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Source: Beacon Minerals
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  • Beacon Minerals (BCN) produced record gold and cleared all of its debt over the first half of the 2021 financial year
  • The gold miner produced over 15,300 ounces of gold over the half-year to December 31, 2021, and sold almost 16,000 ounces of gold
  • This translated to around $38.6 million in sales revenue and a net profit after tax of $12.5 million for the half-year
  • As such, Beacon has declared a -0.7-cent-per-share dividend for the half-year, made up of a 0.2-cent interim dividend and a 0.5-cent special dividend
  • The company continues to explore potential targets around its flagship Jaurdi Gold Mine in WA, with 15,000 metres of aircore drilling planned before the end of March
  • Shares in Beacon closed grey this afternoon at 4 cents per share

Beacon Minerals (BCN) produced record gold and cleared all of its debt over the first half of the 2021 financial year.

The small-cap gold producer reported on some of the highlights of the six-month period in its latest half-yearly financial report today.

Over the six months to December 31, 2020, Beacon produced over 15,300 ounces of gold and sold almost 16,000 ounces, translating to roughly $38.6 million in sales revenue.

For reference, over the six months to December 31, 2019, Beacon made around $10.6 million in gold sales — meaning 2020’s figure is a 364 per cent increase.

The cost of goods sold over the period came in at just under $21.2 million. When adding administrative, exploration, and finance costs, this resulted in a net profit after tax for the half-year of $12.5 million.

Over the same time period in 2019, Beacon posted a loss after tax of $985,000.

Importantly, Beacon managed to pay off its remaining $18 million in debt in October 2020 — a year ahead of schedule. This means the company is now entirely debt-free.

As such, Beacon has declared a 0.7-cent-per-share dividend for the half-year, made up of a 0.2-cent interim dividend and a 0.5-cent special dividend.

Beacon said as of December 31, 2020, it had 948 ounces of gold bullion on hand and in transit and cash and cash equivalents on hand of around $15.3 million.

Exploration work

While Beacon is comfortably producing gold from its flagship Jaurdi Gold Project in WA, the company said it continues to explore near-mill tenements within the Dunnsville Greenstone terrain.

Beacon said the primary focus is ‘first pass’ drill testing some conceptual targets and previously-discovered soil anomalies in the area.

However, the company is also targeting extensions to the Lost Dog deposit, with 22,385 metres of aircore drilling and 1777 metres of reverse circulation (RC) drilling completed over the half-year.

Another 15,000 metres of aircore exploration drilling is planned during the March quarter of 2021.

Shares in Beacon had a rocky day but closed grey at 4 cents per share this afternoon. The company has a $115 million market cap.

BCN by the numbers
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