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Silver Lake loses profits on Integra merger

1st March 2013

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) - Gold miner Silver Lake Resources has reported a decrease in its profits for the interim period ending December, mainly owing to a A$15.3-million business combination expense following the acquisition of Integra Mining and assets from Phillips River Mining.

Profit for the six months to December dropped to A$5.1-million, compared with the A$17.2-million reported in the previous corresponding period.

However, Silver Lake also on Friday reported that revenue for the interim period was up by 27% to A$85.6-million, driven by a 27% increase in gold sales, which reached 52 410 oz during the period under review.

Gold production for the six months was 35% higher, at 51 936 oz, with production during the period sourced mainly from the Daisy Milano and Haoma deposits, which form part of the Mount Monger operation, in Western Australia.

Mount Monger has additional multi-mine potential, underpinned by emerging openpit production from the Wombola pit and Magic deposits.

Silver Lake has also recently started gold production from its Murchison project, which has a 1.2-million-ton-a-year processing facility and a 20.5-million-ton resource base, grading 2.9 g/t gold for 1.9-million ounces.

Edited by Creamer Media Reporter

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