VANCOUVER, British Columbia, Nov. 06, 2023 (GLOBE NEWSWIRE) -- Gatos Silver, Inc. (NYSE/TSX: GATO) (“Gatos Silver” or the “Company”) today announced its third quarter 2023 financial and operating results. The Company will host an investor and analyst call on November 7, 2023, details of which are provided below.

The Company has a 70% interest in the Los Gatos Joint Venture (“LGJV”), which in turn owns the Cerro Los Gatos (“CLG”) mine in Mexico. Production for the third quarter of 2023 was previously disclosed on October 10, 2023. The Company’s reporting currency is US dollars.

Dale Andres, CEO of Gatos Silver, said: “The LGJV continues to generate robust cash flows with the CLG mine consistently producing high margin silver ounces. As a result of continued good operational performance in the first month of the fourth quarter along with recent optimization of the mine plan, we are increasing our 2023 full year silver and silver equivalent production guidance by 16% and 8% respectively, based on the midpoint of each guidance range. The LGJV has returned a total of $85 million to its partners in 2023, with the Company receiving another cash distribution of $24.5 million in October. Gatos Silver remains debt free with a strong cash balance. Conversion drilling of the South-East Deeps inferred resource is progressing well and the LGJV has started ramping up exploration efforts on near mine targets in the Los Gatos district.”

Summary

LGJV Q3 2023 results compared to Q3 2022 (100% basis):

Revenue of $67.0 million, down 9% from $73.9 million
Cost of sales $31.4 million, up 10% from $28.6 million
Net income $15.1 million, up 16% from $13.0 million
EBITDA $31.2 million, down 21% from $39.7 million1
Cash flow from operations of $29.4 million, down 24% from $38.5 million
Sustaining capital $9.1 million, down 47% from $17.1 million
Free cash flow $14.3 million, down 3% from $14.7 million1
Silver production 2.2 million ounces, down 19% from 2.7 million
Silver equivalent production of 3.5 million ounces, down 19% from 4.3 million
Co-product all-in sustaining costs (“AISC”) of $17.64 per ounce of payable silver, up 34% from $13.131
By-product AISC of $14.71 per ounce of payable silver, up 47% from $10.041

1 See Non-GAAP Financial Measures below.

see & read more on
https://www.juniorminingnetwork.com/junior-miner-news/press-releases/2871-tsx/gato/150765-gatos-silver-reports-third-quarter-2023-financial-results-and-increases-2023-production-guidance.html