Bellevue Gold revealed conservative profits for the first half of the 2023–24 financial year (H1 FY24) ahead of its ramp up of the Bellevue gold project in Western Australia.
The company held a cash position at December 31 2023 of $44.2 million, down from $64.7 million at June 30 2023, but held another $4.3 million in bullion and finished goods.
This brought Bellevue’s total liquidity at the end of H1 to $48.5 million, down from $134.7 million at June 30 2023.
Total profit after income tax for the period was $2.2 million, a loss of $12.5 million on H1 FY23.
However, the company attributed the drop to not declaring commercial production for the Bellevue gold project during the period, which is expected in the second half of FY24.
Contributing to the movement in cash during the period were gold sales of $49.1 million and $95 million in proceeds from borrowings, which was offset by $157 million of operating and investing cash outflows.
These included the remaining significant payments for construction related activities across the Bellevue gold project.
Total assets increased $142.3 million to $771.9 million due to costs associated with construction of the now commissioned processing plant, as well as capitalised mine development expenditure.
Bellevue Gold produced 13,364 ounces (oz) of gold during the month of February, representing a 28 per cent increase from the previous month.
The ramp up in production is now positioning the company on track to achieve its guidance of 75,000–85,000oz for FY24.
“Our production ramp up continues to improve month on month,” Bellevue Gold managing director and chief executive officer Darren Stralow said.
“It is very pleasing to see milling nameplate throughput (one million tonnes per annum) achieved for a third straight month as we progress towards steady state operations.
“This resulted in production of 13,364oz in the month of February 2024 and ensures we are well on track to meet our guidance for the six months to June 30 2024 and generate free cash flow.”
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