Orosur Mining Orosur Mining Inc. H1 2017 Results: $3.7M Profit, $7.0M Cash From Operations and New San Gregorio UG Mine Put i...

 
TIDMOMI 
 

Orosur Mining Inc. ("Orosur" or "the Company") (TSX/AIM: OMI), the South American-focused gold producer, developer and explorer is pleased to announce the results for the first half of its fiscal 2017 ("H1 17") and second quarter ended November, 2016 ("Q2 17" or the "Quarter") and an update of its exploration and development activities in Uruguay.

OPERATIONAL HIGHLIGHTS

 
 
    -- The San Gregorio West Underground ("SGW UG") mine commenced full 

production from its maiden stope on November 24, 2016

Project completed on budget and on schedule following a safe and

efficient transition of equipment and staff from Arenal

Construction included over 883m of horizontal development and

approximately 663m of infill diamond drilling from 13 underground

holes comprising the bulk of the zones to be mined within the

existing FY17 SGW mine plan

 
    -- An additional 90,000 tonnes at 1.4 g/t Au not previously in the 

mine-plan were produced at Arenal UG mine prior to its planned closure

at the end of Q2 17, deferring higher grade production from SGW UG

 
    -- Production for the Quarter of 6,852 oz was, as previously guided, 

affected by the transition from Arenal UG to the new SGW UG mine

FINANCIAL HIGHLIGHTS

 
 
    -- Quarterly cash operating costs were $914/oz, in line with 

expectations(Q2 16: $858/oz)

Guidance for FY 17 remains $800 to $900/oz

 
    -- Additional development capex related to the contruction of the SGW UG 

mine in Uruguay resulted in All-In-Sustaining costs ("AISC") for the

Quarter of $1,345/oz (Q2 16: $1,095/oz)

 
 
    -- Transition from Arenal UG to the new SGW UG mine led to an increase on 

Capital Expenditure ("capex") to $3.8M (Q2 16: $0.9M)

 
    -- Cash generated from operations increased in Q2 17 to $2.2M (Q2 16: 

$0.9M). Total cash balance at period end of $5.4M, increased from Q1

17: $5.0M, and FY 16: $4.3M

 
    -- Q2 17 Net profit after tax of $0.9M (Q2 16: loss of $0.9M) 

Average gold price for the quarter was $1,252/oz (Q2 16: 1,100/oz)

OUTLOOK

 
 
    -- Exploration drilling in and around the San Gregorio UG area has 

yielded positive results, successfully intersecting gold

mineralization in every hole, which are expected to significantly

enhance mine economics and increase reserves and resources in the

short and medium term. Further drilling is underway

 
    -- During H2 FY17, the Company plans to accelerate exploration in open 

pit targets around the San Gregorio plant after receiving several

permits and to drill seven RC/DD holes (1,600m) in the Arenal-SG

corridor to test the occurrence of what could be a relatively large

deposit

 
    -- In Colombia, the Company is finalizing a geological model of its high 

grade Anzá gold project project to determine the exploratory potential

with the assistance of Mine Development Associates ("MDA") of Reno,

Nevada. The results of this work are expected to be announced shortly

Ignacio Salazar, CEO of Orosur, said:

"Operations remain healthy and profitable, with $7M of cash generated in the first half of our fiscal 2017.The successful transition to San Gregorio UG as the Company's primary source of ore feed to the plant in Uruguay, was a significant achievement for Orosur.The SGW UG mine successfully started production from its first stope on November 24 on time and within budget.

"The transition, achieved in a safe, professional manner, represents a significant technical and operational achievement and I am pleased with the technical capacity and execution demonstrated by our team. It was financed entirely from operational cash flow helped by the efficient transfer of equipment and staff between the two undergound mines.

"In parallel, more active and aggressive exploration work in Uruguay appears to have a good likelikood of enhancing the San Gregorio underground project and advancing the open pit projects around the plant. In Colombia, we are making good progress in the geological interpretation and modelling of our high grade Anzá gold project and expect to be updating the market shortly."

