Advertisement
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 03/07/13 -- Sirocco Mining Inc. (TSX: SIM) ("Sirocco" or "the Company") is pleased to report financial and operating results for the year ended December 31, 2012. The consolidated financial statements together with Management's Discussion and Analysis will be available on the Company's website (www.siroccomining.com) and on SEDAR (www.sedar.com).
In 2012, the Company achieved strong financial results compared to 2011, with increased production supported by strong iodine prices.
The Company's 2012 operating highlights were:
-- Iodine production of 1,224 tonnes (2011: 1,122 tonnes)-- Average realized iodine prices of $61 per kilogram (2011: $40/kg)-- Gross profit of $23.6 million (2011: $7.1 million)-- Net income of $6.7 million (2011: loss of $24.3 million)-- Cash flow from operations of $18.6 million (2011: $4.5 million)-- Bank debt reduction of $11.0 million (2011: increase of $8.9 million)
Commenting on the results, Rick Clark, CEO, stated: "We are very encouraged with the progress made at Aguas Blancas in our first full year in management. With a combination of strong iodine pricing (up 52% year on year) and increasing production (up 9% year on year), we were able to deliver significant improvements in profitability with a 232% increase in gross profit and net income of $6.7 million compared to a large loss in 2011. Significantly, cash flow from operations also increased almost fourfold year on year. With operational changes underway we look forward to continued increase in Iodine production in 2013."
The table below summarizes key financial and operating results of the Company for the last three years.
----------------------------------------------------------------------------Year Ended Dec-12 Dec-11 Dec-10--------------------------------------------------------------------------------------------------------------------------------------------------------Tonnes mined ('000t) 4,146 4,488 3,804----------------------------------------------------------------------------Average grade of ore mined (ppm) 537 581 623----------------------------------------------------------------------------Iodine Produced (t) 1,224 1,122 1,256----------------------------------------------------------------------------Iodine Sold (t) 1,226 1,134 1,244----------------------------------------------------------------------------Cash operating cost ($/kg) (Note) 37 31 21----------------------------------------------------------------------------Total revenues ($000's) 74,836 45,076 33,989----------------------------------------------------------------------------Gross profit ($000's) 23,552 7,057 4,184----------------------------------------------------------------------------Net Income (loss) ($000's) 6,749 (24,312) (2,380)----------------------------------------------------------------------------Income (loss) per share, diluted 0.03 (0.15) (0.01) ($)--------------------------------------------------------------------------------------------------------------------------------------------------------Total assets ($000's) 188,154 127,689 112,246----------------------------------------------------------------------------Long-term liabilities ($000's) 8,274 10,861 5,048----------------------------------------------------------------------------Note: this is a non-GAAP measure. It was calculated by dividing cost of sales, adjusted for related depreciation and stock-based compensation, by quantities of iodine sold in the period.
