Metals & Minerals News

Hummingbird revenue falls with output weighted in H2

Hummingbird Resources plc recorded a fall in revenue and swung to a loss as the company expects production to be weighted in the second half of 2021 at its Yanfolila gold mine in Mali, West Africa.

Milestone: Hummingbird has repaid all the debt raised to build the company’s Yanfolila operations (Hummingbird Resources)

FINANCES

In its unaudited results for the six months ended 30 June 2021, the company reported revenue of US$87 million (H1 2020: $92m) with an all in sustaining cost (AISC) of $1,437/oz (improving in Q2 to $1,386/oz)

Adjusted EBITDA was recorded at $16.2m (H1 2020: $39m) and with pre-tax losses of $3.3m (H1 2020: $23.8m profit).

The company held net cash of $12.4m (including gold inventory of $3.4m), with $4.7m of final debt repayments made during Q2 2021.

This takes the company into a debt free position (H1 2020: net debt of $20m)

Hummingbird reported 46,809 oz of gold sold at an average price of $1,794/oz.

The company maintains its 2021 production guidance of 100,000 – 110,000 oz of gold, with an AISC of $1,250 – 1,350 per oz of gold sold.

CONSTRUCTION

Hummingbird’s interests lie in Liberia, Guinea and Mali where the company also furthered its ESGs programmes.

Chief executive Dan Betts said that the company had a busy first half of the year with the key focus on productivity and predictability improvements at the Yanfolila gold mine in Mali.

“In H1 2021 we completed the repayment of all the debt raised to build our Yanfolila operations, a key milestone of which we are extremely proud.

“Further, the drilling success we achieved in 2020 continued during the period.

“With improving operational protocols and efficiencies gaining traction at Yanfolila, Kouroussa moving towards beginning construction, and Dugbe advancing well towards a DFS, we are excited about the future prospects for the company and look forward to keeping the market updated on our progress for the remainder of the year.”