 
Operational 
& 
Financial 
Summary1 
                          Q2 17          Q2 16         Diff     YTD 17         YTD 16        Diff 
Operating 
Results 
Gold            Ounces    6,852          8,172         (1,320)  16,802         20,643        (3,841) 
produced 
Operating       US$/oz    914            858           56       783            916           (133) 
cash 
cost3 
AISC            US$/oz    1,345          1,095         250      1,135          1,138         (3) 
Average         US$/oz    1,252          1,100         152      1,290          1,127         163 
price 
received 
Financial 
Results 
(unaudited) 
Net             US$ '000  942            (870)         1,812    3,701          (2,596)       6,297 
profit/(loss) 
after 
tax 
Cash            US$ '000  2,234          924           1,310    7,029          1,097         5,932 
flow 
from 
operations2 
Cash &                    Nov. 30, 2016  Aug 31, 2016  Diff     Nov. 30, 2016  May 31, 2016  Diff 
Debt 
Summary 
(unaudited) 
Cash            US$ '000  5,376          4,982         394      5,376          4,320         1,056 
balance 
Total           US$ '000  225            289           (64)     225            352           (127) 
debt 
Cash net        US$ '000  5,151          4,693         458      5,151          3,968         1,183 
of debt 
 
 

1 Results are based on IFRS and expressed in US dollars

2 Before non-cash working capital movements

3 Operating cash cost is total cost discounting royalties and capital tax on production assets.

Q2 17 Operations and SGW Development

Q2 17 production was 6,852 oz of gold, compared to 8,172 oz in Q2 16. The reduction is due to the implementation of the strategic plan previously announced in July 2015, in response to the lower gold price environment. Additionally, in this Quarter, the Company transitioned from its underground operation at Arenal to the new mine in San Gregorio, which resulted in lower quarterly production, as previously announced and guided.

The Company defined and processed an additional 90,000 tonnes grading 1.4 g/t from the Arenal UG, which were not previously in the mine-plan or reserve base. The absence of development and mine fortification costs at Arenal in its final stages allowed the economic mining of ore with lower grades. In the short term, this has deferred higher grades previously planned for Q2 17 to the future, however management considers it is economically positive for the Company in the medium and long run.

The construction of the SGW UG mine was completed on time and budget to allow first stope production to commence on November 24th. The development included a total of 883 m of horizontal development, as well as the drilling of a 103 m ventilation chimney. The ventilation development work was conducted by Peruvian contractor, Tumi, using a 3.1 m diameter raise borer. The raise borer technology was chosen to carry out the ventilation shaft work due to its productivity, reliability and cost advantages.

During the Quarter, a total of 13 underground diamond holes were drilled, amounting to 663 m of infill drilling in SGW UG. This drilling campaign was designed to enable a more thourough assessment of the geometry and grade of the mineralized body in levels from +35m up to -5m, which entered into production at the end of Q2 17 and comprises the bulk of the scheduled FY 17 production from the SGW UG mine.

Q2 17 Financial Summary

Average cash operating costs were of $914/oz, compared to $858/oz in Q2 16. As already announced, the Company had previously budgeted and expected higher unit costs in Q2 17, as a result of the shift of its underground staff and equipment from the Arenal UG operation in its final months of production to the new SGW UG mine.

During the Quarter, the Company invested $3.8M in capex and $0.6M in exploration compared to $0.9M and $0.7M, respectively, in Q2 16. During Q2 17, the Company increased its investment in the construction of the SGW UG ramp and access and finalized the construction of the ventilation shaft. In addition, the Company advanced the construction of the phase 4A of the tailings dam. As of a result of the additional capex, AISC were $1,345/oz compared to $1,095/oz in Q2 16.

The average gold price realized for the Quarter was $1,252/oz (Q2 16: $1,100/oz).

Profit before tax for the quarter was $1.0M compared to a loss of $0.9M in Q2 16. Net profit after tax was $0.9M compared to a loss of $0.9M in Q2 16.

