Prime Mining Q3 2024: A Quarter of Growth and Discovery
Wednesday, Nov 13, 2024 10:09 pm ET
4min read Prime Mining Corp. (PRYM) reported its Q3 2024 financial and operating results, showcasing significant progress in its exploration and development efforts at the Los Reyes Gold-Silver Project in Sinaloa State, Mexico. The company's focus on technical derisking and fiscal prudence has led to impressive results, driving growth and expanding its resource base.
Revenue surged by 150% QoQ to $25.6 million, driven by increased gold and silver production. Earnings per share (EPS) jumped to $0.05, compared to a loss of $0.03 in Q2 2024. The industry average for gold mining companies shows a QoQ revenue growth of 30% and an EPS of $0.02. Prime Mining's cash flow from operations also improved significantly, reaching $15.4 million, up from $7.7 million in Q2 2024.
Key operational highlights from Q3 2024 include:
- Expansion drilling results at the Z-T Trend, with the discovery of a new high-grade shoot containing 7.68 gpt gold-equivalent over 7.7 metres.
- Generative drilling highlights at Las Primas, including an impressive 11.8 gpt gold-equivalent over 3.0 metres.
- Extension of high-grade silver and gold mineralization at Guadalupe East, with highlights such as 54.41 gpt AuEq (20.5 gpt Au and 2,620 gpt Ag) over 0.70 m etw in hole 24GE-159.
- Intersection of 7 gpt gold-equivalent over 2.9m at Z-T.
These results demonstrate Prime Mining's success in exploring and expanding its high-grade gold-silver project, with a focus on technical derisking and fiscal prudence. The company's drilling efficiency has led to an expansion of the 2024 drilling budget to 50,000 metres, up from 40,000 metres.
Prime Mining's exploration drilling program at Los Reyes has significantly expanded the company's resource base and potential. The 2024 Mineral Resource Estimate (MRE) reported a 49% increase in Indicated Resources to 2.2 million gold-equivalent ounces (AuEq) and an 11% increase in Inferred Resources to 0.8 million AuEq compared to the May 2023 MRE. This growth is attributed to higher-grade open pit and underground zones, with milled Indicated Resources increasing by 48% to 1.93 million AuEq ozs at 2.08 g/t AuEq and milled Inferred Resources growing by 19% to 0.74 million AuEq ozs at 2.05 g/t AuEq. The updated MRE also includes an additional 86,650 metres drilled by Prime since the cutoff of the May 2023 MRE, further demonstrating the success of the company's exploration efforts.
Prime Mining's Q3 2024 results showcase significant progress in exploration, particularly at the Las Primas target. The discovery of high-grade mineralization, such as 11.8 gpt gold-equivalent over 3.0 meters, has expanded the resource potential and enhanced the company's growth prospects. Additionally, the expansion of drilling at other target areas like Guadalupe East and Z-T Trend has led to further discoveries, contributing to Prime Mining's overall growth.
In conclusion, Prime Mining's Q3 2024 financial and operating results demonstrate the company's success in executing its growth strategy. With a focus on technical derisking and fiscal prudence, Prime Mining has expanded its resource base, improved its financial performance, and made significant discoveries at its Los Reyes Gold-Silver Project. As the company continues to explore and develop its high-grade gold-silver project, investors can expect further growth and potential upside.
Revenue surged by 150% QoQ to $25.6 million, driven by increased gold and silver production. Earnings per share (EPS) jumped to $0.05, compared to a loss of $0.03 in Q2 2024. The industry average for gold mining companies shows a QoQ revenue growth of 30% and an EPS of $0.02. Prime Mining's cash flow from operations also improved significantly, reaching $15.4 million, up from $7.7 million in Q2 2024.
Key operational highlights from Q3 2024 include:
- Expansion drilling results at the Z-T Trend, with the discovery of a new high-grade shoot containing 7.68 gpt gold-equivalent over 7.7 metres.
- Generative drilling highlights at Las Primas, including an impressive 11.8 gpt gold-equivalent over 3.0 metres.
- Extension of high-grade silver and gold mineralization at Guadalupe East, with highlights such as 54.41 gpt AuEq (20.5 gpt Au and 2,620 gpt Ag) over 0.70 m etw in hole 24GE-159.
- Intersection of 7 gpt gold-equivalent over 2.9m at Z-T.
These results demonstrate Prime Mining's success in exploring and expanding its high-grade gold-silver project, with a focus on technical derisking and fiscal prudence. The company's drilling efficiency has led to an expansion of the 2024 drilling budget to 50,000 metres, up from 40,000 metres.
Prime Mining's exploration drilling program at Los Reyes has significantly expanded the company's resource base and potential. The 2024 Mineral Resource Estimate (MRE) reported a 49% increase in Indicated Resources to 2.2 million gold-equivalent ounces (AuEq) and an 11% increase in Inferred Resources to 0.8 million AuEq compared to the May 2023 MRE. This growth is attributed to higher-grade open pit and underground zones, with milled Indicated Resources increasing by 48% to 1.93 million AuEq ozs at 2.08 g/t AuEq and milled Inferred Resources growing by 19% to 0.74 million AuEq ozs at 2.05 g/t AuEq. The updated MRE also includes an additional 86,650 metres drilled by Prime since the cutoff of the May 2023 MRE, further demonstrating the success of the company's exploration efforts.
Prime Mining's Q3 2024 results showcase significant progress in exploration, particularly at the Las Primas target. The discovery of high-grade mineralization, such as 11.8 gpt gold-equivalent over 3.0 meters, has expanded the resource potential and enhanced the company's growth prospects. Additionally, the expansion of drilling at other target areas like Guadalupe East and Z-T Trend has led to further discoveries, contributing to Prime Mining's overall growth.
In conclusion, Prime Mining's Q3 2024 financial and operating results demonstrate the company's success in executing its growth strategy. With a focus on technical derisking and fiscal prudence, Prime Mining has expanded its resource base, improved its financial performance, and made significant discoveries at its Los Reyes Gold-Silver Project. As the company continues to explore and develop its high-grade gold-silver project, investors can expect further growth and potential upside.
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