Inca One Reports the Highest Level of Monthly Processing in 2023

Rhea-AI Summary

INCA ONE GOLD CORP. reports a 28% increase in monthly production in December 2023, with consolidated sales of $2.9 million and a 58% increase year over year. However, gold production decreased by 11% compared to November 2023. The decrease in sales revenue was attributed to the timing of exports and fewer ounces of gold sold despite a higher gold price received. The company purchased lower-grade gold feedstock but higher quantities of tonnes in December, resulting in fewer gold ounces produced.

Positive

• 28% increase in monthly production in December 2023
• Consolidated sales of $2.9 million
• 58% increase year over year

Negative

• 11% decrease in gold production compared to November 2023
• Decrease in sales revenue attributed to timing of exports and fewer ounces of gold sold despite higher gold price received
• Purchasing lower-grade gold feedstock resulted in fewer gold ounces produced

Vancouver, British Columbia--(Newsfile Corp. - February 8, 2024) - INCA ONE GOLD CORP. (TSXV: INCA) (OTCQB: INCAF) (FSE: SU92) ("Inca One" or the "Company") a gold producer operating two mineral processing facilities in Peru, (the "Plants") reports consolidated sales (unaudited) for December 2023 and comparative month over month ("MoM") operational results.

The Company is pleased to report its highest level of monthly production this year as milling in December reached 6,281 tonnes, a 28% increase over November and a significant 58% increase year over year. During December, daily throughput for the Company also reached its monthly peak for the calendar year, as the Plants milled an average of 203 tonnes per day.

Deliveries in December (6,461 tonnes) also finished on a positive trend and remained robust in the first two weeks of January.

Consolidated Operations	December 2023	November 2023	MoM change
Sales (US)	$2.9 M	$4.6 M	-37%
Deliveries (tonnes)	6,461	7,000	-8%
Milling (tonnes)	6,281	4,919	28%
Gold Production (ounces)	1,680	1,888	-11%

 

Sales revenue in December was US$2.9 million from the sale of 1,418 ounces of gold, an 11% decrease MoM. The decrease was due to the timing of exports and fewer ounces of gold sold despite a higher gold price received (US$2,020 per ounce). The balance of ounces from the strong processing activity during December remained in the system and were exported during January 2024, which is expected to impact January sales positively.

Given the recent tightness of capital for ore purchasing, the Company purchased lower-grade gold feedstock but higher quantities of tonnes in December. This allowed for the increase in tonnes milled but resulted in fewer gold ounces produced. Lower grade and higher tonnage allow for higher discounts on the purchase price of gold feedstock and, therefore, a higher velocity in the turnover of available cash, especially when there is excess plant capacity.

About Inca One

Inca One Gold Corp is an established gold producer operating two permitted, gold mineral processing facilities in Peru. The Company possesses a combined 450 TPD permitted operating capacity at its two fully integrated plants, Chala One and Kori One, generating over US$200 million in sales from its processing operations. Inca One is led by an experienced and capable management team that has established the Company as a trusted leader in servicing permitted, Artisanal and Small-scale Gold Miners (ASGM). Peru is one of the world's largest producers of gold, and its ASGM sector is estimated by government officials to be valued in the billions of dollars annually. Through the Company's partnerships with the UN backed PlanetGold Program and the Swiss Better Gold Initiative, Inca One supports the sustainable development and mining practices of the ASGM sector and the responsible gold supply chain from mine to market. To learn more, visit www.incaone.com.

Figure 1. Inca One's gold processing facilities in Peru (left: Chala One facility; right: Kori One facility)

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/2645/197245_502e9c10b47a7825_001full.jpg

On behalf of the Board,

Edward Kelly
President and CEO
Inca One Gold Corp.

For More Information Contact:

Konstantine Tsakumis
ktsakumis@incaone.com
604-568-4877

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWS RELEASE.

Statements regarding the Company which are not historical facts are "forward-looking statements" that involve risks and uncertainties. Such information can generally be identified by the use of forwarding-looking wording such as "may", "expect", "estimate", "anticipate", "intend", "believe" and "continue" or the negative thereof or similar variations. Since forward-looking statements address future events and conditions, they involve inherent risks and uncertainties by their very nature. Actual results in each case could differ materially from those currently anticipated in such statements due to factors such as: (i) fluctuation of mineral prices; (ii) a change in market conditions; and (iii) the fact that future operating results may not be accurately predicted based on this limited information to date. Except as required by law, the Company does not intend to update any changes to such statements. Inca One believes the expectations reflected in those forward-looking statements are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking statements included herein should not be unduly relied upon.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/197245

FAQ

What was the increase in monthly production in December 2023?

The monthly production in December 2023 increased by 28%.

What were the consolidated sales in December 2023?

The consolidated sales in December 2023 were $2.9 million.

What was the year-over-year increase in production?

There was a 58% increase in production year over year.

What was the decrease in gold production compared to November 2023?

Gold production decreased by 11% compared to November 2023.

What was the reason for the decrease in sales revenue?

The decrease in sales revenue was attributed to the timing of exports and fewer ounces of gold sold despite a higher gold price received.

What did the company do in December to increase tonnes milled?

The company purchased lower-grade gold feedstock but higher quantities of tonnes in December to increase tonnes milled.

What impact did the lower-grade gold feedstock have on gold production?

Purchasing lower-grade gold feedstock resulted in fewer gold ounces produced.