SOMA GOLD Releases 2022 Q2 Results
SOMA GOLD RELEASES 2022 Q2 RESULTS
VANCOUVER, BC
,
Sept. 6, 2022
/CNW/ -
Soma Gold Corp.
(TSXV: SOMA) (WKN: A2P4DU)
(OTC: SMAGF) (the "
Company
" or "
Soma
") is pleased to announce that the Company's second
quarter Financial Statements and MD&A have been filed on SEDAR and are available at the
following link:
https://bit.ly/3nVdVXv
Highlights of the quarter
Gold equivalent ounce sold rose to 7,583 ounces – an increase of 79% from the prior quarter
and 99% from Q2-2021.
Income from mining operations was
$8.0 million
for the quarter compared to
$4.2 million
in the
previous quarter – an increase of 93%.
Adjusted EBITDA
(1)
doubled to
$7.5 million
for the quarter compared to
$3.7 million
in Q1-2022.
Development work at Cordero continued to advance with an additional
$2.7 million
in
construction cost capitalized during the quarter (
$4.6 million
for the six months ended
June 30
,
2022).
Payments made towards gold loan (deferred revenue) of
$1.1 million
(
$1.8 million
for the six
months ended
June 30, 2022
).
Select Results for the Quarter ended June 30
th
, 2022, and Comparative
Quarters
(CAD$ unless otherwise indicated)
2
nd
Quarter, 2022
1
st
Quarter, 2022
2
nd
Quarter,2021
Revenue
17,743,251
9,806,960
8,366,744
Income from mine operations
8,034,147
4,165,347
1,794,785
Adjusted EBITDA
(1)
7,482,034
3,672,452
1,140,070
Gold ounces produced
6,637
5,005
3,760
Gold equivalent ounces sold
7,583
4,235
3,802
Ore milled
35,277
42,180
31,033
Mill head grade
5.47
4.31
4.46
Average realized price per ounce sold
(USD)
(1)
1,873
1,870
1,832
(1)
Table includes non-IFRS financial performance measures – see note (1) below.
"The second quarter of 2022 was very successful for Soma. Higher-grade ore from Cordero, at an
average of 7.75 gpt in the second quarter, is starting to replace ore from our legacy, lower-grade
mines which has a very positive impact on gold production and financial results." states
Javier
Cordova
, Soma's President and CEO. "As development at Cordero advances, mill throughput at
higher-than-average grades will ramp up, allowing the Company to increase tons from the Q2
average of 387 tpd, to over 500 tpd in early 2023, resulting in further growth of gold production."
In addition, the Company has received the first shipment of underground equipment ordered from
Sandvik. Mr. Cordova states, "Our ability to self-perform development and mining at the Cordero
Mine will significantly impact gold production in Q4 of 2022 and going forward. The balance of the
equipment will arrive in the coming months, and once fully implemented, mine production is
anticipated to rise by over 250 tpd from current levels."
First batch of underground equipment received. (CNW Group/Soma Gold Corp.)
ABOUT SOMA GOLD
Soma Gold Corp. (TSXV: SOMA) is a mining company focused on gold production and exploration.
The Company owns two adjacent mining properties in Antioquia,
Colombia
with a combined milling
capacity of 675 tpd. (Permitted for 1,400 tpd). The El Bagre Mill is currently operating and
producing. Internally generated funds are being used to finance a regional exploration program.
The Company also owns an exploration property near Tucuma, Para State,
Brazil
that is currently
under option to Ero Copper Corp.
On behalf of the Board of Directors
"Javier Cordova Unda"
Chief Executive Officer and President
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in
the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of
this release.
(1) This news release refers to certain financial measures, such as EBITDA, Adjusted
EBITDA, average realized price per ounce of gold sold, and total cash costs per ounce of
gold sold which are not measures recognized under IFRS and do not have a standardized
meaning prescribed by IFRS. These measures may differ from those made by other
companies and accordingly may not be directly comparable to such measures as reported
by other companies. These measures have been derived from the Company's financial
statements because the Company believes that they are of benefit in understanding the
Company's results. For a complete explanation of these measures, please refer to Non-
IFRS Financial Performance Measures disclosure included in the Company's MD&A for the
Years Ended
December 31, 2022
and 2021 and the Three and Six Months Ended
June 30,
2022
and 2021 which can be accessed at
www.sedar.com
All statements, analysis and other information contained in this press release about anticipated
future events or results constitute forward-looking statements. Forward-looking statements are
often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan",
"estimate", "expect" and "intend" and statements that an event or result "may", "will", "should",
"could" or "might" occur or be achieved and other similar expressions. Forward-looking statements
are subject to business and economic risks and uncertainties and other factors that could cause
actual results of operations to differ materially from those contained in the forward-looking
statements. Forward-looking statements are based on estimates and opinions of management at the
date the statements are made. The Company does not undertake any obligation to update forward-
looking statements even if circumstances or management's estimates or opinions should change
except as required by applicable laws. Investors should not place undue reliance on forward-looking
statements.
SOURCE
Soma Gold Corp.
View original content to download multimedia:
http://www.newswire.ca/en/releases/archive/September2022/06/c4911.html
%SEDAR: 00030511E
For further information:
Andrea Laird, telephone: +1-604-259-0302
CO: Soma Gold Corp.
CNW 06:15e 06-SEP-22