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TICKERS: PVG

Gold Miner Reports Q1/20 Production Unimpeded by COVID-19
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Source:

Pretium Resources' flagship mine continues to generate free cash flow.

Pretium's Brucejack Mine

Pretium Resources Inc. (PVG:TSX; PVG:NYSE) announced in a news release its Q1/20 results.

With operations unaffected by COVID-19, according to the company, Pretium produced 82,888 ounces of gold at its Brucejack mine at an all-in sustaining cost (AISC) of $996 per ounce of gold sold. The number of tons milled during Q1/20 was 345,139, or 3,793 tons per day.

Steady production from Brucejack is generating significant cash flow, $41.8 million in Q1/20, Pretium reported. The Canadian company had $40.6 million in cash at the end of the quarter.

To improve liquidity, Pretium drew down $16 million from the revolving portion of its loan facility. "The company will focus on liquidity rather than discretionary debt reduction until the restrictions related to the COVID-19 pandemic have been lifted," the release noted.

Overall, Pretium stated that it is on track to meet guidance for production, AISC and free cash flow. Production for 2020 is estimated to be 325,000365,000 ounces of gold. AISC is projected to be $910$1,060 per ounce of gold sold. Free cash flow is forecasted to be $100170 million based on a $1,450 per ounce average gold price.

As for the coronavirus, there were no confirmed cases among workers at Brucejack as of April 30, 2020. Only personnel needed to produce gold at the mine are continuing to work. The company stated that it has followed and will continue to follow the related governmental guidelines that are in place.

Due to limited people on site resulting from COVID-19, the company delayed the start of the reverse circulation grade control drill program. Along with expansion drilling, all capital projects have been temporarily suspended.

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Disclosure:
1) Doresa Banning compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. She or members of her household own securities of the following companies mentioned in the article: None. She or members of her household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: Pretium Resources. Click here for important disclosures about sponsor fees.
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5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article until three business days after the publication of the interview or article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Pretium Resources, a company mentioned in this article.




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