VANCOUVER, BC: Galiano Gold Inc. ("Galiano" or the "Company") (TSX: GAU) (NYSE American: GAU) reports first quarter ("Q1") operating and financial results for the Company and the Asanko Gold Mine ("AGM"), located in Ghana, West Africa. The AGM is a 50:50 joint venture ("JV") with Gold Fields Limited ("Gold Fields") (JSE, NYSE: GFI) which is managed and operated by Galiano. All financial information contained in this news release is unaudited and reported in US$.

Asanko Gold Mine JV Key Metrics (100% basis):

Safety: On February 6, 2023, the Company reported that two contractors had been fatally injured following an incident near the tailings storage facility ("TSF"). The Company has taken actions to further reinforce the Company's sustained commitment to Zero Harm and industry best practices in safety culture.

Production performance: Gold production of 32,678 ounces during the first quarter, in line with 2023 production guidance of 100,000 to 120,000 ounces.

Milling performance: Achieved milling throughput of 1.6 million tonnes ("Mt") of ore at a grade of 0.9 g/t during the quarter. Metallurgical recovery averaged 73% for the quarter, which was lower than prior periods due to processing lower grade stockpiles during Q1 2023.

Cost performance and cash flow: Total cash costs1 of $1,083/oz and AISC1 of $1,268/oz for the three months ended March 31, 2023. Additionally, the JV generated positive cash flow from operations of $18.9 million and Free Cash Flow1 of $12.0 million during the quarter.

Revised AISC guidance: 2023 AISC1 guidance for the AGM has been revised from between $1,900/oz to $1,975/oz to between $1,650/oz to $1,750/oz due to strong operational cost performance in Q1.

Financial performance: Gold revenue of $65.1 million generated from 35,174 gold ounces sold at an average realized price of $1,850/oz for the quarter. Net income of $20.6 million during the quarter and Adjusted EBITDA1 of $22.9 million.

Exploration success: Advanced the first phase of an exploration drilling program at Nkran South Extension with the aim of increasing mineral reserves by converting inferred mineral resources to indicated mineral resources between the current Nkran Cut 3 reserve shell and the $1,800/oz resource shell, as well as to test for new mineralization along the southern margin of the deposit.

Robust liquidity: $102.8 million in cash and cash equivalents, $7.0 million in gold sales receivables, $1.8 million in gold on hand and no debt as of March 31, 2023.

Galiano Gold Highlights:

Improved long-term outlook at the AGM: The Company published the details of a new life-of-mine ("LOM") plan for the AGM on March 28, 2023 in a technical report titled "NI 43-101 Technical Report and Feasibility Study for Asanko Gold Mine, Ghana" with an effective date of December 31, 2022 ("2023 Technical Report"). The 2023 Technical Report was prepared independently by SRK Consulting (Canada) Inc. and includes the reinstatement of Mineral Reserves at the AGM. The new LOM plan identifies four main open-pit mining areas: Abore, Miradani North, Nkran and Esaase, and two satellite deposits: Dynamite Hill and Adubiaso.

Stable balance sheet: Cash and cash equivalents of $56.2 million as at March 31, 2023, while remaining debt-free.

Positive earnings: Net income of $8.5 million or $0.04 per common share during the quarter, which includes the Company's share of the JV's net earnings for the quarter.

Generative exploration: During the quarter, the Company completed Phase 1 of its drilling program on its wholly owned Asumura property on the Sefwi gold belt in Ghana, designed to test for gold mineralization along two interpreted structural trends with coincident surface gold anomalies identified through soil sampling. A total of 95 holes were drilled for 12,467 metres in Phase 1, comprising 9,045 metres of reverse circulation drilling and 3,422 metres of diamond drilling.

"The first quarter marked multiple milestones for Galiano," stated Matt Badylak, Galiano's President and Chief Executive Officer, "We reinstated Mineral Reserves with the updated 2023 AGM Technical Report, demonstrating an improved eight-year mine life, with annual production averaging 217,000 ounces of gold per year at all-in sustaining costs of $1,143 per ounce. Significant optimization opportunities have been identified and an aggressive exploration program is underway on the large, highly prospective land package. During the quarter, we continued to generate significant cash flows through stockpile processing, further strengthening the AGM's balance sheet to move forward with the revised life of mine plan. At the corporate level, we closed the quarter with over $56 million in cash, no debt, and remain in an enviable position to further grow the Company.

Looking ahead, we have improved 2023 cost guidance, reducing all-in sustaining costs from over $1,900 per ounce to...

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