (g/t Au) |
2.75 |
2.62 |
2.75 |
|
Gold produced (ounces) |
36,147 |
39,827 |
40,295 |
|
Gold sold (ounces) |
40,343 |
36,145 |
37,439 |
|
Average exchange rate (C$/US$) 1 |
0.74 |
0.74 |
0.73 |
|
Average realized price (US $/oz sold) |
|
|
|
|
Cash operating costs (US $/oz sold)2 |
|
|
|
|
All-in sustaining cost (AISC) (US $/oz sold)2 |
|
|
|
Gold (Beta Hunt) |
|
|
|
|
|
Tonnes milled (000s) |
271 |
298 |
363 |
|
Gold milled, grade (g/t Au) |
3.81 |
2.92 |
3.13 |
|
Gold produced (ounces) |
31,249 |
26,577 |
34,486 |
|
Gold sold (ounces) |
34,310 |
23,077 |
31,819 |
|
Cash operating cost (US $/oz sold)2 |
|
|
|
Gold ( |
|
|
|
|
|
Tonnes milled (000s) |
165 |
204 |
123 |
|
Gold milled, grade (g/t Au) |
1.00 |
2.18 |
1.61 |
|
Gold produced (ounces) |
4,898 |
13,250 |
5,809 |
|
Gold sold (ounces) |
6,033 |
13,068 |
5,620 |
|
Cash operating cost (US $/oz sold)2 |
|
|
|
1. |
Average exchange rate refers to the average market exchange rate for the period. |
2. |
Non-IFRS: the definition and reconciliation of these measures are included in the "Non-IFRS Measures" section of this news release and in the MD&A for the three and twelve months ended |
3. |
Numbers may not add due to rounding. |
Consolidated Operations
Consolidated gold production in the first quarter of 2024 was 36,147 ounces, an 9% decrease from the first quarter of 2023 (39,827 ounces) and 10% decrease from the 40,295 ounces in the previous quarter. The decrease from the first quarter of 2023 resulted primarily from the 13% decrease in tonnage partially offset by a 5% higher grade primarily driven by Beta Hunt (31% higher grade than the comparable quarter). Consolidated tonnage was 13% down on the comparative period in 2023 and 10% lower than the prior quarter due to the impact of two weeks of extreme wet weather during the quarter and a two-week regional interruption to state grid power that directly impacted the Lakewood mill and Beta Hunt.
Cash operating costs1 per ounce sold for the first quarter of 2024 averaged
AISC1 per ounce sold in the first quarter of 2024 averaged
Beta Hunt
During the first quarter of 2024, Beta Hunt mined 271,200 tonnes at an average grade of 3.73 g/t containing 32,485 ounces of gold and on track with the 2024 mine plan. This represented a 10% reduction from the first quarter of 2023 ore tonnes mined, and a 25% decrease from the prior quarter ore tonnes due to lower availability of some operating areas, planned power upgrades in the lower section of the mine and a number of unplanned local transmission network failures, now resolved. Despite the lower tonnage moved, contained gold was 20% higher than the first quarter of 2023 (299,900 tonnes at 2.81 g/t for 27,100 contained ounces) but 8% lower than the prior quarter (360,300 tonnes at 3.05 g/t for 35,286 contained ounces) reflecting the mining of a planned higher-grade section of Beta Hunt during the current quarter. The majority of the mined tonnes during the first quarter came from the central and southern section of Western Flanks and the scheduled higher grade ore zones from A Zone.
Gold production from Beta Hunt in the first quarter of 2024 totaled 31,249 recovered ounces based on milling 271,000 tonnes at an average grade of 3.81 g/t and 94% plant recovery. The higher grade offset lower processed tonnes, to deliver 18% higher gold recovery compared to the first quarter of 2023. The higher grade was offset by the lower processed tonnes when compared to the previous quarter which produced 9% higher gold production (34,486 ounces).
Cash operating costs1 per ounce sold at Beta Hunt averaged
In addition to gold production, Beta Hunt mined 4,337 tonnes of nickel ore at an estimated grade of 2.5% nickel during the first quarter of 2024 compared to 7,331 tonnes of nickel ore mined at an estimated grade of 2.2% nickel for the same period in 2023 and 5,253 tonnes of nickel ore at an estimated grade of 2.3% nickel the previous quarter.
