Gran Colombia Gold Corp.
Company Data
| Introduction
| Projects in Hand
| Management
News Update
| Chinese
| Address ： |
333 Bay Street, Suite 1100 Toronto, Ontario Canada M5H 2R2 |
| Tel No.： | (416) 360-4653 |
| Fax No.： | (416) 360-7783 |
| Web Site： | www.grancolombiagold.com |
| E-mail： | investorrelations@grancolombiagold.com |
| Contact Person： | Roy MacDonald |
| Position： | VP Investor Relations |
| Traded Market： | TSX |
| Traded Symbol： | GCM |
| Outstanding Shares： | 15,279,391 |
| 52 Week High： | $ 7.50 |
| 52 Week Low： | $ 0.74 |
| Present Price： | Click Here |
Gran Colombia Gold Corp. is a Canadian-based gold and silver exploration, development and production company with its primary focus in Colombia. Gran Colombia is currently the largest underground gold and silver producer in Colombia with several underground mines in operation at its Segovia and Marmato operations. In addition, Gran Colombia is advancing a project to develop a large-scale, gold and silver mine at its Marmato operations.
(1) Segovia Project, Colombia
Gran Colombia Gold produces gold from the Segovia Project in the Segovia-Remedios mining district of Antioquia in the Segovia Batholith, approximately 220 km northeast of Medellin. The Segovia Project includes four operating underground gold mines (El Silencio, Providencia, Sandra K, and Carla), the Las Aves and Poma Rosa Vein Systems (collectively referred to as Las Verticales). In 2012, Segovia produced 79,178 ounces of gold and 88,856 ounces of silver.
The April 2012 NI 43-101 compliant estimated mineral resources at Segovia at a cut-off grade of 3.0 g/t Au:
| Category | Gold Resource(Oz) | Grade(g/t) |
| Measured | 136,000 | 16.1 |
| Indicated | 156,000 | 9.9 |
| Inferred | 1,138,000 | 13.6 |
The Company commenced a drilling campaign of 80 holes and 20,000 metres at the Segovia Project in October 2012 to upgrade and expand the mineral resources at Segovia. The ongoing drilling program returns significant results, with several intercepts showing visible gold and grades of more than one ounce of gold per tonne of ore. These drill intercepts include 0.42 meters grading 663.32 grams per tonne (g/t), 0.30 meters grading 340.84 g/t, 0.30 meters grading 172.67 g/t, 0.50 meters grading 101.36 g/t and 2.60 meters grading 42.31 g/t. The Company expects to finalize an updated NI 43-101 resource estimate for Segovia in mid-2013.
Segovia produced 19,052 ounces of gold and 27,574 ounces of silver in the first quarter of 2013. Gold production at the Segovia Operations was up 13 percent from the fourth quarter of 2012.The Company successfully increased tonnes processed to an average of 918 tpd for the first quarter of 2013. In the months of March and April 2013, the daily rate averaged over 1,000 tpd. Gold production at the Segovia Operations also benefitted from an improvement in mill recovery to 83 percent. Mine development work is continuing at the Segovia Operations to improve average head grades by the end of the second quarter of 2013.
Pampa Verde
As announced on October 30, 2012, Gran Colombia closed a US$100 million financing with the proceeds to be used for the Pampa Verde project at the Company's Segovia Operations. This new mechanized mining operation and plant is designed to significantly lower production costs and increase the production rate at Segovia to 200,000 ounces of gold annually. The project includes the construction of a 2,500 tpd mill and the development of a new, mechanized underground mine to access new vein deposits, as well as improve access to the existing mining operations.
(2) Marmato Project, Colombia
The Marmato Project in Caldas department is in the heart of the Middle Cauca gold district some 80 km south of Medellin. The Project has excellent infrastructure. In 2012, Marmato produced 21,717 ounces of gold and 35,176 ounces of silver in an underground operation.
