Welcome to our dedicated page for Cerrado Gold news (Ticker: CRDOF), a resource for investors and traders seeking the latest updates and insights on Cerrado Gold stock.
Overview of Cerrado Gold Inc.
Cerrado Gold Inc. (symbol: CRDOF) is a Toronto-based mining company focused on gold production, development, and exploration. With a diversified portfolio combining operational gold assets in South America and promising development projects in Canada, the company embodies a strategic blend of established production and innovative exploration. Key industry terms such as gold production, mining exploration, and heap leach operations underscore its commitment to operational optimization and asset value maximization.
Core Business and Operations
Cerrado Gold is dedicated to the extraction and production of gold through its high-performing assets in Argentina. The company manages producing assets such as the Minera Don Nicolás and Las Calandrias mines, where continuous operational optimization has allowed it to enhance throughput, improve efficiencies, and steadily increase production while applying modern heap leach techniques. Its comprehensive operational model highlights a rigorous commitment to geological exploration and resource expansion, supporting its gold mining operations with advanced drilling programs and detailed mineral resource evaluations.
Exploration and Development Initiatives
Beyond current production, Cerrado Gold invests in significant exploration campaigns aimed at extending the life of its mines and unlocking additional high-grade resources. Its drilling programs target key zones to provide quality high-grade feed for processing facilities, while ongoing NI 43-101 compliant studies and metallurgical test work ensure that the company maintains a robust approach to technical evaluation and resource estimation. This balanced focus on both immediate operational performance and long-term asset growth demonstrates the company’s expertise in integrating scientific principles into mining operations.
Development of Mont Sorcier Iron Ore and Vanadium Project
In addition to its gold operations in South America, Cerrado Gold is developing the Mont Sorcier project in Quebec. This project is aimed at producing a premium iron ore concentrate and vanadium product designed for applications in low-carbon steel production. With innovative metallurgical processes and extensive test work that confirm the feasibility of producing high-purity, DRI grade concentrates, the project is positioned to contribute to a transition in the steel manufacturing industry. The focus on producing high-grade materials suitable for direct reduction iron processes highlights the company’s commitment to sustainable and efficient resource development.
Strategic Financial and Operational Position
The company employs a strategy that integrates operational excellence with strategic asset transactions, shared services agreements, and collaborative financing initiatives. Through prudent management of cash flows, structured asset sales, and a focus on strengthening its balance sheet, Cerrado Gold ensures its financial robustness while investing in growth opportunities. This operational and financial discipline enables the company to pursue both exploration activities and development projects, thereby enhancing its overall portfolio value.
Industry Expertise and Future-Proof Operations
With a clear focus on operational optimization and exploration excellence, Cerrado Gold leverages industry best practices and technical expertise to maintain competitiveness. The company’s communication regarding exploration strategies, detailed technical assessments, and ongoing process improvements reflects its E-E-A-T (Experience, Expertise, Authoritativeness, Trustworthiness) credentials. While remaining neutral, Cerrado Gold’s rigorous approach to asset management and technological integration sets it apart in the competitive mining sector, reinforcing its position as a solid, diversified resource company.
Key Highlights
- Gold Production Excellence: Operating key mines in Argentina with ongoing production optimization.
- Strategic Exploration: Active exploration programs extend the mine life and resource base.
- Innovative Development: Progressive initiatives at the Mont Sorcier project with advanced metallurgical testing.
- Financial Strength: Robust balance sheet management through targeted asset sales and efficient capital allocation.
- Technical Expertise: Use of industry standards such as NI 43-101 and advanced drilling and testing methodologies.
Cerrado Gold’s integrated approach, combining high-grade production, exploration, and technologically advanced asset development, positions it as an informative case study for investors seeking to understand the complexities of the modern mining sector. Its continued dedication to operational efficiency and resource enhancement ensures that the company remains a notable player in both gold mining and the strategic development of critical minerals.
Cerrado Gold announces that Hochschild Mining's subsidiary, Amarillo Mineração, will exercise its option to acquire 100% of the Monte Do Carmo (MDC) gold project in Brazil for US$60 million. The transaction includes US$30 million in closing cash payments and an additional US$15 million in future milestone payments, with US$15 million previously received. The deal, approved by 96.56% of shareholders, is expected to close on November 5, 2024. The proceeds will support growth at Cerrado's MDN gold mine in Argentina, fund a feasibility study for the Mont Sorcier Iron Ore Project, improve the balance sheet, and enable pursuit of new growth opportunities.
Cerrado Gold Inc. (TSX.V:CERT, OTCQX:CRDOF) has announced its Q3 2024 production results for the Minera Don Nicolas Mine in Argentina. Key highlights include:
Q3 Production of 16,604 Gold Equivalent Ounces (GEO), slightly up from 16,255 GEO in Q2 and significantly higher than 11,204 in Q1, 2024. The Calandrias Norte high-grade ore was supplemented by additional pits, extending CIL operation into 2025. Heap leach operations produced 3,404 GEO during the quarter, with a record of 1,644 GEO in August.
The company's balance sheet has improved, with approximately US$12m in current liabilities repaid since March 2024. Cerrado is focusing on doubling crushing capacity at Calandrias Sur and aiming to increase heap leach production to 4,500 GEO per month. The installation of a new secondary crusher is expected by the end of Q4, which should reduce fleet and operating costs.
Cerrado Gold Inc. (TSX.V: CERT)(OTCQX:CRDOF) has announced the appointment of Andrew Croal as Chief Technical Officer. Mr. Croal brings 40 years of global mining experience in gold and base metal commodities. He has worked in various countries and held senior roles in both senior and junior mining firms. The company has issued 250,000 restricted share units (RSUs) to Mr. Croal, vesting over two years.
