KOPY GOLDFIELDS PUBLISHES Q3 2020 OPERATIONAL UPDATE

Inside information: Kopy Goldfields AB (publ) ("Kopy Goldfields" or the "Company") is hereby announcing an operational update for the third quarter and nine months ending September 30, 2020 as well as production forecast for 2020. The company reports solid operational results despite the COVID-19 pandemic affecting alluvial mining operations.

Highlights:

  • The total gold equivalent (GE1) production in Q3 from the Company's two bedrock mines and two alluvial mines in the Khabarovsk region of Russia increased by 3% year-on-year to 18.1 koz (564 kg) compared to 17.6 koz (547 kg) in Q3 2019 including 29.5 koz (917 kg) of silver.
  • 2020 GE production is expected at 52 koz to 54 koz, which is slightly above the 2019 production level of 51.5 Koz.
  • Gold sales for the first nine months of 2020 amounted to 38.6 koz (1,199 kg), compared to 36.6 koz (1,138 kg) of gold sales for the corresponding period of 2019.
  • The production growth in Q3, was driven by increased production rates at the Perevalnoe mill, which processed 42 kt of ore in Q3 2020 compared to 35 kt in Q3 2019, targeting 2020 full-year throughput of 160 kta (thousand tons per annum).
  • For the first nine months of 2020, the total GE production amounted to 42 koz (1,306 kg) compared to 43.5 koz (1,354 kg) for the corresponding period of 2019. The decreased production primarily relates to alluvial operations which have been, and continuously are affected by understaffing following COVID-19 travel restrictions.
  • The alluvial mining (gravel washing) operations at the Buor-Sala and Kagkan-Chudny placer deposits were affected by COVID-19 travel restrictions. Operations commenced in May 2020 with delays and failed to pick up the lost production due to significant understaffing continuing throughout the whole operational season. This resulted in alluvial gold production of 6.8 koz (212 kg) in 2020 compared to 10.1 koz (314 kg) in the corresponding period of 2019.
  • Apart from alluvial mining, the COVID-19 pandemic has had a limited effect on the total operations: bedrock gold production, constructions and sales activities are not materially affected. Mine shifts were extended to cover the transition period since travel was restricted in order to protect the Company's remote operations and nearby communities, and a 14-day quarantine period was introduced for all personnel travelling to the production mine sites.
  • In September 2020, the pilot heap leach operations at the Yubileyniy project were commenced. 14 kt of ore were stacked and the facility produced the first 0.34 koz of gold.
  • As announced on October 16, the total Company Mineral Resources (Amur Zoloto and Krasny projects) increased by 19% to 2,756 koz of gold including Ore Reserves which also increased by 19% to 1,313 koz of gold, following successful exploration in 2019-2020 at the Krasivoe deposit within the Yubileyniy project (Amur Zoloto).
  • Backed by the reserve increase at Yubileyniy, the Company has revised the development program for the Yubileyniy CIP plant: following the initial processing capacity increase from the current 130 kta to 250 kta by 2022, a further extension to 400 kta by 2025 is now planned.

1 Varies based on relation between actual gold and silver prices: for the first nine months of 2020 the applied average conversion ratio for silver was 1:98 Ag/Au

"We are glad to report strong operational results for our expanded operations and we expect to exceed the 2019 production levels despite underperformance of the placer mining due to COVID-19 travel restrictions. Successful exploration at Krasivoe deposit resulted in a significant increase of gold reserves and strengthened our production growth model. The operational results are further supported by historically high gold prices and the lower RUB/USD rate, which increase revenue and supports profit margins for gold mining operations", said Mikhail Damrin, CEO of Kopy Goldfields.

Yubileyniy project

The Yubileyniy project includes the operating Krasivoe underground mine and the Yubileyniy processing plant. The Krasivoe mine commenced production in 2004, initially as an open pit and then switched to underground in 2010. Yubileyniy is a conventional CIP plant with an installed capacity of 130,000 tonnes per annum (tpa) and a planned expansion in capacity to 250,000 tpa by 2022, followed by further expansion to 400,000 tpa by 2025. The plant flowsheet includes consecutive gravity concentration followed by intensive cyanidation of gravity concentrate and flotation concentration of gravity tailings followed by CIP process of flotation concentrate. The outcome product from the site are gold alloys (Dore bars) with some 17-30% of gold content which is further refined to bankable gold bars by the external smelter.

