The Globe and Mail

Go to the Globe and Mail homepage

Jump to main navigationJump to main content

Globe Investor

News Sources

Take control of your investments with the latest investing news and analysis

Press release from Marketwire

China Gold International Reports 2011 First Half Financial Results

Thursday, August 11, 2011

China Gold International Reports 2011 First Half Financial Results20:25 EDT Thursday, August 11, 2011VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 11, 2011) - China Gold International Resources Corp. Ltd. (TSX:CGG)(SEHK:2099) (the "Company") is pleased to report on the Company's financial and operational results for six months ended June 30, 2011. During the first half of 2011, the revenues were US$ 128.36 million with a net profit of US$ 30.92 million. During the first half of 2011, the basic earnings per share (EPS) for the Company were US$ 0.0759, and the diluted earnings per share were US$ 0.0759, compared to US$ 0.0027 for the same period in 2010 representing a significant increase in EPS.Dr. Xin Song, CEO of the Company commented, "During the first half of 2011, the Company generated record earnings from the CSH Mine on revenues of US$ 82 million with 55,259 ounces of gold produced. In the same period, the Company also realized record revenue of US$ 46.36 million at its Jiama Mine operations."First Half 2011 HighlightsTotal revenue was US$128.36 million, cost of sales was US$ 76.11 million, and net profit was US$ 30.92 million; At CSH Mine, gold produced was 55,259 ounces and gold sold 56,190 ounces at an average selling price of US$ 1459.32 per ounce; Revenue at CSH Mine is US $82 million; At Jiama Mine copper production was 4,180 tonnes, and copper sold 4,385 tonnes, while gold production was 2,644 ounces, and the gold sales were 3,507 ounces, and silver production was 333,526 ounces and the silver sales were 334,428 ounces; Revenue at Jiama is US$ 46.36 million; Basic earnings per share are US 7.59 cents; Net cash flows from operations was US$ 36.39 million for the second quarter of 2011, and US$ 18.47 million for the first half of 2011; As of June 30, 2011, the total assets of the Company were US$ 1.725 billon, and the total debts were US$ 490 million. The total debt to asset ratio was 28.41%. The Company's outlook for the remainder of 2011 and beyond remains positive with a strategy of growth at its operating mine sites and a goal of acquisitions with support from its largest shareholder China National Gold. The 2011 guidance for the CSH mine site is 125,000 ounces of gold produced while at Jiama guidance for 2011 is for the continued 6000 TPD operation and continued construction on its phase 2 operations.For a detailed look at the financial statements and MD&A for the three and six months ended June 30, 2011, please visit the Company's website at www.chinagoldintl.com or go to www.sedar.com. About China Gold International Resources Corp. Ltd.:The Company is a mineral development company focused on acquisitions, exploration, development, mining and processing of gold and other non-ferrous metals. The Company is listed on the Toronto Stock Exchange (TSX:CGG) and the Main Board of the Stock Exchange of Hong Kong Limited (SEHK:2099). The Company has been designated as the overseas flagship vehicle of China National Gold, the only gold producer in China directly controlled by the State-owned Assets Supervision and Administration Commission of the State Council.Forward-looking statementsCertain statements made herein, and other statements relating to matters that are not historical facts and statements of our beliefs, intentions and expectations about developments, results and events which will or may occur in the future, constitute "forward-looking information" within the meaning of applicable securities legislation. Forward-looking information and statements are typically identified by words such as "anticipate", "could", "should", "expect", "seek", "may", "intend", "likely", "plan", "estimate", "will", "believe" and similar expressions suggesting future outcomes or statements regarding an outlook. All such forward-looking information and statements are based on certain assumptions and analysis made by China Gold International Resources Corp. Ltd.'s management in light of their experience and perception of historical trends, current conditions and expected future developments, as well as other factors management believes are appropriate in the circumstances. These statements, however, are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information or statements. Important factors that could cause actual results to differ from these forward-looking statements include those described under the heading "Risks and Uncertainties" elsewhere in the Company's MD&A filed at www.SEDAR.com. The reader is cautioned not to place undue reliance on forward-looking information or statements. Except as required by law the Company does not assume the obligation to revise or update these forward looking statements after the date of this document or to revise them to reflect the occurrence of future, unanticipated events.FOR FURTHER INFORMATION PLEASE CONTACT: Frank LagigliaChina Gold International Resources Corp. Ltd.Investor Relations Manager+1.778.668.9883info-chinagoldintl@chinagoldintl.comwww.chinagoldintl.com