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VANCOUVER, B.C. - Increased gold production combined with higher metal prices helped Northgate Minerals Corp. (TSX:NGX) narrow its losses in the third quarter as revenues rose.
The gold and copper miner, which keeps its books in U.S. dollars, posted a net loss of $8.6 million or three cents per share for the quarter ended Sept. 30. This was an improvement from a year-ago net loss of $29.4 million or 12 cents per share.
Quarterly revenues totalled $120.2 million, up from $99.3 million a year ago.
This beat an average analyst estimate of $68 million in revenue, according to Thomson Reuters.
Northgate attributed the increase in revenue to a 25 per cent rise in gold production coupled with higher prices for gold and copper.
During the quarter, the company said it sold 85,397 ounces of gold at a realized price of $982 per ounce and 12.8 million pounds of copper at a realized price of $3.39 per pound.
"Northgate continued to generate excellent cash flow from operations in the third quarter and is poised to generate our highest annual operating cash flow in 2009, which is highlighted by another record year of gold production," said Ken Stowe, Northgate's president and chief executive officer.
Stowe added that the discovery of a new gold zone at the company's Young-Davidson project in northern Ontario was also set to bring added value to Northgate.
Northgate is a gold and copper producer with mining operations, development projects and exploration properties in Canada and Australia.
Its shares closed at $2.79 Monday on the Toronto Stock Exchange.
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