Cash flow from operations before working capital variations was $2.2M compared to $0.9M in Q2 16. YTD cash flow from operations before working capital variations was $7.0M compared to $1.1M for the prior year due to better operating performance and higher revenue.

The cash balance at the end of the Quarter was $5.4M compared with $4.3M at May 31, 2016. The Company's debt balance was $0.2M compared to $0.4M at May 31, 2016 related to minor equipment leases.

FY17 Outlook & Guidance

The Company's forecast production guidance for FY17 remains between 35,000 to 40,000 oz of gold at operating cash costs of between $800 - $900/oz.

As in the past, variations in production and unit costs are expected to occur, quarter on quarter, as the mine plan draws ore from multiple sources at varying grades, stages of development and stripping factors. As already announced, the Company incurred higher unit costs in Q2 17 due to the transition from the Arenal UG to the SGW UG mine which are expected to gradually decrease during the remainder of the Company's FY17.

Uruguay Underground Exploration Projects - Potential for Significant Expansion of the SGW UG Mine

SGW UG is a continuation, at depth, of the historic San Gregorio open pit deposit which has produced approximately 536,000 oz at an average grade of 2.12 g/t. During FY17, the Company intends to add reserves and expand prospective SGW UG operations within three neighboring underground projects. These projects are the San Gregorio East Underground, SGW UG Deep Extension and the San Gregorio Underground Central area. The last two projects relate to areas which were not previously considered in the SGW UG mining plans and represent new opportunities with a strong potential for near term resource and reserve delineation.

A comprehensive and extensive drilling campaign is currently being carried out at San Gregorio. During FY17, a total of 9,000m of drilling are planned in order to confirm and increase reserves and extend the SGW UG mine. To the end of the Quarter, some 4,250m have already been drilled, with positive results.

To see a full PDF of the release with images, click here.

San Gregorio Central (SGC) - A New Mineralised Area in the Core of SG

New resources are being discovered at San Gregorio Central which are expected to have a positive impact on the economics of the SGW UG project. San Gregorio Central is an eastern continuity of the current SGW UG mineralized ore body.

A total of twelve drill holes (2,252m) have been drilled in the area. Ten of these from underground drilling stations (1,514m) and two from the surface (738m). All the holes drilled to date have intercepted grades considered at present to be economic mineralization. The last five holes (1,381m) were drilled during Q2 17 and their mineral intercepts are shown below.

Q2 17 intercepts from underground:

 
Hole ID            From (m)  To (m)  Intercept    Including 
DDHUGSG16-024_08   119.45    125.45  6.0m @ 1.28  4.0m @ 1.44 g/t Au 
                                     g/t Au 
DDHUGSG16-024_09   139.10    146.10  7.0m @ 0.60  1.0m @ 1.34 g/t Au 
                                     g/t Au 
DDHUGSG16-024_10   155.95    164.35  8.4m @ 1.01  4.3m @ 1.53 g/t Au 
                                     g/t Au 
 
 

Q2 17 intercepts from surface:

 
Hole ID         From (m)  To (m)  Intercept            Including 
DDHUGSG16-177   239.85    244.05  4.2m @ 3.52 g/t Au   1.85m @ 5.55 g/t Au 
DDHUGSG16-080   272.00    282.55  10.6m @ 1.11 g/t Au  1.10m @ 2.51 g/t Au 
 
 

A total of 3,600m of drilling distributed over thirteen holes are planned for this target during the remainder of the fiscal year. It is management's belief that this work has the strong potential to increase reserves.

San Gregorio East (SGE)

To date, the results from surface based diamond drilling at San Gregorio East UG have confirmed the continuity of the mineralized body. The grades encountered have been more variable than expected. Additional mineralization has been defined outside the originally known boundaries. The Company's preliminary interpretation is validating the current reserves defined in the area. At present, the geological model is currently being re-interpreted.

