TMAC turns a profit at Hope Bay gold mine

TMAC Resources Inc. May 1 announced continued improvements at its Doris Mine, resulting in the first positive earnings for this gold operation on the company's Hope Bay property in Nunavut.

The 40,050 ounces of gold produced at Doris during the first quarter of this year is nearly an 18 percent increase over the previous production record of 34,080 oz set during the final three months of 2018.

While 1,610 metric tons per day average mill throughput during the first quarter was down slightly from the roughly 1,800 tpd throughput during the previous quarter. This was offset by improved ore grades, 10.3 grams per metric ton gold during the first quarter compared to 7.8 g/t the previous three months; and improved gold recovery, 84 percent the first quarter compared to 82 percent in the final quarter of 2018.

As a result, the all-in sustaining cost for producing an ounce of gold at Doris was US$992 per ounce, which is well below the average US$1,302/oz the company received from the gold it sold during the period.

TMAC pulled in a net profit of C$7.2 million from its operations at Hope Bay.

"The company is also very pleased to report our first ever positive earnings, which for the first quarter was C6 cents per share," said TMAC Resources President and CEO Jason Neal.

–SHANE LASLEY