TORONTO, March 30 /CNW/ - Mandalay Resources Corporation ("Mandalay" or the "Company") (TSX-V: MND) announced today its financial results for the fourth quarter and the year ended December 31, 2009. The Company's audited consolidated financial statements for the fourth quarter and year ended December 31, 2009, together with its Management's Discussion and Analysis of these results, are available for review on the Company's website and at www.sedar.com.
The Company posted a net loss in the 4th Quarter of $1.4 million ($0.04 per share) and full year of $1.5 million ($0.08 per share), in line with its expectations given the ramp-up of the Company's newly-acquired Costerfield gold-antimony mine. The Company ended the year with significant strengthening of its balance sheet and liquid resources. Total assets at year end increased to $42.6 million, up from $6.9 million in 2008 and cash resources at year end stood at $5.7 million. Debt at year end was $2.2 million. Shares outstanding at the time of filing are 98,902,850.
Production at Costerfield is currently on track to reach design specifications in the 2nd Quarter of 2010. Once in full production, Costerfield is expected to produce approximately 1,200 ounces of gold and 200 tonnes of antimony per month. Mandalay's Board of Directors recently approved a $1.1 million exploration program to test for mineralization below the current mine design.
Brad Mills, CEO of Mandalay said, "These results are in line with our expectations given that the Costerfield mine was part of the group for just one month of 2009. We are pleased with the progress we are making at Costerfield as well as with our exploration projects in Chile. At year end we have our full management teams in place in Australia and Chile. We are now well-positioned to rapidly grow the Company."
Subsequent to year end, the Company appointed Belinda Labatte to the position of Corporate Secretary. Ms. Labatte replaced Marcelin O'Neill, formerly Vice President, Corporate Affairs, as of February 28, 2010 (please see Mandalay news release dated March 3, 2010) who is no longer an officer of the Company.
Mandalay is a Canadian-based natural resource company with assets in production. The Company is focused on executing a roll-up strategy which involves aggregation of gold, copper, silver and antimony projects, creating critical mass through the acquisition of near-term or in-production assets in Australia and the Americas.
This news release contains "forward-looking statements" within the meaning of applicable securities laws. Readers are cautioned not to place undue reliance on forward-looking statements. Actual results and developments may differ materially from those contemplated by these statements depending on, among other things, Mandalay's ability to secure additional financing, changes in commodity prices and general market and economic conditions. The factors identified above are not intended to represent a complete list of the factors that could affect Mandalay. Although Mandalay has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
THE TSX VENTURE EXCHANGE HAS NOT YET REVIEWED AND DOES NOT TAKE RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE CONTENT OF THIS NEWS RELEASE.
SOURCE Mandalay Resources Corporation
For further information: For further information: Bradford Mills, Chief Executive Officer, Greg DiTomaso, Investor Relations, Contact: (647) 436-2592