Revett Minerals Inc. (RVM.TO, NYSEAMEX:RVM) has announced their production numbers for the third quarter of this year.
The company beats our estimated output and cash-costs. Where we expected a production of 310,000 ounces of silver at a by-product cash cost of $10.5/oz, the company was able to produce 348,000 ounces at a cash cost of $8.92/oz, for a net operational cash flow of $7.5M this quarter.
Approximately 120 meters of development remains to be completed in the North C Bed drift. Once completed, a spiraled decline will be developed to access the I Bed zone, to be completed by the end of 2014 at a total cost of approximately $10M.
The company continues to perform very consistently, and adds more cash to their treasury. We estimate their war chest currently contains $35M, which will be used for further development at Troy, and exploration and development at the Rock Creek project, once Revett gets the final nod to go ahead.
We will be visiting Revett’s Troy Mine next week, so you can expect a site visit report from us in the near future.
Disclosure: The author holds a long position in Revett Minerals Inc. The author is going on a site visit and these costs will be reimbursed by the company. Please see our disclaimer for current positions.