The third quarter of fiscal 2009 was an eventful one for Kirkland Lake Gold, which saw gold production jump by 21 per cent while still being unable to avoid operating losses of $4.7 million.
Gold revenues for the quarter reached $8.6 million from production of 10,081 ounces from higher-grade hoisted ore.
This marks a three per cent drop from the previous quarter, where gold revenues hit $8.8 million the report states.
This quarter's operating loss of $4.7 million compares to the loss of $4.8 million seen in the prior quarter. The same quarter in fiscal 2008 saw a loss of $1.9 million.
Operating expenses dropped by five per cent against the previous quarter, dropping to $11.3 million from $11.9 million. This decrease is being attributed to general site expenses and gold inventory levels, though these were offset somewhat by increases in mining and milling, it states.
Kirkland Lake Gold's cash resources reached $14.8 million by late January 2009, a figure which increased to $30.3 million by March 16.
This quarter has been a busy one for the company, which released all its mining contractors in December and replaced them with company employees the following month. The number of full-time employees rose 49 per cent to 348 over the previous quarter.
Annual production for the fiscal year ending April 30, 2009 is slated to reach between 46,000 and 50,000 ounces.
"As it expands its workforce and production the company is in the fortunate position of having sufficient cash resources and is well positioned for a successful 2010 fiscal year in terms of production, exploration and financial performance," said Harry Dobson, chairman of Kirkland Lake Gold, in a release.
