Lower earnings for FMC Gold

New York-listed FMC Gold reported net income of US$600,000 for the recent fourth quarter, down $2.5 million from the same period last year.

The closure of the Paradise Peak mill in Nevada and the Royal Mountain mine in California contributed to the 57% loss in fourth-quarter sales. However, disappointing grades and recoveries were partially offset by higher metals prices.

FMC produced 29,000 oz. gold in the quarter, compared with 64,000 oz. in the same period last year.

At Paradise Peak, a decline in production to 5,000 oz. resulted from the winding down of heap leaching.

The Jerritt Canyon mine, 30% owned by FMC, also showed a decline in production, as caused by lower mill grades and recoveries. The company’s share of production from this Nevada operation dropped to 24,000 oz. in the last quarter, down 31,000 oz. from the previous year.