A total of 19 holes amounting 3,800m of diamond drilling were finished during Q2 17. All mineralized intercepts are shown below:

 
Hole ID       From (m)  To (m)  Intercept             Including 
SGDD16-060    149.05    159.40  10.30m @ 2.63 g/t Au  3.70 m @ 2.74 g/t Au 
SGDD16-061    215.10    220.10  5.00m @1.10 g/t Au    2.20 m @ 1.58 g/t Au 
SGDD16-062    183.75    197.80  14.05m @ 1.34 g/t Au  5.00 m @ 2.06 g/t Au 
SGDD16-063    173.60    180.85  7.25m @ 1.30 g/t Au   5.00 m @ 1.70 g/t Au 
SGDD16-064    169.80    184.85  15.05m @ 1.22 g/t Au  5.60 m @ 1.77 g/t Au 
SGDD16-065    186.25    200.75  14.50m @ 1.40 g/t Au  2.05 m @ 6.40 g/t Au 
SGDD16-066    224.60    229.25  4.65m @ 0.89 g/t Au   1.05 m @ 1.13 g/t Au 
SGDD16-067    153.25    161.45  8.20m @ 0.53 g/t Au   3.50 m @ 0.80 g/t Au 
SGDD16-068    181.70    187.00  5.30m @ 0.90 g/t Au   0.75m @ 1.74 g/t Au 
SGDD16-069    125.35    137.60  12.25m @ 1.81 g/t Au  6.80m @ 2.28 g/t Au 
SGDD16-070    153.65    166.25  12.60m @ 0.84 g/t Au  3.25m @ 1.87 g/t Au 
SGDD16-072    123.95    138.85  14.9m @ 0.56 g/t Au   0.90m @ 1.42 g/t Au 
SGDD16-073    119.90    128.00  8.10m @ 0.98 g/t Au   3.45m @ 2.26 g/t Au 
SGDD16-071    128.00    135.15  7.15m @ 0.50 g/t Au   1.10m @ 0.67 g/t Au 
SGDD16-074    119.60    137.90  18.30m @ 0.87 g/t Au  2.85m @ 1.70 g/t Au 
SGDD16-075B   107.70    128.95  21.25m @ 1.47 g/t Au  8.85m @ 2.52 g/t Au 
SGDD16-076    177.35    188.10  10.75m @ 1.65 g/t Au  7.05m @ 2.21 g/t Au 
SGDD16-078    165.95    176.65  10.70m @ 0.87 g/t Au  3.95m @ 1.19 g/t Au 
SGDD16-079B   205.25    231.75  26.50m @ 1.24 g/t Au  8.95m @ 1.70 g/t Au 
 
 

Potential for Delineation of New Reserves At Depth Below SGW UG

Drilling for a deeper mineralized extension of the San Gregorio West UG body is currently in progress. A potential orebody was tentatively defined by two historically drilled holes and at present, one drill hole targeting a depth of 450m is underway. It is expected that this hole will intercept the mineralized body at approximately 400m depth. Another 450m hole is planned during Q3.

Uruguay Open Pit Exploration Projects

The production strategy that has been working successfully for the Company for the last 4 years comprises of one core underground mine providing 50 - 70% of the ore to the plant, complemented with production from one or more nearby open pits. The open pit ore feed provides additional operational flexibility and allows the underground to be better optimized with a more rigid design driven by operational efficiencies.

As part of this strategy, the Company is accelerating an aggressive campaign to identify and evaluate new reserves amenable to exploitation via open pit mining methods, which can be fast tracked and included in its medium term production plan.

To see a full PDF of the release with images, click here.

Mina Perú

At present, the Perú area has defined reserves totaling 5,389 oz (65,010 tonnes @ 2.58 g/t Au). Exploration to date has included the drilling of 110 reverse circulation ("RC") drill holes amounting to 8,974m of drilling, of which 64 holes intercepted mineralization.