Based on 216,000 metres of drilling completed, the June 2012 NI 43-101 compliant estimated mineral resources at Marmato at a cut-off grade of 0.3 g/t Au:
| Category | Ore | Gold | Silver | ||
| Tonnes(million) | Grade(g/t) | Ounces | Grade(g/t) | Ounces | |
| Measured | 51.1 | 1.05 | 1,725,000 | 4.87 | 8,011,000 |
| Indicated | 358.5 | 0.87 | 10,064,000 | 6.27 | 72,319,000 |
| Measured & Indicated | 409.7 | 0.90 | 11,789,000 | 6.10 | 80,330,000 |
| Inferred | 79.1 | 1.02 | 2,588,000 | 3.71 | 9,429,000 |
At Marmato Underground, operations remained steady in the first quarter of 2013, produced 5,298 ounces of gold and 9,854 ounces of silver, with 679 tpd milled at an average head grade of 3.0 g/t, a mill recovery of 88.9% and cash costs of $1,177 per ounce. Gold production is expected to be 20,000 ounces in 2013.
The Company's near-term focus at the Marmato Project is to complete and publish the prefeasibility study for the modernization and expansion of its current underground operation. The Company is making progress with Roscoe Postle and Associates and other technical consultants and expects to be in a position to publish the underground prefeasibility study and a supporting NI 43-101 mid-year 2013.
Outlook
In 2013, the Company will focus on cost reductions and limiting capital investments to support an expected production level of 110,000 ounces of gold. Production at its Segovia Operations is expected to reach 90,000 ounces of gold in 2013 and production from the underground mine at Marmato is expected to total approximately 20,000 ounces of gold.
Building the leading Colombia focused gold producer
- Gold production of 100,895 ounces in 2012
- Two world class projects (Segovia and Marmato)
- Triple Segovia production to an annual rate of 200,000 ounces of gold
- Marmato in prefeasibility study (PFS), target production of 340,000 ounces of gold annually
Be a positive agent of change for our communities
- Corporate commitment to best in class practises
- Foundations and outreach focused on communities, education, health and safety
Management
Lombardo Paredes, Chief Executive Officer
Over 20 years of corporate leadership and operations management experience in the resource sector in Latin America
Maria Consuelo Araujo, President
Former Minister of Foreign Affairs in Colombia
Mike Davies, CFO
A Chartered Accountant with more than 20 years of experience in international and mining companies
Gabriel Gaviria, Vice President of Mining Operations
Over forty years of experience in mining operations in Colombia, with more than 20 years of experience in operating Marmato Underground
Vicente Mendoza, Chief Project Director
Over 39 years of mining experience in Colombia and Venezuela
Alessandro Cecchi, Director of Exploration
An exploration geologist with over eighteen years of experience in South America
Jose Noguera, Vice President of Corporate Affairs
More than 20 years of experience in the mining and energy sector
Peter Volk, General Counsel
Over 24 years of experience in the resource sector
Directors
Serafino Iacono, Executive Co-Chairman
Founder and Co-Chairman of Pacific Rubiales Energy Corp.
Miguel de la Campa, Executive Co-Chairman
Founder and Co-Chairman of Pacific Rubiales Energy Corp.
Jaime Perez Branger
Founder and Managing Director of Nextventures Corp.
Robert Hines
Managing Partner with CTPartners
Hernan Martinez
Former Colombian Minister of Mines and Energy
Robert Metcalfe
Counsel at Metcalfe, Blainey & Burns LLP
On February 28, 2014, Gran Colombia Gold Corp. announced that it has signed an amended and restated underwriting agreement with GMP Securities LP increasing the size of its previously announced offering to 7.5 million units at a price per unit of $1.93 for aggregate gross proceeds to the Company of $14,475,000.
On February 26, 2014, Gran Colombia Gold Corp. announced that it has entered into an underwriting agreement with GMP Securities LP. The underwriting agreement provides for the purchase of 6.5 million units of Gran Colombia at a price per unit of $1.93 for aggregate gross proceeds to the company of $12,545,000.