Higginsville Mining Operations ("HGO")
During the first quarter of 2024, HGO mined 45,400 tonnes at an average grade of 1.73 g/t containing 2,525 ounces, which compared to 72,200 tonnes mined at an average grade of 3.85 g/t containing 8,927 ounces in the first quarter of 2023 and 90,400 tonnes at an average grade of 1.76 g/t containing 5,129 ounces the previous quarter. The HGO tonnes mined during the first quarter of 2024 largely reflected continued open pit mining at Pioneer and the Two Boys underground. The operation was affected by two weeks of extreme weather which, in combination with some minor movements in the Pioneer open pit wall (now resolved), resulted in lower production and higher overall unit costs. Mining into the primary ore zone is now occurring during the second quarter.
Production at HGO in the first quarter of 2024 totalled 4,898 recovered ounces based on milling 164,700 tonnes at an average grade of 1.00 g/t. Production in the first quarter of 2024 decreased 63% from 13,250 ounces in the first quarter of 2023 (203,600 tonnes at 2.18 g/t), reflecting 19% lower tonnes processed and 54% lower grade. Production in the first quarter of 2024 was 16% lower than the previous quarter (122,800 tonnes at 1.61 g/t for 5,809 ounces) with 34% higher tonnes processed, reflecting 38% lower grade compared to the previous quarter. Tonnes processed were lower compared to both periods due to extreme wet weather, laying back sections of the Pioneer pit walls and reliance on historic stockpile feed sources.
Cash operating costs1 per ounce sold at HGO averaged
Processing Operations
A total of 435,700 tonnes were milled2 at an average grade of 2.75 g/t with average recoveries of 94% for production of 36,147 ounces during the first quarter.
Beta Hunt contributed 97% of the throughput at the
1. |
Non-IFRS: the definition and reconciliation of these measures are included in the "Non-IFRS Measures" section of this news release and in the MD&A for the three months ended |
2. |
Lakewood – there was no toll treatment during Q1. Throughput excludes external toll treatment ore processed during 2023. |
FINANCIAL REVIEW
Table 2. Financial Overview
(in thousands of dollars except per share |
|
|
|
|||
For the three months ended |
2024 |
2023 |
2022 |
|||
Revenue |
|
|
|
|||
Production and processing costs |
60,375 |
54,393 |
42,436 |
|||
Earnings (loss) before income taxes |
6,108 |
(1,744) |
(2,153) |
|||
Net earnings (loss) |
2,137 |
(2,941) |
(3,709) |
|||
Net earnings (loss) per share - basic |
0.01 |
(0.02) |
(0.02) |
|||
Net earnings (loss) per share - diluted |
0.01 |
(0.02) |
(0.02) |
|||
Adjusted EBITDA 1,2 |
40,533 |
28,636 |
12,203 |
|||
Adjusted EBITDA per share - basic 1,2 |
0.23 |
0.16 |
0.08 |
|||
Adjusted earnings 1,2 |
13,316 |
4,847 |
1,120 |
|||
Adjusted earnings per share - basic 1,2 |
0.07 |
0.03 |
0.01 |
|||
Cash flow provided by operating activities |
42,638 |
20,859 |
12,150 |
|||
Cash investment in property, plant and equipment and mineral |
(31,689) |
(19,854) |
(24,784) |
1. |
Non-IFRS: the definition and reconciliation of these measures are included in the" Non-IFRS Measures" section of this news release and the MD&A for the three months ended |
For the three months ended
Net earnings for the three months ended
Adjusted earnings1 for the three months ended
1. |
Non-IFRS: the definition and reconciliation of these measures are included in the" Non-IFRS Measures" section of this news release and the MD&A for the three months ended |
Table 3. Highlights of Liquidity and Capital Resources
(in thousands of dollars) |
|
||
For the three months ended |
2024 |
2023 |
2022 |
Cash provided by operations prior to changes in working capital |
|
|
|
Changes in non-cash working capital |
1,748 |
(7,783) |
296 |
Income taxes paid |
(54) |
- |
- |
Asset retirement obligations |
- |
- |
(347) |
Cash provided by operating activities |
42,638 |
20,859 |
12,150 |
Cash used in investing activities |
(31,121) |
(19,690) |
(24,739) |
Cash used in financing activities |
(5,187) |
(3,289) |
(1,017) |
Effect of exchange rate changes on cash and cash equivalents |
(1,569) |
(789) |
701 |
Change in cash and cash equivalents |
|
|
|
1. |
Working capital is calculated as current assets (including cash and cash equivalents) less current liabilities. |
For the three months ended
The Company had cash of
OUTLOOK
GUIDANCE (2024)
The Company updated 2024 production, cost and capital guidance on
Table 4. Guidance (2024)
|
|