Gravity and flotation concentrates produced at Perevalnoe plant are also leached to Dore bars at the Yubileyniy plant. During the first nine months of 2020, a total of 271.47 tons of gravity concentrate and 4,308.48 tons of flotation concentrates from the Perevalnoe project were leached at the Yubileyniy plant, producing 22.43 koz (697.8 kg) of gold, which are reported under the Perevalnoe project further below.

Yubileyniy project

3 months ended Sep 30,

Change

9 months ended Sep 30,

Change

2020

2019

2020

2019

CIP

Underground ore mined, 000'tons

42.90

36.90

16%

132.40

76.40

73%

Underground development, meters

500

140

257%

1,602

622

158%

Underground ore grade, g/t

4.00

5.22

-23%

4.10

5.44

-25%

Ore processed, 000'tons

31.60

32.70

-3%

96.00

92.20

4%

Average grade, g/t

4.73

5.10

-7%

4.88

5.44

-10%

Gold produced CIP, kg

118.90

126.90

-6%

358.30

390.90

-8%

Gold produced CIP, koz

3.82

4.08

-6%

11.52

12.57

-8%

Heap Leach (HL)

Ore stacking, 000'tons

14.00

14.00

Grade, g/t

2.13

2.13

Gold in ore stacked, kg

29.80

29.80

Gold produced HL, kg

11

11

Gold produced HL, koz

0.34

0.34

Perevalnoe project

The Perevalnoe project includes the Perevalnoe processing plant and the Perevalnoe deposit. Mining from the Perevalnoe open pit commenced in 2015 and the processing plant was commissioned in 2017. The plant produces gravity and flotation concentrates on site which are further transported and leached at the Yubileyniy processing plant to produce Dore bars. The Perevalnoe concentration (gravity and flotation) plant, with a designed capacity of 125,000 tpa, processed 144,000 tpa in 2019, following bottlenecks elimination. For 2020, the annual throughput is expected at around 160,000 tpa.

The Perevalnoe deposit is now represented by two zones, which are considered as two separate deposits: Brekchiyevaya Zone and Priyatnoe Zone. Ore is currently mined from the Brekchiyevaya open pit and the Priyatnoe open pit and in the future from an underground mine below the open pit at Brekchiyevaya. The mined ore is split into three categories: "High grade", "Low grade" and "Heap leach" grade. The "High grade" ore with a grade above 5 g/t is mixed with "Low grade" ore (grade between 3 and 5 g/t) to get a head grade of 5.5-6.5 g/t and then processed at the Perevalnoe mill to gravity and flotation concentrates which are further transported and leached at the Yubileyniy processing plant. The "Low grade" ores are partially mixed "High grade" ores and partially stockpiled at site for the future use. "Heap leach" grade ores with grades below 2 g/t are stockpiled at site until 2021 when the heap leach operations at a rate of 250 ktpa will commence.

Perevalnoe project

3 months ended
Sep 30,

Change

9 months ended
Sep 30,

Change

2020

2019

2020

2019

Waste stripping, 000'm3

677.6

408.2

66%

1,940.5

1,092.9

78%

Ore mined, 000'tons

85.4

60.9

40%

193.8

190.8

2%

Average ore grade, g/t

3.16

3.78

-16%

3.44

4.43

-22%

including

High grade ore, 000'tons

15.8

14.8

7%

49.00

54.9

-11%

Average grade, g/t

9.17

11.68

-21%

8.82

10.6

-17%

Low grade ore, 000'tons

1.70

46.10

-96%

20.6

135.9

-85%

Average grade, g/t

2.94

2.04

44%

3.49

1.94

80%

Heap Leach ore, 000'tons

67.90

124.20

Average grade, g/t

1.19

1.31

Ore processed, 000'tons

42.10

34.79

21%

124.71

94.50

32%

Average grade, g/t

7.13

6.18

15%

6.07

7.55

-20%

Gravity concentrate produced, 000'tons

94.30

88.01

7%

277.28

262.64

6%

Average grade, g/t

1,258.38

964.86

30%

918.69

1,094.25

-16%

Flotation concentrate produced, 000'tons

1,536.88

1,120.19

37%

4,429.42

3,447.20

28%

Average grade, g/t

104.79

107.64

-3%

103.15

114.98

-10%

Gold produced (at the Yubileyniy plant from gravity and flotation concentrates of Perevalnoe project), kg

274.70

217.70

26%

697.80

628.50

11%

Gold produced (at the Yubileyniy plant from gravity and flotation concentrates of Perevalnoe project), koz

8.83

7.00

26%

22.43

20.21

11%

Placer mining

In 2020, Amur Zoloto produces alluvial gold at the two placer deposits: Buor-Sala and Kagkan-Chudny located near the Yubileyniy and Perevalnoe projects respectively. These are shallow stream placers which are dozed and loaded into articulated haul trucks and hauled to semi-mobile washing plants or hauled by front-loaders. The waste stripping is conducted largely in the autumn and early spring with washing of gravels from May to October.

