Equinox Gold’s Los Filos mine produces 17,691 ounces of gold

Equinox Gold’s Los Filos mine produced 17,691 ounces of gold in the second quarter of 2020.

With this, the Los Filos mine contributed to Equinox Gold producing 127,016 ounces of gold at total sustaining costs (AISC) of $ 900 per ounce sold, considering its six mines in America.

The company published the initial guidance for 2020 on March 31, 2020, estimating production and costs for the full calendar year for Aurizona, Mesquite and Castle Mountain, and expectations for Los Filos, Fazenda, RDM, Pilar and Santa Luz for the period beginning on March 10, 2020, the closing date of the merger with Leagold.

The guidance at the time reflected the company’s expectations without taking into account potential Covid-19-related impacts and was intended to provide baseline estimates from which investors could assess the company’s expectations for its asset base. enlarged.

The suspension of mining and development activities at Los Filos for most of the second quarter of 2020 in compliance with an order from the federal government of Mexico that required the temporary suspension of all non-essential businesses resulted in a reduction in the production of gold from Los Filos and a delay in access to more grade ore than was planned for that mine by the end of 2020.

Labor restrictions at Fazenda have also affected mining productivity.

The production guide for Los Filos and Fazenda has been updated to reflect these restrictions.

Los Filos and other mines

Mesquite and Aurizona, however, have exceeded expectations, resulting in an increase in production guidance for these mines.

AISC’s consolidated guidance has been revised for the full year to reflect updated costs, as well as assumptions for the Mexican peso and the Brazilian real at 21.0 and 4.75 against the US dollar, respectively, both below spot rates. current.

The AISC in the second half of 2020 is expected to be higher than in the first half as a result of an increase in sustainable capital expenditures in Brazil following the rainy season and the resumption of full mining and development activities in The Edges.

The Filos suspended most of their operations in the second quarter due to Covid-19. Mining and development resumed in June.