2024 |
Gold Production |
(Koz) |
170 – 185 |
All-in Sustaining Costs |
(US$/oz sold) |
1,250 – 1,375 |
Sustaining Capital |
(A$M) |
11 – 16 |
Growth Capital |
(A$M) |
80 – 90 |
Exploration & Resource Development |
(A$M) |
18 – 23 |
Nickel Production |
(Ni Tonnes) |
200 – 300 |
1. |
Production guidance is based on the |
2. |
The Company expects to fund the capital investment amounts listed above with cash on hand, cashflow from operations and lease finance an additional up to |
3. |
The material assumptions associated with the expansion of Beta Hunt mining production rate to 2.0 Mtpa during 2024 include the completion of ventilation and other infrastructure that is required to support these areas, and an expanded mining equipment and trucking fleet. |
4. |
The Company's guidance assumes targeted mining rates and costs, availability of personnel, contractors, equipment and supplies, the receipt on a timely basis of required permits and licenses, cash availability for capital investments from cash balances, cash flow from operations, or from a third-party debt financing source on terms acceptable to the Company, no significant events which impact operations, an A$ to US$ exchange rate of 0.67 in 2024 and A$ to C$ exchange rate of 0.90. Assumptions used for the purposes of guidance may prove to be incorrect and actual results may differ from those anticipated. See below "Cautionary Statement Regarding Forward-Looking Information". |
5. |
Exploration expenditures include capital expenditures related to infill drilling for Mineral Resource conversion, capital expenditures for extension drilling outside of existing Mineral Resources and expensed exploration. Exploration expenditures also includes capital expenditures for the development of exploration drifts. |
6. |
Capital expenditures exclude capitalized depreciation and equipment leases. |
7. |
AISC calculations are for the Australian operations only, and exclude non-cash share-based payments expense, derivative settlements, and net realizable value adjustments to prior period stockpiles. The Company acquired the Lakewood mill in 2022 and embarked on an expansion program to grow the Beta Hunt gold mine to 2.0 Mtpa mining rate during 2024. Mine development for projects with greater than 1 year mine life and equipment acquisition are being attributed to growth capital during this growth phase. |
8. |
See "Non-IFRS Measures" set out at the end of this news release and in the MD&A for the three months ended |
CONFERENCE CALL / WEBCAST
Karora will be hosting a conference call and webcast today,
Live Conference Call and Webcast Access Information:
North American callers please dial: 1-888-664-6383:
Local and international callers please dial: 416-764-8650
A live webcast of the call will be available through Cision's website at: https://app.webinar.net/qPWvB7E8zl7
A recording of the conference call will be available for replay through the webcast link, or for a one-week period beginning at approximately
North American callers please dial: 1-888-390-0541; Pass Code: 520835#
Local and international callers please dial: 416-764-8677; Pass Code: 520835#
Non-IFRS Measures
This news release refers to cash operating cost, cash operating cost per ounce, all-in sustaining cost, EBITDA, adjusted EBITDA and adjusted EBITDA per share, adjusted earnings, adjusted earnings per share and working capital which are not recognized measures under IFRS. Such non-IFRS financial measures do not have any standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other issuers. Management uses these measures internally. The use of these measures enables management to better assess performance trends. Management understands that a number of investors and others who follow the Corporation's performance assess performance in this way. Management believes that these measures better reflect the Corporation's performance and are better indications of its expected performance in future periods. This data is intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS.
In
The following tables reconcile these non-IFRS measures to the most directly comparable IFRS measures:
MINING OPERATIONS
Cash Operating and All-in Sustaining Costs
The Company uses these measures internally to evaluate the underlying operating performance of its Australian operations. Management believes that providing cash operating cost data allows the reader the ability to better evaluate the results of the underlying operations.