As part of an ongoing strategy to better assess the technical and economic viability of this mineralization, four additional diamond holes amounting to 313m were drilled during the Quarter resulting in the following intercepts:

 
Hole ID      From (m)  To (m)  Intercept            Including 
PRDD16-001   94.6      97.9    3.35m @ 1.32g/t Au 
PRDD16-002   84.7      94.7    10.00m @ 1.67g/t Au  1.00m @ 5.06g/t Au 
PRDD16-003   27.0      28.0    9.95m @ 3.41g/t Au   4.25m @ 7.39g/t Au 
PRDD16-004   13.9      20.8    6.90m @ 0.67g/t Au 
             34.0      35.9    1.90m @ 1.85g/t Au 
 
 

Next steps in the campaign include the drilling of 120 shallow pantera holes (1,800m) during the remainder of the current fiscal year.

Veta Rey

The Veta Rey open pit has produced some 18k oz over the last two years. During the Quarter, exploration continued towards the southern end of the current Veta Rey pit, where strong indications of continuation of the mineralized body exist. An initial extension of the pit is being defined and some additional 900m, totaling 12 RC holes, are planned for Q3 with the goal of further growing reserves.

Los Naranjos

Los Naranjos is the natural northwest continuity of the Argentinita orebody. Argentinita/ Zapucay is a mining area located 27 km south-east of the San Gregorio plant with approximately 100,000 oz of historical production.

Following the recent approval of its exploration permit in Q2 17, a pantera drilling campaign of 1,500m together with 500m of RC/DD drilling are planned to test the available targets during Q3.

The Sobresaliente Domain

The Company owns three projects in the Sobresaliente area (Don Tito, Las Pampas and Mantos Verdes), approximately 6 km north of San Gregorio. This area has historic artisanal workings, with gold occurring in quartz veins hosted in granite similar to the ore bodies mined previously at Sobresaliente, in operation during 2011 - 2013, producing 21,667 oz of gold at an average grade of 1.04 g/t Au.

Permits were granted for Don Tito in Q1 and exploration work completed 5 diamond holes, 7 Reverse Circulation holes, and 7 trenches with promising results (announced on October 12th, 2016). The project contains an anomalous area with high grade intercepts. Although structural controls remain unclear, there is a gold anomalous zone approximately 600m on strike and 50m in width which remains open along strike and at depth.

On January 11th, 2017, permits were granted on the other two projects, Las Pampas and Mantos Verdes. Some exploration was undertaken historically in Las Pampas with drill holes under old workings which returned some encouraging results. Along strike to the south east, Crystallex drilled some shallow sections also with promising results. A wide zone of anomalous gold is evident and, within the zone, there are a number of higher grade narrow intersections.

With permitting available in the three projects, the Company is able to optimize during H2 FY17 the exploration work in the Sobresaliente district with the objective of adding short term open pit reserves.

Greenfield exploration in Isla Cristalina

OMI is active in its search for larger deposits in Isla Cristalina, similar in size to Arenal or San Gregorio, each having produced in excess of 500,000 oz to date. Currently the Company has identified two key areas which have indicators of such potential; being the Arenal/ San Gregorio Corridor and Nueva Australia.

The current geological reinterpretation of the San Gregorio - Arenal corridor, if proven successful, would unlock an area of approximately 25,000m² to new exploration. The Company plans to drill seven RC/DD holes (1,600m) in the Arenal-SG corridor during H2 FY17 to test the occurrence of a relatively large deposit.

Nueva Australia is thought to be the northeast displaced continuity of the San Gregorio Main shear zone along which Arenal, San Gregorio, Santa Teresa and other historical deposits. Little systematic exploration has been carried out in the area where the geological features indicate the presence of a highly prospective zone. Historic mining workings and recent soil and rock chips sampling anomalies demonstrate the potential for near surface mineralization.

Exploration permits in Nueva Australia were granted in Q2 17 and the Company is currently preparing the targets for drilling during H2 FY 17.

Southern Uruguay

The Company's priority at present is to swiftly obtain exploration permits in order to commence a drilling campaign at its Veta Madre project in southern Uruguay.

Colombia

The Company continues advancing its high grade Anzá gold project. The Company is in the process of finalizing a geological model to better understand the gold mineralization. Based on this geological interpretation, an exploration target and recommendations to progress are being formulated with the assistance of Mine Development Associates ("MDA") of Reno, Nevada. The results of this work are expected to be announced shortly.