On February 19, 2014, Gran Colombia Gold Corp. announced that it has filed an amended and restated preliminary short form prospectus in all of the provinces of Canada, except Quebec, which amends the prospectus filed on November 19, 2013. The amended and restated preliminary short form prospectus reflects the Company's recent developments (management changes, bridge loan and cost reductions) as described in the press release dated February 3, 2014.
On February 3, 2014, Gran Colombia Gold Corp. announced management restructuring, further cost reductions to deliver an all-in sustaining cost of $950 per ounce in 2014 and receipt of a $4 million bridge loan. The Company has appointed Lombardo Paredes as chief executive officer of Gran Colombia Gold. Mr. Paredes has over 20 years of corporate leadership and operations management experience in the resource sector in Latin America. Maria Araujo will be appointed as president of the Company.
On November 14, 2013, Gran Colombia Gold announced third quarter 2013 results with a further reduction in all-in sustaining costs.
Key highlights include:
- For the first nine months of 2013, the Company produced a total of 80,687 ounces of gold and 118,087 ounces of silver, up 2.4 per cent and 29.7 per cent, respectively, over the same period in 2012.
- All-in sustaining costs of $1,226/oz in Q3, a $52/oz improvement over Q2’13 and a $319/oz improvement over Q1’13 – further improvements expected in Q4’13
- Development of Pampa Verde, the Company’s new low-cost, mechanized mining operation at high-grade Segovia asset is progressing on plan – all permits required to complete construction have been obtained and earthworks are underway
- GCM has adjusted its full year production guidance to a range of 106,000 to 108,000oz of gold, down slightly from the original guidance of 110,000oz issued on March 1, 2013
On November 4, 2013, Gran Colombia Gold Corp. announced that it will release its financial results for the third quarter of 2013 after market close on Thursday, November 14, 2013, and will host a conference call and webcast on Friday, November 15, 2013, at 9 a.m. Eastern Time and Bogota time to discuss the results.
Webcast and call-in details are as follows:
Toronto and international: 1-866-215-5508
North America toll-free: 1-888-771-4371
Colombia toll-free: 01-800-9-156-924
Conference ID: 35977472
A replay of the webcast will be available at the Company's website from Friday, November 15, 2013, until Thursday, December 15, 2013.
On October 15, 2013, Gran Colombia Gold Corp. announced that the Company produced a total 9,758 ounces of gold and 13,603 ounces of silver in September, 2013, from its underground mining operations at Segovia and Marmato in Colombia. This brings total gold production for the third quarter of 2013 to 29,186 ounces, up 8.4% over the third quarter last year. For the first nine months of 2013, the Company produced a total of 80,687 ounces of gold and 118,087 ounces of silver, up 2.4% and 29.7%, respectively, over the same period in 2012.
Gran Colombia Gold Corp. attended the Precious Metal Summit and the Denver Gold Forum in Colorado in September 2013. At GCM, Gran Colombia Gold remains focused on cash, costs and execution in 2013 and things are progressing well for the Company. With the release of its August production results, the Company remains on target to produce 110,000 oz of gold in 2013 and the Company reduced spending by an annualized rate of $21M.
On September 12, 2013, Gran Colombia Gold Corp. announced that it has produced a total of 9,988 ounces of gold and 15,273 ounces of silver in August, 2013, from its underground mining operations at Segovia and Marmato in Colombia. This brings year-to-date total production to 70,939 ounces of gold and 104,475 ounces of silver.
On August 21, 2013, Gran Colombia Gold Corp. announced that it has produced a total 9,441 ounces of gold and 10,794 ounces of silver in July, 2013, from its underground mining operations at Segovia and Marmato in Colombia. This brings year-to-date total production to 60,942 ounces of gold and 89,201 ounces of silver.