Consolidated
For the three months ended |
|
|
|
|||
Production and processing costs |
|
|
|
|||
Inventory adjustment 1 |
- |
- |
(2,582) |
|||
Royalty expense |
7,572 |
5,753 |
6,206 |
|||
By-product credits 2,3 |
(3,052) |
(5,173) |
(367) |
|||
Operating costs (C$) |
|
|
|
|||
General and administrative expense – |
3,260 |
3,800 |
4,632 |
|||
Sustaining capital expenditures |
1,760 |
523 |
3,722 |
|||
All-in sustaining costs (C$) |
|
|
|
|||
Ounces of gold sold |
40,343 |
36,145 |
37,439 |
|||
Australian dollars per ounce sold |
|
|
|
|||
Cash operating costs |
|
|
|
|||
All-in sustaining costs 4 |
|
|
|
|||
|
|
|
|
|||
Cash operating costs |
|
|
|
|||
All-in sustaining costs 4 |
|
|
|
|||
Average exchange rate |
|
|
|
|||
C$:A$ |
0.89 |
0.92 |
0.89 |
|||
A$:US$ |
0.66 |
0.68 |
0.65 |
1. |
Relates to an adjustment to net realizable value of gold ore stockpiles. Refer to note 6 of the |
2. |
Refer to Note 20 of the |
3. |
By-product credits for the three ended |
4. |
AISC calculations are for the Australian operations only, exclude non-cash share-based payments expense, derivative settlements, and net realisable value adjustments to prior period stockpiles. The Company acquired the Lakewood mill in 2022 and embarked on an expansion program to grow the Beta Hunt gold mine to 2.0 Mtpa mining rate during 2024. All mine development, equipment acquisition, and growth leases are being attributed to growth capital during this growth phase. |
Beta Hunt
For the three months ended |
|
|
|
|
Production and processing costs 1,2 |
|
|
|
|
Royalty expense 1 |
7,162 |
4,814 |
5,730 |
|
By-product credits 1 |
(3,035) |
(2,616) |
(353) |
|
Operating costs (C$) |
|
|
|
|
Ounces of gold sold |
34,310 |
23,077 |
31,818 |
|
Australian dollars per ounce sold |
|
|
|
|
Cash operating costs |
|
|
|
|
|
|
|
|
|
Cash operating costs |
|
|
|
|
Average exchange rate |
|
|
|
|
C$:A$ |
0.89 |
0.92 |
0.89 |
|
A$:US$ |
0.66 |
0.68 |
0.65 |
1. |
Refer to Note 20 of the |
HGO
For the three months ended |
|
|
|
||
Production and processing costs 1 |
|
|
|
||
Adjustment for intercompany and toll milling costs 1, 2 |
(13,859) |
(13,061) |
(16,070) |
||
Inventory adjustment 3 |
- |
- |
(2,582) |
||
Royalty expense 1 |
410 |
939 |
476 |
||
By-product credits 1 |
(17) |
(30) |
(14) |
||
Operating costs (C$) |
|
|
|
||
Ounces of gold sold |
6,033 |
13,068 |
5,621 |
||
Australian dollars per ounce sold |
|
|
|
||
Cash operating costs |
|
|
|
||
|
|
|
|
||
Cash operating costs |
|
|
|
||
Average exchange rate |
|
|
|
||
C$:A$ |
0.89 |
0.92 |
0.89 |
||
A$:US$ |
0.66 |
0.68 |
0.65 |
1. |
Refer to Note 20 of the |
2. |
Includes third party toll milling costs at Lakewood mill of $nil for the three months ended |
3. |
Relates to an adjustment to net realisable value of gold ore stockpiles. Refer to note 5 of the |
Adjusted EBITDA and Adjusted Earnings
Management believes that adjusted EBITDA and adjusted earnings are valuable indicators of the Company's ability to generate operating cash flows to fund working capital needs, service debt obligations, and fund exploration and evaluation, and capital expenditures. Adjusted EBITDA and adjusted earnings exclude the impact of certain items and therefore is not necessarily indicative of operating profit or cash flows from operating activities as determined under IFRS. Other companies may calculate adjusted EBITDA and adjusted earnings differently.
Adjusted EBITDA is a non-IFRS measure, which excludes the following from comprehensive earnings (loss); income tax expense; interest expense and other finance-related costs; depreciation and amortization; non-cash other expenses, net; non-cash impairment charges and reversals; non-cash portion of share-based payments; derivatives, sustainability initiatives and foreign exchange loss.
(in thousands of dollars except per share amounts) |
|||||
For the three months ended |
|
|
|
||
Net earnings (loss) for the period - as reported |
|
|
|
||
Finance expense, net |
1,675 |
1,770 |
2,024 |
||
Income tax expense |
3,971 |
1,197 |
(2,820) |
||
Depreciation and amortization |
18,971 |
18,386 |
19,919 |
||
EBITDA |
26,754 |
18,412 |
17,418 |
||
Adjustments: |
|
|
|
||
Non-cash share-based payments 1 |
3,186 |
1,674 |
3,235 |
||
Impairment charge 2 |
- |
- |
9,204 |
||
Unrealized gain on revaluation of marketable securities 2 |
(718) |
(1,537) |
304 |
||
Other expense, net 2 |
10 |
54 |
(26) |
||
Loss on derivatives 2 |
6,329 |
6,171 |
2,576 |
||
Foreign exchange loss 3 |
4,986 |
3,862 |
(7,832) |
||
Rehabilitation cost adjustment for closed sites 2 |
(14) |
- |
(112) |
||
Sustainability initiatives 4 |
- |
- |
87 |
||
Adjusted EBITDA |
|
|
|
||
Weighted average number of common shares - basic |
178,402,185 |
174,268,927 |
177,828,626 |
||
Adjusted EBITDA per share - basic |
|
|
|
1. |
Primarily non-operating items which do not impact cash flow. |
2. |
Non-operating in nature which does not impact cash flows. |
3. |
Primarily related to intercompany loans for which the loss is unrealized. |
4. |
Primarily related to non-operating environmental initiatives. |
Adjusted earnings is a non-IFRS measure, which excludes the following from comprehensive earnings (loss): non-cash portion of share-based payments; revaluation of marketable securities; derivatives and foreign exchange loss; tax effects of adjustments; sustainability initiatives.
