LionGold Corp achieves over 50% increase in revenues and gross profit as gold operations strengthen

(pls refer to today SGX anoouncement 181 & 183)

Key points:

 2Q2014 revenue grew 52.2% year on year to S$45.6 million while gross profit increased 52.0% correspondingly to S$8.6 million

 Gold operations contributed 73% (S$6.3 million) of the Group?s total gross profit as LionGold?s wholly-owned producing asset produced a record 13,845 ounces of gold at an operating cash cost of A$666 per ounce and all-in cash cost of A$1,055 per ounce of gold

 A loss attributable to equity holders of S$47.8 million was recorded, largely due to unrealised losses on marketable securities which are not part of the Group?s core operations and which were tendered as consideration for the disposals of LionGold?s interests in its non-core power and environmental assets

 As of 30 September, the Group had cash and cash equivalents of S$36.8 million while its US$18 EV/ounce of resource is significantly lower than many Asia-listed peers

 Continued investment in development of currently non-producing gold mining assets is expected to bear fruit in the coming quarters

 LionGold will continue to seek out opportunistic acquisitions of gold mining assets and pursue various methods of inorganic growth including strategic alliances, joint ventures and financing or equity partners