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Orla Mining (TSX: OLA, NYSE: ORLA) has raised its annual production guidance for the second time this year following outperformance at its Camino Rojo gold mine in Zacatecas, Mexico.
The mine, which currently has a 10-year life, produced 43,788 ounces of gold and sold 38,265 ounces during the third quarter of 2024.
As a result, the company has again increased its full-year gold production guidance to 130,000-140,000 ounces, up from the 120,000-130,000 ounces revised in August.
According to the company, in August, its full-year all-in sustaining cost (AISC) guidance was improved to a range of $800-$900 per ounce of gold sold. As a result of the higher production guidance, the AISC is now expected to reach the low end of the guidance range.
During the third quarter of 2024, Orla repaid $20 million toward its revolving credit facility, bringing the outstanding drawn amount to $58.4 million. As of September 30, 2024, Orla’s cash position stood at $180.9 million, resulting in a net cash position of $122.5 million.
The company is undergoing exploration to extend the Camino Rojo mine life. The property has measured and indicated oxide resources of 84.4 million tonnes grading 0.72 g/t gold for 1.9 million ounces. It also has a sizeable sulphide component of 258.8 million tonnes grading 0.88 g/t gold for 7.3 million ounces. Proven and probable reserves total 58.5 million tonnes at 0.74 g/t gold for 1.4 million ounces.
Shares of Orla Mining rose 3.3% by 11:10 p.m. EDT. The miner has a market capitalization of C$1.86 billion ($1.35 billion).
