LUCA POSTS US$11.4 MILLION EBITDA FOR FIRST NINE MONTHS OF 2024, by @newswire
VANCOUVER, BC, Nov. 27, 2024 /CNW/ - Luca Mining Corp. ("Luca" or the "Company") (TSX-V: LUCA; OTCQX: LUCMF; Frankfurt: Z68) reports…
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Highlights
- Despite several planned and unplanned mill shutdowns this quarter at both operations for testing and adjustments as part of the optimization and ramp up process, Q3 generated a positive mine operating profit of US$1.7 million and US$8.0 million over the first nine months.
- EBITDA1 was negative for Q3 coming in at (US$1.1 million). EBITDA for the nine months ended September 30, 2024, was US$11.4 million, a 396% increase over the same period last year.
- Net quarterly revenue for Q3 2024 was US$18.1 million, up 60% from the same period last year. Total net revenue for the nine months ended September 30, 2024, was US$52.6 million.
- Mine operating cash flow before taxes was US$2.4 million in the third quarter and US$9.8 million over the first nine months.
- Production of 11,988 oz of gold equivalent during Q3 comprising 3,604 oz gold, 158,778 oz silver, 5,876,385 lbs zinc, 1,817,924 lbs copper, and 1,141,934 lbs lead. Over the nine months ended September 30, 2024, the Company produced 40,083 oz of gold equivalent.
- The Campo Morado Improvement Project ("CMIP") continues to make excellent progress. The aim of the CMIP is to ensure reliable, efficient and steady plant operation for years to come. Our near-term objective of achieving 2,000 tpd throughput is on track. Copper recoveries remain strong and are now close to 80%. The copper-lead separation initiative is well underway. In the next few months, the mill will be producing separate zinc, copper and bulk (lead and precious metals) concentrates which will increase the quantity of saleable metals.
- Campo Morado recently celebrated one year of zero lost time injuries at the mine.
- Mobilization of our new mine contractor, Cominvi, S.A. de C.V., to Campo Morado is nearing completion. Working with Cominvi will allow Luca to increase production at Campo Morado and provide cost effective access to newer mining equipment for the Company's ongoing operations without incurring significant capital expenditures.
- Ramp up and commissioning at the Tahuehueto gold mine is progressing well with throughputs starting to hit objective levels of +800 tpd. The mine continues to make progress toward commercial production.
- An exploration drilling campaign is underway at Tahuehueto. Tahuehueto comprises a large, epithermal gold/silver vein system and this campaign is the first significant exploration drill program on the property in over 10 years. The Company expects the current campaign to include up to 5,000 metres of diamond core drilling in 26 holes from underground over the next 4-6 months. The drill plan takes advantage of recently developed areas to potentially extend the resource along the modeled veins.
- The Company has started to pay down its term debt through cashflow and expects to be debt free by mid-2026.
- The Company recently closed a fully subscribed brokered private placement pursuant to the "listed issuer financing exemption" under Part 5A of NI 45-106 – Prospectus Exemptions resulting in the issuance and sale of 19,000,000 units of the Company (the "LIFE Units") at a price of C$0.45 per LIFE Unit for aggregate gross proceeds of C$8,550,000 (the "LIFE Offering"). The Company also closed a concurrent non-brokered private placement of 6,126,167 units of the Company (the "Non-LIFE Units") at a price of C$0.45 per Non-LIFE Unit for aggregate gross proceeds of C$2,756,775. The combined gross proceeds raised pursuant to the Financings was C$11,306,775.
- Luca welcomed three senior professionals to the team to oversee and direct the Company's exploration strategy. Paul Gray will join as VP Exploration and will lead and direct all exploration activities. Gillian Kearvell will join as senior geological consultant and will work with Paul Gray focusing on building the Company's resource base as well as assist in developing a long-term organic growth strategy. Fernando Teliz will manage the drill campaigns and their execution.