Qualified Person's Statement

The technical information related to the current assets of Orosur Mining in this presentation has been reviewed by Miguel Fuentealba, a Mining Engineer who is considered to be a Qualified Person under NI 43-101 reporting guidelines. Mr. Fuentealba is a graduate in Mining Engineering from the University of Santiago de Chile and is an AusIMM Member and Qualified Person of Chilean Mining Commission. Mr. Fuentealba has 20 years of professional experience in the field of mining engineering, mine development and management.

Forward Looking Statements

All statements, other than statements of historical fact, contained or incorporated by reference in this news release, including any information as to the future financial or operating performance of the Company, constitute "forward-looking statements" within the meaning of certain securities laws, including the "safe harbour" provisions of the Securities Act (Ontario) and the United States Private Securities Litigation Reform Act of 1995 and are based on expectations estimates and projections as of the date of this news release. There can be no assurance that such statements will prove to be accurate. Such statements are subject to significant risks and uncertainties, and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements include, without limitation success of exploration activities; permitting time lines; the failure of plant; equipment or processes to operate as anticipated; accidents; labour disputes; requirements for additional capital title disputes or claims and limitations on insurance coverage. The Company disclaims any intention or obligation to update or revise any forward looking statements whether as a result of new information, future events and such forward-looking statements, except to the extent required by applicable law.

About Orosur Mining Inc.

Orosur Mining Inc. is a fully integrated gold producer, developer and explorer focused on identifying and advancing gold projects in South America. The Company operates the only producing gold mine in Uruguay (San Gregorio), and has assembled an exploration portfolio of high quality assets in Uruguay, Chile and Colombia. The Company is listed in Canada (TSX: OMI) and London (AIM: OMI).

For more information, please visit www.orosur.ca

Orosur Mining Inc.Condensed Interim Consolidated Statements of Financial PositionThousands of United States Dollars, except where indicated

 
                                         As at November 30,  As at May 31, 
                                         2016 ($)            2016 ($) 
Assets 
Cash                                     5,376               4,320 
Accounts receivable and other assets     1,923               1,770 
Inventories                              11,759              12,069 
Total current assets                     19,058              18,159 
Accounts receivable and other assets     550                 550 
Property, plant and equipment            12,902              10,106 
and development costs 
Exploration and evaluation costs         18,230              17,250 
Deferred income tax assets               2,534               2,534 
Restricted cash                          226                 221 
Total non-current assets                 34,442              30,661 
Total assets                             53,500              48,820 
Liabilities and Shareholders' Equity 
Trade payables and other                 11,667              10,586 
accrued liabilities 
Current portion of long-term debt        204                 253 
Environmental rehabilitation provision   360                 360 
Total current liabilities                12,231              11,199 
Long-term debt                           21                  99 
Environmental rehabilitation provision   5,220               5,327 
Total non-current liabilities            5,241               5,426 
Total liabilities                        17,472              16,625 
Capital stock                            60,959              60,751 
Contributed surplus                      5,906               5,925 
Deficit                                  (29,796)            (33,497) 
Currency translation reserve             (1,041)             (984) 
Total shareholders' equity               36,028              32,195 
Total liabilities and                    53,500              48,820 
shareholders' equity 
 
 

Orosur Mining Inc.Condensed Interim Consolidated Statements of profit/(loss) and Comprehensive profit/(loss)Thousands of United States Dollars, except for loss per share amounts

