News

Harte Gold Reports First Quarter 2021 Results, Provides Updated Guidance for 2021 and Initiates Strategic Review

May 13, 2021

Toronto – May 13, 2021 – HARTE GOLD CORP. (“Harte Gold” or the “Company”) (TSX: HRT / OTC: HRTFF / Frankfurt: H4O) announced today its results for the three months ended March 31, 2021.

The Company’s unaudited annual financial results for the three months ended March 31, 2021 (“Q1 2021”), together with its Management’s Discussion and Analysis (“MD&A”) for the corresponding period, can be accessed under the Company’s profile on www.sedar.com and on the Company’s website at www.hartegold.com. All currency references in this press release are in Canadian dollars except as otherwise indicated.

Q1 2021 Operational Highlights:

  • Gold production: Total production of 11,776 oz Au for Q1 2021, a 9% increase over the previous quarter. Average monthly production totaled 3,925 oz Au for the quarter.
  • Mine capital development: Averaged 14.0 metres per day, an increase of 23% over Q4 2020.
  • Ore tonnes processed: Average throughput rate of 716 tonnes per day (“tpd”) for the quarter, an increase of 42% over Q4 2020.
  • Head Grade: 6.1 g/t Au, within 10% of target for the quarter.

Q1 2021 Financial Highlights:

  • Revenues: $27.4 million in revenue from 12,349 ounces sold in Q1 2021 ($15.7 million and 7,637 ounces respectively, in Q1 2020).
  • Net Income: $5.8 million in Q1 2021 (loss of $16.1 million in Q1 2020).
  • Mine Operating Cash Flow: $9.2 million in Q1 2021 ($3.9 million in Q1 2020).
  • Gold hedge impact: Incurred a $4.3 million expense in Q1 2021 ($1.1 million in Q1 2020) for the settlement of 8,341.3 ounces hedged.  Average Realized Gold Price1 after hedge in Q1 2021 was US$1,491/oz (US$1,447 in Q1 2020).
  • EBITDA: $1.6 million in Q1 2021 ($0.3 million in Q1 2020).
  • Cash Cost: US$1,183/oz in Q1 2021, (US$1,178/oz in Q1 2020).
  • AISC: US$1,916/oz in Q1 2021, (US$2,231/oz in Q1 2020).
  • Mine Capital development: $6.3 million invested in Q1 2021 ($6.0 million in Q1 2020).
  • Enhanced Shareholder Base: On March 24, 2021, the Company closed an investment by New Gold Inc. (“New Gold”) for net proceeds of $23.7 million.
  • Liquidity position: Cash on hand at March 31, 2021 was $21.1 million ($8.2 million at December 31, 2020). Based on the Company’s updated outlook and guidance for 2021, the Company will require additional funding within the next few months. The Company’s liquidity position is further discussed below under “Liquidity and Capital Resources”.