Rambler delivers successive better-than-planned quarter

VANCOUVER (miningweekly.com) – Maritime Canada gold and copper producer Rambler Metals & Mining has reported a second consecutive stellar performance from its flagship Ming mine, in Newfoundland and Labrador, during the three months ended October 31.

For the first fiscal quarter of 2017, the Aim- and TSX-V-listed miner produced 69 609 t of ore, in line with the previous quarter, and a near-20% improvement on the comparable prior-year quarter.

Rambler achieved the improved performance while continuing its expansion into the lower footwall zone (LFZ) and implementing project optimisation for the Phase 2 expansion, with a new projected mine life of more than 21 years.

“During the next two to three quarters we envisage a steady increase in production rates targeting our first expansion milestone of 1 250 t/d from the mine by mid-2017. Through this LFZ development we will enable the mine to continuously deliver at these higher targeted rates by incorporating much larger stoping blocks into the production plan,” said president and CEO Norman Williams.

Revenue in the quarter eased to $6.96-million, from $8.5-million in the same period of 2015, after adjustments arising from second provisional invoices and final settlement of provisional invoices.

Underlying earnings, or Ebitda, declined to $349 000, from $2.22-million the previous year.

The after-tax net loss for the period was $1.8-million, or $0.004 a share, which compares with a loss of $12.8-million, or $0.067 a share for the prior quarter and a profit of $300 000, or $0.001 a share for the same quarter a year earlier. Rambler ascribed the narrower net loss to a noncash impairment charge recorded in the fourth quarter, and the greater year-on-year loss to lower output and lower prices.

Shares in Rambler fell as much as 1.3% to 9.50p in London, having more than tripled in value since the start of this year.