Additionally, Cerrado Gold has entered into an agreement with German Mining Networks GmbH (GMN) to provide investor relations services, focusing on marketing the company to European investors. The initial three-month agreement includes a fee of C$6,800 per month, with the possibility of extension.
Cerrado Gold Inc. (TSXV:CERT)(OTCQX:CRDOF) has released its Q2 2024 operational and financial results for the Minera Don Nicolas (MDN) gold project in Argentina. Key highlights include:
- Gold equivalent production of 16,255 GEO
- Adjusted EBITDA of $14.7 million
- AISC of $1,233 per ounce
- Revenue of $34.7 million from the sale of 15,484 ounces of gold and 23,509 ounces of silver
The company also announced a recent 43-101 Mineral Resource Update and Preliminary Economic Assessment (PEA) for MDN, showing an NPV5% of $111 million at $2,100/oz gold price over a 5-year mine life. The PEA highlights average annual production of 56,000 GEO and LOM average annual EBITDA of $49 million.
Cerrado Gold is on track to meet its full-year guidance of 50,000-60,000 GEO and is focusing on cost reduction initiatives and strengthening its balance sheet.
Cerrado Gold Inc. (TSX.V:CERT)(OTCQX:CRDOF) has launched a new exploration campaign at its Minera Don Nicolás (MDN) mine in Argentina. The initial 3,000-metre drill program targets two high-grade areas: the Goleta zone and Calandrias North downward plunge extension. This campaign aims to extend the mine's life and increase mineral resources, building on the recent mineral resource estimate that provided a 5-year mine life and US$111 million Net Present Value at $2,100 gold.
The Goleta zone, located 7 km northwest of the Martinetas mill, shows potential for a high-grade quartz vein system beneath a breccia cover. At Calandrias North, currently the primary source of high-grade feed, the program seeks to prove the continuity of the mineralized trend, with potential for low-capital underground development.
Cerrado Gold (TSXV:CERT)(OTCQX:CRDOF) announces the resumption of trading on August 8, 2024, and provides updates on its Minera Don Nicholas (MDN) mine in Argentina. Key highlights include:
1. Q2/24 production of 16,255 Gold Equivalent Ounces (GEO)
2. Full-year 2024 guidance: 50,000-60,000 GEO at AISC of US$1,200-1,400/oz
3. Recent PEA results show NPV (5%) of $111MM at $2100/oz gold over a 5-year mine plan
4. Life of Mine Average annual EBITDA of US$49 Million and FCF of US$25 Million
5. Additional US$45 million cash expected from the sale of the Monte do Carmo project in Brazil
The company is focusing on expanding heap leach operations and strengthening its balance sheet through improved operating performance and strong gold prices.
Cerrado Gold Inc. (TSX.V:CERT)(OTCQX:CRDOF) has clarified its prior agreements with Red Cloud Financial Services and Feneck Consulting Group for capital markets and investor relations services. The Red Cloud agreement, terminated in January 2024, cost $10,000 monthly. The Feneck agreement, ended in December 2023, was $3,500 monthly. Neither received bonus fees or stock options.
Cerrado also disclosed a shared services agreement with Ascendant Resources effective March 30, 2023, formalizing an existing arrangement. Expenses are split approximately 70% to Cerrado and 30% to Ascendant. As of March 31, 2024, Ascendant owes Cerrado $3.2 million for shared services. Additionally, Cerrado provided Ascendant with a $1.5 million USD unsecured promissory note at 10% annual interest, with $0.8 million outstanding as of March 31, 2024.
Cerrado Gold (TSXV:CERT)(OTCQX:CRDOF) announced Q2 2024 production results for its Minera Don Nicolas Mine in Argentina. Highlights include:
- Q2 production of 16,255 Gold Equivalent Ounces (GEO), up from 11,204 GEO in Q1 2024
- High-grade ore from Calandrias Norte and ramp-up of heap leach operations supporting strong production
- Approximately US$10 million in current liabilities repaid since Year End 2023
- Significant cost reductions made to reduce corporate expenses
- Heap leach production improved from 491 GEO in April to 943 GEO in June, despite harsh weather
- Additional crushing capacity being added to support increased production
The company expects to release full Q2 financial results in August 2024 and anticipates announcing an updated 43-101 Preliminary Economic Assessment and Mineral Resource Estimate shortly.
Cerrado Gold announced the successful outcomes of its Annual and Special Meeting held on June 27, 2024. Notably, all proposed resolutions were approved by shareholders. Around 40.6 million common shares, representing 39.49% of all outstanding shares, were voted.
The election of eight directors saw overwhelming support, with each director receiving over 96% of the votes. The company also approved McGovern Hurley LLP as the new auditors for the upcoming year, after KPMG LLP resigned.
Shareholders also approved the sale of the company’s subsidiary, Serra Alta Mineração Ltda, to Amarillo Mineração Do Brasil Ltda., marking a significant step towards finalizing the deal contingent on certain conditions and TSXV approval. This sale involves the Monte Do Carmo project in Brazil.
Additionally, upon shareholder approval, all existing credit obligations under a prior Loan Agreement were deemed repaid, terminating the agreement.
Cerrado Gold has filed its Q1 2024 financials, aiming to revoke a Cease Trade Order (CTO) from the Ontario Securities Commission (OSC). The company has addressed its compliance issues under National Policy 11-207 regarding continuous disclosure obligations.
Cerrado plans to submit an application to the TSX Venture Exchange for trading resumption once the CTO is lifted by the OSC. Trading is expected to resume within two business days post-approval by the TSX Venture Exchange.
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