Maya GOLD & Silver Reports Second Quarter, 2019 Financial Results
PRESS RELEASE Mining in Sustainability
MAYA GOLD & SILVER REPORTS SECOND QUARTER, 2019 FINANCIAL RESULTS
August 14, 2019 (Montréal, Qc), Maya Gold & Silver Inc. (“Maya” or the “Corporation”) (TSX: MYA) relea sed its
financial results for the three-month and six-month periods ended June 30, 2019. Maya operates in the Kingdom of
Morocco the Zgounder Silver mine (Ag), have just co mpleted a preliminary economic assessment to advanc e the
Boumadine polymetallic (Au, Ag, Zn, Pb, Ge) project and brought into the development phase its Azegour project
(W, Mo, Cu, Co, U).
SECOND QUARTER 2019 FINANCIAL HIGHLIGHTS
• The Corporation converted to a US dollar reporting currency starting January 1, 2019.
• The Corporation designated commercial production at its Zgounder mine as of January 1, 2019. This resu lts in the
Corporation reporting operations on a commercial production basis, recognizing revenue from silver sales and cost
of sales in net income for an amount of $5,013,244 and $3,562,503 respectively for the six-month perio d ended
June 30, 2019, resulting in a gross margin of $1,45 0,741. Prior to the first quarter of 2019 and the d eclaring of
commercial production, exploration and evaluation e xpenditures were capitalized to mining asset under
development, net of net proceeds from sales of silver.
• Zgounder Silver mine production (Ingots & flotation concentrate) totalled 280,966 ounces for the six-m onth period
ended June 30, 2019, an increase of 119,172 ounces or 73.66% compared to the same period in 2018 where
161,794 ounces were produced. Material processed at the mine totalled 60,333 tons for the six-month pe riod
ended June 30, 2019, an increase of 38,789 tons or 180.05% compared to the same period in 2018 where 2 1,544
tons were processed. The increase is mainly due to the fact that the Corporation designated commercial
production in early January 2019. In 2018, the Corporation was in the installation process of the mill.
• For the six-month period ended June 30, 2019, cash flows from operating activities was $2,442,298 compared to a
use (outflow) of $1,867,281 for the six-month perio d ended June 30, 2018, an increase of $4,309,579 or 230.79%.
The change in cash flows reported is attributed to reporting on a commercial production basis. During the six-
month period ended June 30, 2019, the Corporation also paid $1,040,850 towards the repayment of the balance of
purchase price payable.
• Net income of $965,554, during the six-month period ended June 30, 2019 compared to a net loss of $2,6 23,482
for the same period of 2018.
• Comprehensive income for the six-month period ended June 30, 2019 of $2,535,866 compared to a
comprehensive loss of $3,343,606 for the same period of 2018.
• Six-month period ended June 30, 2019 revenue from s ilver sales of $5,013,244 compared to $nil for the same
quarter last year due to the commercial production of the Zgounder mine reached as of January 1, 2019.
• Cash of $17,210,222 as at June 30, 2019 compared to $19,000,163 as at December 31, 2018.
• Working capital of $16,126,364 compared to a working capital of $16,578,011 as at December 31, 2018
Second quarter 2019 financial results
Financial results presented in this press release a re taken from the Company’s Management's Discussion and Analysis
(MD&A) and unaudited consolidated financial stateme nts for the three-month and six-month periods ended June 30, 2019,
which have been prepared in accordance with Interna tional Financial Reporting Standards (IFRS) as issu ed by the
International Accounting Standards Board. The MD&A and the unaudited consolidated financial statements can be found at
www.sedar.com and www.mayagoldsilver.com. Unless sp ecified otherwise, all amounts in this press releas e are in United
States dollars and all capitalized terms have the meaning ascribed thereto in our MD&A.
