Brigus Gold Corp (USA) (NYSEMKT:BRD) brought in bright Q2 results


Dallas, Texas 09/16/2013 (Financialstrend) – Brigus Gold Corp (USA) (NYSEMKT:BRD) announced its  bright and shiny 2013 Q2 results on 12 August. The company has had a pretty solid performance on the operation and financial fronts. It runs operations at  its Black Fox Underground mine, Black Fox Open Pit mine and Ontario’s Black Fox mill. It also has operations in Mexico, the Dominican Republic and Saskatchewan. There was a 22% boost in sales while the revenues rose 7% above the 2012 Q2 figures. The company has brought down its long-term debt burden by $7.3 million and has generated a cash-flow from $11m from operations.

It has also raised its guidance in tandem with the improved production-efficiency. From an operational standpoint, the company’s gold-production of the quarter rose by 28 percent in comparison to the 2012 Q2 production. Production also commenced at its phase-III open pit.

New prospects

The expectation is that this new production will add to the good output from its Black fox mine. With this in view, the company has announced a rise of 10.5% in its production guidance from 95,000 to 105000 ounces of gold. Apart from this, Brigus Gold Corp (USA) (NYSEMKT:BRD) is also planning on cutting-down its expenditure by $3M and has cut its work force at the corporate office as well as at the mines. This will help in shoring-up its bottom line.

Better times

The company has also reported a $4.9M impairment-loss towards the plunge in Cangold shares that the company has held since 2011. There was also a 19% drop in its current assets for the first half of 2013. The other development is that the company transferred its stake in the Huizopa-project to Cormack in return of an annual royalty. Once the Huizopa project goes into production, Brigus Gold Corp (USA) (NYSEMKT:BRD) can expect production to touch the $4M mark. Over the past 30 days, the company’s share price has seen a 20% rise.