Marlin Gold Mining Ltd. (TSXV:MLN) released Q4 2016 and full year financial results for 2016 along with full-year 2017 guidance. As expected, mining
of the high-grade HS zone in Q4 2016 resulted in the company’s first profitable quarter (EPS of C$0.02 and EBITDA of C$11.6 million). As previously
reported the cash generated in Q4 has allowed the company to increase exploration at La Trinidad and Commonwealth, consolidate its land holdings at
Commonwealth, aid to reduce the Wexford Capital debt and advance the spin-off of the company’s wholly owned royalty subsidiary Sailfish Royalty Corp.
The company also provided 2017 guidance to produce 50-55k oz Au, which appears achievable considering it shipped 18.9k oz Au in Q1. Based on this,
we expect strong financial results in Q1, followed by a weaker quarter in Q2; however, the company expects to reach the southern portion of the high-grade
zone in June, which should see production and financial results improve in Q3. As well, Marlin has guided that it expects to spin-off Sailfish later
this year, once San Albino has received permits or another cash flowing royalty is acquired. We hope to get additional details on both 2017 guidance,
the ongoing exploration programs plus the planned spin-out of Sailfish on tomorrow’s 10 am ET conference call (Dial-in: 1-844-348-1683, access code:
Derek Macpherson | VP Mining Analysis
Victoria Ellis Hayes | Associate
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Marlin Gold Mining Ltd. - TSXV:MLN - 1,2,3,4
Golden Reign Resources Ltd. - TSXV:GRR - None
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