 
                             Three months ended    Six months ended 
                             November 30,          November 30, 
                             2016 ($)  2015 ($)    2016 ($)  2015 ($) 
Sales                        10,765    10,190      23,423    24,655 
Cost of sales                (9,567)   (10,150)    (18,810)  (25,165) 
Gross profit/(loss)          1,198     40          4,613     (510) 
Corporate                    (704)     (554)       (1,143)   (1,178) 
and administrative 
expenses 
Stock based compensation     (60)      (5)         (88)      (12) 
Restructuring costs          164       (580)       288       (1,694) 
Exploration expenses and     (2)       7           (11)      (11) 
exploration written off 
Obsolescence provision       (12)      -           (100)     - 
Other income                 507       191         857       745 
Net finance cost             (45)      (76)        (90)      (137) 
Derivative profit/(loss)     8         -           (412)     - 
Net foreign exchange         (87)      104         (188)     182 
gain/(loss) 
                             (231)     (913)       (887)     (2,105) 
Profit/(loss) before         967       (873)       3,726     (2,615) 
income tax 
Recovery (provision)         (25)      3           (25)      19 
for income taxes 
Net profit/(loss)            942       (870)       3,701     (2,596) 
for the period 
Other comprehensive 
profit/(loss) 
Cumulative translation       (20)      (94)        (57)      (807) 
adjustment 
Total comprehensive          922       (964)       3,644     (3,403) 
profit/(loss) 
for the period 
Profit/(loss) per 
common share: 
Basic                        0.01      (0.01)      0.04      (0.03) 
Diluted                      0.01      (0.01)      0.04      (0.03) 
 
 

Orosur Mining Inc.Condensed Interim Consolidated Statements of Cash FlowsThousands of United States Dollars, except where indicated

 
                                        Six months ended November 30, 
                                        2016 ($)  2015 ($) 
Net inflow/(outflow) of cash related 
to the following activities 
 
Cash flow from operating activities 
Net profit/(loss) for the period        3,701     (2,596) 
Adjustments to reconcile 
net income to net 
cash provided from  operating 
activities: 
Depreciation                            2,829     3,628 
Exploration and evaluation              11        11 
expenses written off 
Obsolescence provision                  100       - 
Fair value of derivatives               186       - 
Accretion of asset retirement           38        39 
obligation 
Stock based compensation                88        12 
Loss (gain) on sale of property,        (14)      (15) 
plant and equipment 
Other                                   90        20 
Subtotal                                7,029     1,099 
Changes in working capital 
Accounts receivable and other assets    (249)     507 
Inventories                             211       2,002 
Trade payables and other                1,094     (2,240) 
accrued liabilities 
Net cash generated from                 8,085     1,368 
operating activities 
Cash flow from financing activities 
Loan payments                           (127)     (711) 
Proceeds on sale of common              -         (710) 
shares of Anillo SPA 
Net cash used in financing activities   (127)     (1) 
Cash flow from investing activities 
Purchase of property,                   (5,617)   (1,758) 
plant and equipment 
and development costs 
Environmental tasks                     (145)     (175) 
Proceeds from the sale of property,     18        33 
plant and equipment 
Exploration and evaluation              (1,158)   (1,621) 
expenditure assets 
Net cash used in investing activities   (6,902)   (3,521) 
Increase (decrease) in cash             1,056     (2,154) 
Cash at the beginning of period         4,320     4,787 
Cash at the end of period               5,376     2,633 
 
 

Orosur Mining Inc.Condensed Interim Consolidated Statements of Changes in Shareholders' EquityThousands of United States Dollars, except where indicated

 
                                        Six months ended 
                                        November 30, 
                                        2016 ($)  2015 ($) 
 
Capital stock 
Balance at beginning of period          60,751    60,544 
Exercise of stock options               174       - 
Grant of shares                         34        - 
Balance at end of period                60,959    60,544 
Broker Warrants 
Balance at beginning of period          -         62 
Balance at end of period                -         62 
Contributed surplus 
Balance at beginning of period          5,925     5,824 
Stock based compensation recognized     83        12 
Exercise of stock options               (102)     - 
Balance at end of period                5,906     5,836 
Deficit 
Balance at beginning of period          (33,497)  (32,287) 
Net profit/(loss) for the period        3,701     (2,596) 
Balance at end of period                (29,796)  (34,883) 
Currency translation reserve            (1,041)   (1,064) 
Shareholders' equity at end of period   36,028    30,495 
 
 
 
 

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(END) Dow Jones Newswires

January 16, 2017 02:36 ET (07:36 GMT)