LONDON, ENGLAND and BAIE VERTE, NEWFOUNDLAND AND LABRADOR -- (Marketwire) -- 03/27/13 -- Rambler Metals and Mining PLC (TSX VENTURE: RAB)(AIM: RMM) ("Rambler" or the "Group") today is pleased to report its financial results and operational highlights for the three months ended 31 January 2013. The Group achieved a maiden net profit of CAD$2 million and operating cash flows of CAD$ 5 million in its first full quarter as a commercial copper and gold producer.
The accompanying financial information for the quarter ended 31 January 2013 has not been reviewed or audited by the Group's auditor.
-- Shipped first copper concentrate, totaling approximately 8,873 wet metric tonnes (wmt), via the Group's port facility at Goodyear's Cove, Newfoundland and Labrador. Shipped a further 3,150 wmt subsequent to quarter end on 23 February 2013 at the request of the Group's off-take partner-- Total of 4,350 wmt (Q1'13: 4,955 wmt) of concentrate produced for the quarter. A total of 11,579 wmt of copper concentrate produced since the start of commissioning in May 2012-- Concentrate produced during the second quarter averaged 28% copper with 7 g/t gold and 51 g/t silver (Q1'13: 27% copper with 6g/t gold and 49 g/t silver) with milling recoveries for copper and gold averaging 88% and 62% respectively (Q1'13: 90% and 65% respectively)-- Copper recoveries averaged 85% in November but improved to 91% over December and January 2013, in line with anticipated recoveries-- In January an up-dip extension of the 1807 zone, above the current mining reserve, was discovered. The Company is evaluating the potential of new economically viable stoping blocks further up-plunge-- Appointed Robert Mcguire, P.Eng., as General Manager at the Ming Copper- Gold Mine. Tim Sanford, P.Eng., the previous General Manager was promoted to Vice President Technical Services
Financial Highlights (All expressed in CAD$)
-- The Group achieved a maiden net profit of $1,958,000 in the quarter (EPS $0.014 per share) from a loss of $718,000 in Q1'13 (loss $0.005 per share)-- Earnings before interest, taxes, depreciation and amortisation (EBITDA) of $3,684,000-- Revenue: $11.4 million in Q2; (Q1'13: $9.5 million)-- Cash flows generated from operating activities for Q2'13 were $4,978,000 compared with cash utilized of $1,157,000 in Q1'13 and cash utilized of $530,000 in Q2'12. The generation of cash from operations reflects the commencement of commercial production and a change in accounts receivable, inventory and account payable balances-- Cash resources (including short-term investments) as at 31 January 2013 were $7.3 million and as of 27 March 2013 had decreased to $5.0 million. Operating cash flows are anticipated to continue to build throughout the balance of the fiscal year in line with the move to commercial production at the beginning of Q2'13-- Initiated payback of $7.5 million credit facility with a $500,000 payment on 30 November 2012. Subsequent to quarter end, the Group agreed terms for the extension of its $10 million credit facility to 31 March 2014