Placer mining

3 months ended
Sep30,

Change

9 months ended
Sep30,

Change

2020

2019

2020

2019

Overburden, 000'm3

635.70

464.90

37%

1,457.10

1,020.10

43%

Capital mining, 000'm3

89.10

88.30

1%

258.60

236.50

9%

Placer gravel washed, 000'm3

327.60

509.30

-36%

455.20

811.50

-44%

Average grade, mg/m3

455.79

380.54

20%

466.69

387.11

21%

Gold produced, kg

149.30

193.80

-23%

212.40

314.10

-32%

Gold produced, koz

4.80

6.23

-23%

6.83

10.10

-32%

Competent person

Alexander Polonyankin, a Competent person under JORC and member of Australasian Institute of Mining and Metallurgy, MAusIMM (CP), has reviewed and approved the technical information relating to operations covered in this press release.

Responsible party

Kopy Goldfields is obliged to make public this information in accordance with the (EU) Market Abuse Regulation 596/2014. The information in this press release has been made public through the agency of the responsible persons set out below for publication at the time stated by Kopy Goldfields news distributor beQuoted at the publication of this press release.

For more information, please contact:

Mikhail Damrin, CEO, +7 916 808 12 17, mikhail.damrin@kopygoldfields.com

Tim Carlsson, CFO, + 46 702 31 87 01, tim.carlsson@kopygoldfields.com

About Kopy Goldfields

Kopy Goldfields is a leading Swedish gold exploration and production company operating in the most renown gold mining regions of Russia. Kopy Goldfields' strategy is to combine Russian geologic knowledge and science with international management, "best industry practices" and modern and efficient technology to identify and develop mineral deposits in a cost-efficient, safe and transparent way. The Company is listed on NASDAQ First North Growth Market in Stockholm.

Kopy Goldfields applies International Financial Reporting Standards (IFRS), as approved by the European Union. Hagberg & Aneborn Fondkommission acts as Certified Adviser, contact number: +46 8 408 933 50, e-mail: info@hagberganeborn.se.

The Share

Ticker: KOPY
http://www.nasdaqomxnordic.com/shares/microsite?Instrument=SSE77457
Outstanding shares: 886,005,575

Forward-looking statements

This press release contains forward-looking statements that reflect the Company's and the company group's intentions, beliefs, or current expectations about and targets for the Company's and the company group's future results of operations, financial condition, liquidity, performance, prospects, anticipated growth, strategies and opportunities and the markets in which the Company and the group operates. Forward-looking statements are statements that are not historical facts and may be identified by words such as "believe", "expect", "anticipate", "intend", "may", "plan", "estimate", "will", "should", "could", "aim" or "might", or, in each case, their negative, or similar expressions. The forward-looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions. The forward-looking statements are subject to a number of risks and uncertainties, including, but not limited to, (i) changes in the economic, regulatory and political environments in the countries where Kopy Goldfields operates; (ii) changes relating to the geological information available in respect of the various projects undertaken; (iii) Kopy Goldfields' continued ability to secure enough financing to carry on its operations as a going concern; (iv) the success of its potential joint ventures and alliances, if any; (v) exchange rates, particularly between the Russian rouble and the U.S. dollar. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, it can give no assurances that they will materialize or prove to be correct. Because these statements are based on assumptions or estimates and are subject to risks and uncertainties, the actual results or outcome could differ materially from those set out in the forward-looking statements as a result of many factors, including but not limited to risks and uncertainties surrounding any gold production and exploration company at an early stage of its development. Such risks, uncertainties, contingencies and other important factors could cause actual events to differ materially from the expectations expressed or implied in this press release by such forward-looking statements. The Company does not guarantee that the assumptions underlying the forward-looking statements in this press release are free from errors and readers of this press release should not place undue reliance on the forward-looking statements in this press release. The information, opinions and forward-looking statements that are expressly or implicitly contained herein speak only as of its date and are subject to change without notice. Neither the Company nor anyone else undertake to review, update, confirm or to release publicly any revisions to any forward-looking statements to reflect events that occur or circumstances that arise in relation to the content of this press release, unless it is not required by law or Nasdaq First North Growth Market rule book for issuers.