On August 14, 2013, Gran Colombia Gold Corp. announced second quarter 2013 results. The Company had record gold production of 27,151 ounces for the second quarter of 2013, with a 12-per-cent increase from the first quarter of 2013, including a 15-per-cent increase at the Segovia operations. The Company loses US$56.13-million in the second quarter of 2013, compared to the Company lost US$13.72-million in the second quarter of 2012.
All-in sustaining costs decreased by $267 per ounce in the second quarter of 2013 to $1,278 per ounce and are expected to trend down over the balance of the year to below $1,150 per ounce in the fourth quarter of 2013.
On August 12, 2013, Gran Colombia Gold Corp. announced that it has recently taken steps in phase III of its continuing program to reduce operating costs at its Segovia operations, cutting $400,000 per month, approximately $53 per ounce, through a work force reduction.
The Company also announced extension of the Providencia ore shoot in latest drill results at its Segovia project. An exploration program of four holes totalling approximately 1,000 metres is currently being drilled. Hole ZC-003 returned 5.34 metres at 19.41 g/t gold.
On August 1, 2013, Gran Colombia Gold Corp. announced a significant reduction in all-in sustaining costs in July to approximately $1,200 per ounce, and a 58% increase in the high grade NI 43-101 Measured and Indicated resources at its producing Segovia operations located in Colombia.
NI 43-101 Measured and Indicated resources increased to 461,000 ounces of gold with an average grade of 15.2 grams per tonne (g/t). The mineral resource update also includes an additional 1,443,000 ounces of gold with an average grade of 11.0 g/t in the Inferred category.
Total gold production increased by 12 per cent to 27,151 ounces for the second quarter of 2013 bringing the first half of 2013 total gold production to 51,501 ounces. The Company also produced 73,641 ounces of silver in the first half of 2013.
On July 22, 2013, Gran Colombia Gold Corp. announced that, in a continued effort to reduce the general and administrative expenses of the Company, Robert Doyle, Alfonso Lopez Caballero, Augusto Lopez and Mario Pacheco have voluntarily resigned from the Board of Directors effective July 22, 2013.
On June 24, 2013, Gran Colombia Gold Corp. announced that its gold production at its Segovia operations in April and May, 2013, was 14,367 ounces, or 235 ounces per day, an increase of 11 per cent over average gold production of 212 ounces per day in the first quarter of 2013.
The month of May also reflected positive results from the Company's cost-cutting initiatives, with cash costs at the Company's Segovia operations improving to $1,073 per ounce, down from $1,315 per ounce in the first quarter of 2013.
On June 14, 2013, Gran Colombia Gold Corp. announced that it has received approval for the proposed consolidation of its issued and outstanding common shares on a one-for-25 basis. As a result of the consolidation, there will be 15,279,936 common shares issued and outstanding on a post consolidated basis. The Company has also consolidated all of its issued and outstanding warrants on the same basis.
On June 7, 2013, Gran Colombia Gold Corp. announced the voting results of the annual and special meeting of the shareholders which was held on Friday, May 31, 2013.
The ten re-elected directors of the Company are:
- Serafino Iacono
- Miguel de la Campa
- Jaime Perez Branger
- Robert Doyle
- Robert Hines
- Augusto Lopez
- Alfonso Lopez Caballero
- Hernan Martinez
- Robert Metcalfe
- Mario Pacheco
On May 14, 2013, Gran Colombia Gold Corp. announced its unaudited condensed consolidated financial statements and accompanying management's discussion and analysis (MD&A) for the first quarter of 2013 and the results of its ongoing exploration at its Segovia Project. All financial figures contained herein are expressed in U.S. dollars.
Highlights:
- Total gold production of 24,350 ounces
- Revenue of $37.6 million ($1,639 per ounce of gold sold)
- Total cash cost averaged $1,281 per ounce of gold
- Cash margin of $358 per ounce of gold sold
- Gross margin of $4.1 million
- General and Administrative (G&A) expenses of $3.6 million
- Net income of $9.4 million