(Kitco News) - Pretium Resources (TSX, NYSE: PVG) reported today that in Q3 2021, the company produced 90,673 ounces of gold, up 5% compared with 86,136 ounces produced in Q3 2020.
According to the company's statement, higher production reflects the increased tonnes milled in the period and the reduction in gold remaining in-circuit from 7,718 ounces at June 30, 2021 to 1,677 ounces at September 30, 2021, partially offset by lower head grade.
The company posted revenue of $146.8 million from the sale of 81,626 ounces of gold, a 5.2% decrease from the third quarter of 2020 driven primarily by a 7.0% decrease in the average realized price of gold.
Gold sold in the quarter was lower than production due to mining of higher grade stopes at the end of the quarter and timing of gold sales, the company explained.
Pretium added that its net earnings were $22.0 million and adjusted earnings were $24.3 million for the quarter, compared to net earnings of $31.2 million and adjusted earnings of $32.0 million in the third quarter of 2020.
"The decrease in net earnings was primarily due to lower realized gold prices and higher production costs as well as higher relative deferred income tax expenses, partially offset by decreases in corporate and administrative, exploration and evaluation and interest and finance expenses," the company said.
Importantly, the company reiterated that it remains on track to achieve its 2021 guidance of 325,000 to 365,000 ounces of gold produced at an AISC between $1,060 and $1,190 per ounce of gold sold with $40.0 - $45.0 million of sustaining capital expenditures and $65.0 - $75.0 million of expansion capital expenditures.
Pretivm is a growing intermediate gold producer with the 100%-owned, high-grade gold underground Brucejack Mine located in northwestern BC.
On November 8, 2021, the company announced that it had entered into a binding agreement with Newcrest Mining under which Newcrest agreed to acquire all of the outstanding shares of Pretivm that it does not already own.
By Vladimir BasovFor Kitco News
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