KOPY GOLDFIELDS PUBLICERAR OPERATIONELL UPPDATERING FÖR ANDRA KVARTALET 2021

Kopy Goldfields AB (publ) ("Kopy Goldfields" eller "Bolaget") publicerar härmed en operationell uppdatering för andra kvartalet 2021. Produktionen av guldekvivalenter ("GE"*) ökade med 69% jämfört med första kvartalet 2021. Produktionsguidningen för 2021 är oförändrad. Covid-19 fortsatte att påverka guldproduktionen huvudsakligen till följd av brist på kvalificerad gruvpersonal.


Kommuniké från årsstämma i Kopy Goldfields

Årsstämman i Kopy Goldfields AB (publ), ("Kopy" eller "Bolaget") hölls idag den 27 maj 2021 varvid aktieägarna fattade följande beslut.


Announcement from Kopy Goldfields annual general meeting

The annual general meeting of Kopy Goldfields AB (publ), ("Kopy" or the "Company") was held today on 27 May 2021 and the following resolutions were passed by the meeting.


Kopy Goldfields AB (publ) Kvartalsrapport januari - mars 2021

Januari-mars 2021 (januari-mars 2020)

  • Intäkter 19 362 TUSD (23 125), -16 %
  • EBITDA 7 181 TUSD (9 277), -23 %
  • Resultat före skatt 10 014 TUSD (5 012), +100 %
  • Periodens resultat 7 870 TUSD (3 926), +100 %
  • Resultat per aktie före utspädning 0,01 USD (0,01)
  • Produktionen påverkades av konsekvenserna av covid-19-utbrottet vid Yubileyniy-gruvan i december 2020.
  • 2021 års estimat för guldproduktionen på 56-59 koz oförändrat

KOPY GOLDFIELDS AB (publ) Interim Report January - March 2021

January - March 2021 (January - March 2020)

  • Revenue TUSD 19,362 (23,125), -16%
  • EBITDA TUSD 7,181 (9,277), -23%
  • Profit before tax TUSD 10,014 (5,012), +100%
  • Profit for the period TUSD 7,870 (3,926), +100%
  • Earnings per share before dilution USD 0.01 (0.01)
  • Production affected by consequences of the outbreak of Covid-19 at the Yubileyniy mine in December 2020.
  • 2021 gold production guidance of 56-59 koz unchanged

Inbjudan till presentation av Kopy Goldfields första kvartal 2021

Kopy Goldfields AB (publ) publicerar kvartalsrapporten för första kvartalet 2021 torsdagen den 27 maj 2021 kl. 08:00. Kopy Goldfields inbjuder till en webbsänd telefonkonferens samma dag kl 10.00 där VD Mikhail Damrin och CFO Tim Carlsson presenterar och kommenterar rapporten.


Invitation to the presentation of Kopy Goldfields' first quarter 2021

Kopy Goldfields AB (publ) will publish the interim report for the first quarter 2021 on Thursday 27 May 2021 at 8:00 am (CEST). Kopy Goldfields has scheduled a webcasted conference call the same day at 10.00 CEST. CEO Mikhail Damrin and CFO Tim Carlsson will present and comment on the report.




Kallelse till årsstämma i Kopy Goldfields AB (publ)

Aktieägarna i Kopy Goldfields AB (publ), org.nr 556723-6335, ("Bolaget") kallas härmed till årsstämma torsdag den 27 maj 2021.


Notice of annual general meeting in Kopy Goldfields AB (publ)

The shareholders of Kopy Goldfields AB (publ), reg. no. 556723-6335, (the "Company") are hereby invited to the annual general meeting on Thursday 27 May 2021.


KOPY GOLDFIELDS PUBLICERAR OPERATIONELL UPPDATERING FÖR FÖRSTA KVARTALET 2021

Kopy Goldfields AB (publ) ("Kopy Goldfields" eller "Bolaget") publicerar härmed en operationell uppdatering för första kvartalet 2021. Covid-19-utbrottet i december 2020 påverkade guldproduktionen i början av 2021, vilket tidigare redovisats. Bolaget har emellertid tryggat säkerheten för sin personal mot pandemin och guldproduktionen har återhämtat sig under kvartalet. Produktionsestimatet för 2021 är oförändrat.