Zgounder Operating Data and Information
Three-month period ended
June 30,
Six-month period ended June
30,
2019
(unaudited)
2018
(unaudited)
%
Variation
2019
(unaudited)
2018
(unaudited)
%
Variation
Material Processed (tons) 32,094 12,744 151.84 60,333 21,544 180.05
Average Grade (g/t Ag) 217.96 304.00 (28.30) 218.88 288.00 (24.00)
Mill Recovery (%) 61.37 76.79 (20.08) 63,33 77.69 (18.48)
Silver Ingots produced (kg) 2,455 2,868 (14.40) 5,848 5,032 16.22
Silver Ingots produced (oz) 78,934 92,216 (14.40) 188,018 161,794 16.21
Silver stocked in flotation concentrate (kg) 2,891 - - 2,891 - -
Silver stocked in flotation concentrate (oz) 92,948 - - 92,948 - -
Total produced ( kg) 5,347 2,868 86.44 8,739 5,032 73.67
Total produced (oz) 171,882 92,216 86.39 280,966 161,794 73.66
Sales of silver (oz) 87,000 120,988 (28.09) 161,554 182,535 (11.49)
Sales of silver ($) 2,945,847 1,577,809 86.70 5,013,244 3,231,072 55.16
Cost of sales (excluding interest) ($) (1,839,331) (2,370,555) (22.41) (3,086,784) 4,235,272 (27.12)
Cash flow provided by (used in) operating
activities (209,785) (1,762,638) 88.10 2,442,298 (1,867,281) 230.79
The difference in silver production for the six-month period ended on June 30, 2019 compared to the same period in 2018 is
mainly due to the fact that the Corporation adopted a reporting on a basis of commercial production on January 1, 2019. In
2018, the Corporation was in the installation proce ss of the mill and faced unprecedented amount of sn owfall during that
period. The region experienced unusual weather incl uding snow and extreme cold making conditions at th e mine extremely
challenging.
The decrease in average grade (g/t Ag) is due to th e start of the gravity-flotation process in the six -month period ended
June 30, 2019 which allows the mine to process mate rial that represent a lower grade (Preparation work s) than it was
possible before that date (direct cyanidation).
Management has implemented multiple cost cutting an d productivity improvement measures (such as the co nnection to the
National power grid, introduction of the floatation cells, and the increase of the daily tonnage capac ity, etc.) to improve its
operational and financial performances and further actions are being planned; and initiated both short and long term actions
to reduce costs.
Various
• The Corporation approved and received approval from the Toronto Stock Exchange (TSE) to implement a no rmal
course issuer bid program to acquire subject to the TSE conditions for such programs up to 5,567,799 s hares of
the Corporation during to 12 month period to April 30, 2020.
• Mrs Sophy Cesar and Mr Bruno Dumais are no longer e mployees of the Corporation effective April 2019. T he
Corporation is in the process of recruiting a new Chief Financial Officer and Investor Relation personnel.
• As already announced, the Corporation signed a comm ercial contract on July 5 th , 2019 to begin selling quantities of
silver concentrate produced by its flotation unit at Zgounder silver mine.
ABOUT MAYA
Maya Gold & Silver Inc. is a publicly-traded Canadi an company focused on the operation, exploration an d development of
gold and silver deposits in Morocco. Maya is curren tly operating mining and milling operations at its Zgounder Mine, an
85%-15% split ownership between its subsidiary, ZMSM, and the ONHYM of the Kingdom of Morocco.
Its portfolio also contains the Boumadine polymetallic deposit located in the Anti-Atlas Mountains of Eastern Morocco. The
property is a joint venture with ONHYM whereby Maya retains an 85% ownership.
Maya’s portfolio also includes the Amizmiz and Azegour properties, both being 100% owned, with gold, tungsten,
molybdenum and copper deposits covering over 100 square kilometres in a historical mining district.
Forward-looking statements
This news release contains statements about future events or future performance and reflects managemen t’s current
expectations and assumptions. These are “forward-lo oking” because we have used what we know and expect today to
make a statement about the future. Forward-looking statements usually include words such as may, inten d, plan, expect,
anticipate, and believe or other similar words. We believe the expectations reflected in these forward -looking statements
are reasonable. However, actual events and results could be substantially different because of the ris ks and uncertainties
associated with our business or events that happen after the date of this news release. You should not place undue
reliance on forward-looking statements. As a genera l policy, we do not update forward-looking statemen ts except as
required by securities laws and regulations. All of the forward-looking statements made in this press release are qualified by
these cautionary statements and by those made in the Corporation’s filings with SEDAR.
On behalf of the Board:
Noureddine Mokaddem
Founder, Chairman & CEO
+1 (514) 866-2008
Website: www.mayagoldsilver.com