Kirkland ‘extremely pleased’ with Detour contribution

In the eight months since the transaction, Detour Lake has represented more than 40% of Kirkland’s total free cash flow for the year-to-date, CEO Tony Makuch reported on Thursday.

“We are extremely pleased with the contribution already being made by Detour Lake mine, which generated $231-million of free cash flow in the first eight months since the transaction.

“Even more important, the exploration results we are achieving early in our $50-million drilling programme are very encouraging and support our view that Detour Lake, like Fosterville and even Macassa with the new shaft, has the potential to be transformed into something much more valuable than the mine we acquired.”

Kirkland reported record free cash flow of $275.1-million in the third quarter – a 52% increase from a year earlier and also 22% higher than the previous quarter. Year-to-date, free cash flow is up 52% to $500.6-million.

The miner reported third-quarter net earnings of $202-million and adjusted net earnings of $249.3-million, or $0.91 a share – an increase of 49% from the same quarter a year earlier.

Production was 339 584 oz, a 37% increase from 248 400 oz in the third quarter of 2019 and 3% higher than 329 770 oz the previous quarter.