Strong first quarter for Echo Bay

Improvements at two Nevada gold mines have helped Echo Bay (TSE) post exceptionally strong first-quarter results.

The company produced a total of 253,218 oz. gold — a new record, up 31% from the previous year’s first quarter. Silver production totaled 2.3 million oz., up 11%.

Revenues rose as well, to US$103.1 million from US$83.8 million, while production costs shrunk to US$199 from US$215 per oz.

The results are partly due to milling of unusually high-grade sulphide ore at the Cove-McCoy mine, as well as higher production at the Round Mountain mine. Round Moutain’s improvements stem from the startup of a dedicated leach pad and longer leach cycles.

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