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Dec 31, 2020

McEwen Mining Q4 2020 Earnings Report

McEwen Mining reported Q4 and full year results for the period ended December 31, 2020.

Key Takeaways

McEwen Mining's Q4 2020 production was lower compared to Q4 2019, with 30,100 GEOs produced versus 46,300 GEOs. The company is focusing on improving operations and investing in exploration and business systems for future growth.

The 'Going Concern Note' has been removed from the financial statements.

Two feasibility studies show the potential to extend the life of Mexican operations by 9.5 years and outlines a 6-year life for the Gold Bar mine.

Commercial production from the Froome deposit is planned to start in Q4 2021, extending the life of the Black Fox mine by 2.5 years.

Recent financings have provided adequate funds for key development projects and exploration programs in 2021.

Total Revenue
$27.7M
Previous year: $32.4M
-14.4%
EPS
-$0.6
Previous year: -$0.7
-14.3%
San Jose AISC
$1.46K
Black Fox AISC
$1.44K
Gold Bar AISC
$3.73K
Gross Profit
-$13.7M
Previous year: $1.26M
-1184.5%
Cash and Equivalents
$49M
Previous year: $46.5M
+5.5%
Total Assets
$500M
Previous year: $631M
-20.8%

McEwen Mining

McEwen Mining

Forward Guidance

McEwen Mining provided production guidance for 2021, with consolidated GEOs expected to be between 141,000 and 160,400.

Positive Outlook

  • Consolidated gold production is projected to be 110,500-127,900 ounces.
  • Silver production is expected to be 2,300,000-2,450,000 ounces.
  • Gold Bar Mine is expected to produce 37,000-45,000 GEOs.
  • Black Fox Mine is expected to produce 27,500-32,500 GEOs.
  • El Gallo Mine is expected to produce 4,500-5,900 GEOs from residual leaching.