KOPY GOLDFIELDS PUBLISHES Q1 2021 OPERATIONAL UPDATE

Kopy Goldfields AB (publ) ("Kopy Goldfields" or "the Company") hereby announces an operational update for the first quarter 2021. As previously disclosed, the outbreak of COVID-19 in December 2020 affected the gold production in early 2021. However, the Company has secured the safety of its personnel against the pandemic and gold production has been recovering during the quarter. The 2021 production guidance is unchanged.


Kopy Goldfields AB (publ) Bokslutsrapport januari - december 2020

De konsoliderade finansiella räkenskaperna för Kopy Goldfields Koncernen ("Kopy Goldfields", "Bolaget"), för vilken Kopy Goldfields AB (publ) med organisationsnummer 556723-6335 är moderbolaget ("Moderbolaget"), redovisas här för det helår som avslutades den 31 december 2020. Efter transaktionen med Amur Zoloto har Kopy Goldfileds valt att byta rapporteringsvaluta från svenska kronor (SEK) till amerikanska dollar (USD). I enlighet med den svenska bokföringslagen redovisas moderbolagets finansiella information i SEK och inte koncernens rapporteringsvaluta som är USD.


KOPY GOLDFIELDS AB (publ) Year-end Report January - December 2020

The consolidated financial statements of the Kopy Goldfields Group ("Kopy Goldfields", "the Company"), of which Kopy Goldfields AB (publ) with corporate identity number 556723-6335 is the parent company ("the Parent Company"), are hereby presented for the full-year period ended on 31 December 2020. Following the transaction with Amur Zoloto, Kopy Goldfields has chosen to change the presentation currency from Swedish krona (SEK) to US dollars (USD). In accordance with the Swedish Accounting Act, the Parent Company's financial information is reported in SEK and not the Group's presentation currency of USD.


Inbjudan till presentation av Kopy Goldfields Bokslutskommuniké 2020 den 25 mars 2021

Kopy Goldfields AB (publ) kommer att publicera sin bokslutskommuniké för 2020 den 25 mars 2021 kl. 08:00 (CET). Bokslutskommunikén är den första konsoliderade finansiella rapporten sedan samgåendet av Kopy Goldfields och Amur Zoloto förra året. Investerare, kapitalförvaltare, aktieanalytiker, media och andra intresserade välkomnas att delta i konferensen där VD Mikhail Damrin och CFO Tim Carlsson presenterar och kommenterar på rapporten.


Invitation to the presentation of Kopy Goldfields' 2020 Year End Report, on 25 March 2021

On 25 March 2021 at 8:00 am (CET), Kopy Goldfields AB (publ) will publish the 2020 Year End Report. The report is the first consolidated financial report after the merger between Kopy Goldfields and Amur Zoloto conducted last year. Accordingly, investors, asset managers, financial analysts and the press are invited to a presentation where CEO Mikhail Damrin and CFO Tim Carlsson will present and comment on the report.


KOPY GOLDFIELDS GER RIKTLINJER FÖR 2021 ÅRS GULDPRODUKTION OCH CAPEX

INSIDERINFORMATION: Kopy Goldfields AB (publ) ("Kopy Goldfields" eller "Bolaget") har som mål att producera 56 koz till 59 koz guldekvivalenter (GE[1]) under 2021, en ökning med 5-11 % jämfört med 53,1 koz GE som producerades 2020. Bolaget planerar investeringar på cirka 56 miljoner USD under 2021 i projekt för produktionstillväxt och prospektering. Utgifterna kommer att finansieras genom befintliga lånefaciliteter och förväntat kassaflöde från produktionen.


KOPY GOLDFIELDS PROVIDES GUIDANCE FOR 2021 GOLD PRODUCTION AND CAPEX

INSIDE INFORMATION: Kopy Goldfields AB's (publ) ("Kopy Goldfields" or "the Company") target is to produce 56 koz to 59 koz of gold equivalent (GE[1]) in 2021, an increase of 5-11% compared to 53.1 koz of GE produced in 2020. The Company plans capital expenditures of around USD 56 million in 2021 on production growth and exploration projects. The expenditures will be funded through existing available debt facilities and expected cash flow from production.


Följ oss

Om beQuoted

beQuoted publicerar nyheter, analyser och pressmeddelanden för investerare och journalister. Viktiga företagshändelser bevakas av vår egen nyhetsredaktion och vidaredistribueras i ledande finansiella medier.

Vi uppdaterar även nyhetsrum, Investor Relations och IR-webbplatser för företag som vill utveckla sina relationer med finansmarknaden.

Kontakta oss

beQuoted AB
Nybrogatan 34
Box 5216
SE-102 45 Stockholm, Sweden

08-692 21 90

Om beQuoted