Lucara Reports $33.5 Million From Two Sales In Q1
May 11, 14
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Proceeds of $750,000 were received after the quarter and will be accounted for in Q2 revenues.
The average price of $312 per carat compares to $225 per carat for the first quarter in the prior year. Revenues during the period, which exclude the proceeds received after period end, were $32.8 million for the period.
At an average operating expense of $118 per carat, the cash operating margin during the quarter was $187 per carat.
The company's quarter-end cash balance was $56.8 million compared to a net debt position of $26.2 million in the previous year and $49.4 million at the end of 2013. In addition to production costs of $118 per carat the company spent $1.9 million on Karowe's plant optimization project and paid the December 2013 tender royalty and 2013 employee bonus payments during the quarter.
Lucara’s President and Chief Executive Officer William Lamb commented, "Lucara has had a strong start to the year with continued production performance from the mine team and two successful tenders during the first quarter generating revenue in excess of $30 million. We have brought forward our second Exceptional Stone Tender to early in the third quarter due to the sustainable recovery of large stones with more than 330 special stones (+10.8 carats) recovered to date. This follows very strong results from our first Exceptional Stone Tender in 2014, which was held in early April for proceeds of $50 million."
Lucara also announced that it has declared its first semi-annual dividend, of $0.02 per share, to the holders of the company's common shares.
The dividend will be paid on June 19, to holders of record of the Company's common shares at the close of business on June 6, 2014.
“The payment of this dividend is consistent with the company's dividend policy providing for the payment of semi-annual dividends and the payment, from time to time, of a special dividend based on revenues generated from Exceptional Stone Tenders.”