(in thousands of dollars except per share amounts) |
||||
For the three months ended |
|
|
|
|
Net earnings (loss) for the period - as reported |
|
|
|
|
Non-cash share-based payments 1 |
3,186 |
1,674 |
3,235 |
|
Impairment charge 1 |
- |
- |
9,204 |
|
Unrealized gain on revaluation of marketable securities 2 |
(718) |
(1,537) |
304 |
|
Loss on derivatives 2 |
6,329 |
6,171 |
2,576 |
|
Foreign exchange loss 3 |
4,986 |
3,862 |
(7,832) |
|
Rehabilitation cost adjustment for closed sites 2 |
(14) |
- |
(112) |
|
Sustainability initiatives 4 |
- |
- |
87 |
|
Tax impact of the above adjusting items |
(2,590) |
(2,382) |
(2,427) |
|
Adjusted earnings |
|
|
|
|
Weighted average number of common shares - basic |
178,402,185 |
174,268,927 |
177,828,626 |
|
Adjusted earnings per share - basic |
|
|
|
1. |
Primarily non-recurring items which do not impact cash flow. |
2. |
Non-operating in nature which does not impact cash flows. |
3. |
Primarily related to intercompany loans for which the loss is unrealized. |
4. |
Primarily related to non-recurring environmental initiatives. |
Working Capital
Working capital is calculated as current assets (including cash and cash equivalents) less current liabilities.
(in thousands of dollars) |
|
|
|
Current assets |
|
|
|
Less: Current liabilities |
73,668 |
78,023 |
66,830 |
Working capital |
|
|
|
Compliance Statement (JORC 2012 and NI 43-101)
The technical and scientific information contained in this MD&A has been reviewed and approved by
The technical and scientific information related to operations matters contained in this MD&A has been reviewed and approved by
About
Karora is focused on increasing gold production at its integrated
Cautionary Statement Concerning Forward-Looking Statements
This news release contains "forward-looking information" which may include, but is not limited to, statements relating to the liquidity and capital resources of Karora, production and cost guidance including the Consolidated Multi-Year Guidance to 2024, the Company's multi-year growth plan, the potential of Beta Hunt, HGO, and Spargos and its exploration properties, successfully obtaining permitting, the future financial or operating performance of the Company and its projects, the future price of and supply and demand for metals, the estimation of mineral reserves and resources, the realization of mineral reserves and resources estimates, the timing and amount of estimated future production, costs of production, capital, operating and exploration expenditures, costs and timing of the development of new and existing deposits, costs and timing of future exploration as well as the potential of exploration at Beta Hunt, HGO, Spargos, and the Company's exploration properties, requirements for additional capital, government regulation of mining operations, environmental risks, reclamation expenses, the success of mining operations, economic return estimates and potential upside. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "does not anticipate" or "believes" or variations (including negative variations) of such words and phrases, or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Readers should not place undue reliance on forward-looking statements.
Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Factors that could affect the outcome include, among others: project delays; general business, economic, competitive, political and social uncertainties; labour and operational disruptions due to any public health crises (including a resurgence of COVID-19), or other widespread public health issues, results of exploration programs; future prices of metals; availability of alternative metal sources or substitutions; actual metal recovery; conclusions of economic evaluations; changes in project parameters as plans continue to be refined; the future cost of capital to the Company; possible variations of ore grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes and other risks of the mining industry; political instability, terrorism, insurrection or war; delays in obtaining governmental approvals, necessary permitting or in the completion of development or construction activities, as well as those factors discussed in the section entitled "Risk Factors" in the Company's
Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. Forward-looking statements contained herein are made as of the date of this MD&A and the Company disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or results or otherwise, except as required by applicable securities laws. Given these risks and, investors should not place undue reliance on forward-looking statements as a prediction of actual results. Readers of this report are cautioned that actual events and results may vary.
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