Serabi Gold (SRB) Q2 2024 TU earnings summary

Executive summary

• Q2 2024 gold production reached 9,003 ounces, a 6% increase year-over-year, with Coringa contributing 4,752 ounces and Palito 4,251 ounces.

• Palito plant processed a record 55,192 tonnes of ore, maintaining high throughput for six consecutive months.

• Cash balance at June 30, 2024, was $12.0 million, up from $11.6 million at year-end 2023; net cash at $6.6 million after loans and leases.

• Construction of the Coringa classification plant is progressing, with the crusher expected operational in August and ore sorter by Q4.

• FY2024 consolidated gold production guidance reiterated at 38,000–40,000 ounces.

Financial highlights

• Cash held at quarter-end was $12.0 million, compared to $11.1 million at March 2024 and $11.6 million at December 2023.

• Net cash balance at Q2-end was $6.6 million, up from $5.0 million at December 2023.

• $5.0 million unsecured loan arranged in January 2024, repayable January 2025 at 8.47% interest, used for working capital.

Outlook and guidance

• FY2024 gold production guidance maintained at 38,000–40,000 ounces.

• Optimism for H2 2024 as Coringa classification plant and ore sorter come online.

• Anticipation of improved Palito grades returning to 6–7 g/t Au range seen in early 2023.