Gold Resource Corporation Announces Preliminary Third Quarter Results

Rhea-AI Summary

Gold Resource Corporation announces preliminary third quarter results, including the sale of 3,982 ounces of gold and 208,905 ounces of silver. The company also sold 2,571 tonnes of zinc, 245 tonnes of copper, and 947 tonnes of lead. The average metal prices realized for gold, silver, copper, lead, and zinc are also provided. The company's CEO mentions challenges such as decreased metal prices and the strengthening of the Mexican peso against the US Dollar. However, they are encouraged by positive results from their drill program at the Don David Gold Mine.

Positive

• Gold Resource Corporation sold 3,982 ounces of gold and 208,905 ounces of silver in the third quarter. They also sold 2,571 tonnes of zinc, 245 tonnes of copper, and 947 tonnes of lead. The company's drill program at the Don David Gold Mine shows potential for increased resources and reserves, leading to future increased production.

Negative

• The company faced challenges such as decreased metal prices and the strengthening of the Mexican peso against the US Dollar.

DENVER--(BUSINESS WIRE)-- Gold Resource Corporation (NYSE American: GORO) (the “Company”) announces its preliminary third quarter results that includes the sale of 3,982 ounces of gold and 208,905 ounces of silver resulting in total gold equivalent (AuEq) ounces of 6,532. Additionally, the company sold 2,571 tonnes of zinc, 245 tonnes of copper, and 947 tonnes of lead. During the nine months ending September 30, 2023, the company sold 24,306 AuEq ounces, 8,772 tonnes of zinc, 904 tonnes of copper, and 3,681 tonnes of lead.

Allen Palmiere, President and CEO said “The quarter has presented some challenges beyond our control including decreased metal prices and the strengthening of the Mexican peso against the US Dollar. Production during the quarter was on par with the last four quarters, however average grade decreased as was expected in our 2023 mine plan. We continue to identify and implement opportunities for cost reductions and operational efficiencies. We continue to be encouraged by the positive results of our 2023 drill program at the Don David Gold Mine that demonstrate the potential to increase our resources and reserves that could lead to future increased production¹.”

Sales Statistics	Three months ended September 30,			Nine months ended September 30,
	2023	2022		2023	2022
Metal sold
Gold (ozs.)	3,982	5,478		14,777	22,605
Silver (ozs.)	208,905	225,012		777,977	722,041
Copper (tones)	245	282		904	976
Lead (tonnes)	947	1,056		3,681	4,450
Zinc (tonnes)	2,571	2,943		8,772	10,892
Average metal prices realized(2)
Gold ($ per oz.)	1,934	1,627		1,948	1,823
Silver ($ per oz.)	24	19		24	22
Copper ($ per tonne)	8,185	7,115		8,624	9,015
Lead ($ per tonne)	2,196	1,882		2,166	2,166
Zinc ($ per tonne)	2,195	3,186		2,648	3,828
Precious metal gold equivalent ounces sold
Gold Ounces	3,982	5,478		14,777	22,605
Gold Equivalent Ounces from Silver	2,550	2,564		9,529	8,575
Total AuEq Ounces	6,532	8,042		24,306	31,180

Trending Production Statistics
		For the three months ended:
		Q2 2022		Q3 2022		Q4 2022		Q1 2023		Q2 2023		Q3 2023
Arista Mine
Tonnes Milled		128,884		110,682		116,616		116,721		113,511		116,626
Average Gold Grade (g/t)		2.63		1.98		2.51		2.33		1.59		1.52
Average Silver Grade (g/t)		64		80		109		94		86		73
Average Copper Grade (%)		0.32		0.37		0.45		0.37		0.37		0.32
Average Lead Grade (%)		1.99		1.59		1.58		1.73		1.64		1.29
Average Zinc Grade (%)		4.00		4.21		4.27		3.88		3.72		3.22
Combined
Tonnes milled(3)		129,099		110,682		116,616		117,781		113,511		116,626
Tonnes Milled per Day(4)		1,516		1,361		1,389		1,420		1,395		1,557
Metal production (before payable metal deductions)(5)
Gold (ozs.)		9,317		5,850		7,767		7,171		4,637		4,443
Silver (ozs.)		249,088		261,257		370,768		322,676		289,816		247,159
Copper (tonnes)		303		296		406		336		334		276
Lead (tonnes)		2,020		1,248		1,323		1,559		1,389		1,048
Zinc (tonnes)		4,282		3,901		4,198		3,837		3,569		3,223

About GRC:

Gold Resource Corporation is a gold and silver producer, developer, and explorer with its operations centered on the Don David Gold Mine in Oaxaca, Mexico. Under the direction of an experienced board and senior leadership team, the company’s focus is to unlock the significant upside potential of its existing infrastructure and large land position surrounding the mine in Oaxaca, Mexico and to develop the Back Forty Project in Michigan, USA. For more information, please visit GRC’s website, located at www.goldresourcecorp.com and read the company’s Form 10-K for an understanding of the risk factors associated with its business.

www.GoldResourceCorp.com

¹ See the press release titled “Gold Resource Corporation Reports Continued Positive Drill Results at Don David Gold Mine” published September 12, 2023. The press release can be found at www.goldresourcecorporation.com/news.
² Average metal prices realized vary from the market metal prices due to final settlement adjustments from our provisional invoices. Our average metal prices realized will therefore differ from the average market metal prices in most cases.
³ Combined tonnes in Q1 and Q2 2022 and Q1 2023 includes 1,043, 215, and 1,060 purchased tonnes, respectively, related to a collaborative initiative with a local community to ensure the proper environmental treatment and storage of the material.
⁴ Based on actual days the mill operated during the period.
⁵ The difference between what we report as "Metal Production" and "Metal Sold" is attributable to the difference between the quantities of metals contained in the concentrates we produce versus the portion of those metals actually paid for according to the terms of our sales contracts. Differences can also arise from inventory changes related to shipping schedules, or variances in ore grades and recoveries which impact the amount of metals contained in concentrates produced and sold.

View source version on businesswire.com: https://www.businesswire.com/news/home/20231016957262/en/

Chet Holyoak

Chief Financial Officer

Chet.Holyoak@GRC-USA.com

Source: Gold Resource Corporation

FAQ

What were Gold Resource Corporation's sales in the third quarter?

Gold Resource Corporation sold 3,982 ounces of gold and 208,905 ounces of silver in the third quarter. They also sold 2,571 tonnes of zinc, 245 tonnes of copper, and 947 tonnes of lead.

What challenges did the company face in the third quarter?

The company faced challenges such as decreased metal prices and the strengthening of the Mexican peso against the US Dollar.

What positive results did the company see from their drill program?

The company's drill program at the Don David Gold Mine shows potential for increased resources and reserves, leading to future increased production.