While still in the red,
For the three months ended Sept. 30, the junior lost $47,000 on revenue of $1.8 million, compared with losses of $481,000 on $1.4 million in the corresponding period of 1997.
St Andrew attributes the improvement to higher throughput, lower milling costs and bonuses related to gold recovery rates at its Stock mill near Matheson, Ont. The company processed 81,749 tonnes in the recent quarter — 18,375 tonnes more than a year ago — while maintaining recovery rates at 96.3%.
St Andrew has expanded the Stock operation to 1,200 tonnes per day, and the increased throughput is expected to lower future unit costs by 10%. Additional improvements are planned, including the installation of a primary jaw crusher.
For the 9-month period ended Sept. 30, the company lost $402,000 on revenue of $5.1 million, compared with losses of $2 million on $2.8 million in the equivalent period of 1997. (St Andrew received no revenue in the first quarter of 1997, as its custom milling contracts did not begin until April.)
Cash generated from operations, before changes in working capital, was $227,000 and $401,000 in the recent 3- and 9-month periods, respectively, compared with cash expenditures of $229,000 and $1.5 million in the corresponding periods last year.
St Andrew spent $1.1 million on exploration in the third quarter, bringing its 9-month total to $7 million. The company owns, or is earning interests in, several gold properties in the Matheson area.
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