In the past quarter, LSG produced a total of 53,000 ounces of gold, 19% more than the 44,600 ounces of the corresponding 2014 reporting period, with gold sales of 52,600 ounces at an average price of US$1,219 an ounce.
Remarkably, despite the lower gold prices, Lake Shore was able to report a US$15.5 million increase in cash and bullion to US$77 million while repaying US$4.3 million of its debt.
Apart from the record production and increased cash positions, "we also announced a significant increase in reserves and continued to advance the 144 Gap Zone. Our average grade for the quarter was the highest since we declared commercial production and reflected a combination of mine sequencing and improvements in grade control," said Lake Shore’s President and CEO, Tony Makuch.
In 2015, Lake Shore expects to produce 170,000 to 180,000 ounces of gold at all sustaining cash costs of US$950 to US$1,000 per ounce sold for a total production cost of approximately $125.0 million.
The Company’s shares were trading 3.96 percent higher at C$1.05.
The gold miner operates three gold complexes in the Timmins Gold Camp of Ontario