Galane Gold Ltd. Releases Financial And Operating Results For Q3
TORONTO, ONTARIO – November 16, 2021: Galane Gold Ltd. (“Galane Gold” or the Company”) (TSX-V: GG; OTCQB: GGGOF) is pleased to announce the release of its financial results for the three and nine months ended September 30, 2021.
A copy of the unaudited condensed consolidated interim financial statements for the three and nine months ended September 30, 2021 prepared in accordance with International Financial Reporting Standards and the corresponding Management’s Discussion and Analysis are available under the Company’s profile on www.sedar.com. All references to “$” in this press release refer to United States dollars, unless otherwise stated.
Third Quarter 2021 Highlights
- Sold 6,212 ounces of gold at Mupane at an average sales price of $1,795 per ounce.
- Earnings from mining operations for the period of $465,200.
- Capitalised $2,822,532 of concentrate sales produced by Galaxy.
- Positive cash flows from operating activities of $1,104,456.
- $1,009,276 of debt repaid.
Galane Gold CEO, Nick Brodie commented: “Galaxy continues its positive progress with tonnes mined, ounces produced and financial performance all improving from the previous quarter. We expect to shortly be announcing that we have commenced commercial production at Galaxy(1).
Production at Mupane has been stabilised with the installation of a reconditioned transformer, replacement of the jaw crusher and the mining contractor supplementing their fleet. The challenge for the management team now is to increase production at Mupane back to previous levels and we are working hard on plans to achieve this.
Our review of our Summit property and our plans for the recommencement of production continue. We have completed a re-survey of the underground mine and are now working on updated mine plans. We have also started a comprehensive review of the Banner Mill to accurately ascertain the restart costs and look at ways of expanding production(1).
We expect to provide an update to the market on all of our operations and our plans for 2022 in December.”
Galane Gold is also pleased to announce that it has exercised its right to force the conversion of $2,649,433 of principal amount of the Company’s outstanding 4% convertible unsecured debenture, which was set to mature on November 20, 2021, at a price of CDN$0.15 per common share and at a predetermined exchange rate of $1.00:CDN$1.35, resulting in the issuance of 23,844,897 common shares of the Company.
About Galane Gold
Galane Gold is an un-hedged gold producer and explorer with mining operations and exploration tenements in Botswana, South Africa and New Mexico. Galane Gold is a public company and its shares are quoted on the TSX Venture Exchange under the symbol “GG” and the OTCQB under the symbol “GGGOF”. Galane Gold’s management team is comprised of senior mining professionals with extensive experience in managing mining and processing operations and large-scale exploration programmes. Galane Gold is committed to operating at world-class standards and is focused on the safety of its employees, respecting the environment, and contributing to the communities in which it operates.
(1) This is forward-looking information and is based on a number of assumptions. See “Cautionary Notes”.
Certain statements contained in this press release constitute “forward-looking statements”. All statements other than statements of historical fact contained in this press release, including, without limitation, those regarding Company’s expectation that commercial production for accounting purposes will commence at Galaxy shortly, that production at Mupane will return to previous levels, that the Company will restart mining at the Summit Mine and expand the Company’s production, and the Company’s future financial position and results of operations, strategy, proposed acquisitions, plans, objectives, goals and targets, and any statements preceded by, followed by or that include the words “believe”, “expect”, “aim”, “intend”, “plan”, “continue”, “will”, “may”, “would”, “anticipate”, “estimate”, “forecast”, “predict”, “project”, “seek”, “should” or similar expressions or the negative thereof, are forward-looking statements. These statements are not historical facts but instead represent only the Company’s expectations, estimates and projections regarding future events. These statements are not guarantees of future performance and involve assumptions, risks and uncertainties that are difficult to predict. Therefore, actual results may differ materially from what is expressed, implied or forecasted in such forward-looking statements.
Additional factors that could cause actual results, performance or achievements to differ materially include, but are not limited to the risk factors discussed in the Company’s annual information form for the year ended December 31, 2021. Management provides forward-looking statements because it believes they provide useful information to investors when considering their investment objectives and cautions investors not to place undue reliance on forward-looking information. Consequently, all of the forward-looking statements made in this press release are qualified by these cautionary statements and other cautionary statements or factors contained herein, and there can be no assurance that the actual results or developments will be realized or, even if substantially realized, that they will have the expected consequences to, or effects on, the Company. These forward-looking statements are made as of the date of this press release and the Company assumes no obligation to update or revise them to reflect subsequent information, events or circumstances or otherwise, except as required by law.
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.