Trouble with equipment slowed production during the latest quarter for Monarques Gold Corp. (TSX-V:MQR), limiting gold ounces modestly for the Saint-Sauveur, Quebec-based company for the third quarter of fiscal 2018, ended March 31, 2018.
Ahead of Monday's opening bell, Monarques released certain production and financial results from the January-to-March period.
During the quarter, Monarques produced 4,932 ounces of gold, down 9% from 5,444 in the second quarter. The first gold bar from the Beaufor mine since Monarques acquired the project was completed in October.
Management said that outside a planned shutdown for maintenance at its Camflo mill and the breakdown of ore-hauling equipment, production held the same pace as the prior quarter at Beaufor in the Abitibi mining camp in Quebec. CEO Jean-Marc Lacoste noted that all hauling issues were resolved during the quarter.
For the six months ended March 31, 2018, gold production for Monarques totaled 10,376 ounces.
Revenue for the quarter was $9.8 million, generated from the sale of 4,823 ounces of gold at an average price of $1,624 per ounce and from custom milling, which was up 17% during the period. Last month, Monarques reported revenue of $10.3 million during the second quarter of fiscal 2018.
Thanks in part to completing a non-brokered private placement during the quarter that raised gross proceeds of $5 million, the company ended the quarter with in excess of $18 million in cash on hand.
No other financial results were disclosed at this time.
On the exploration and development front, the company touched on highlights from the quarter across its portfolio of properties, including the completion of a drilling program at the Beaufor Mine, the pre-feasibility study for its Croinor Gold property, an upcoming NI 43-101 gold resource estimate for its McKenzie Break and Swanson properties, planned drill programs and a potential "game changer" at its Wasamac gold project pertaining to trucking material from the deposit to an existing processing facility.
After hitting a four-month high at 42 cents in January, shares of MQR have struggled, including slumping 8.5% to close Friday at 27 cents. Shares have bounced in early trading Monday, gaining 3.7% to 28 cents on light volume.
