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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

 

Date of Report (Date of earliest event reported):        October 30, 2023

 

McEWEN MINING INC.

(Exact name of registrant as specified in its charter)

 

Colorado   001-33190   84-0796160
(State or other jurisdiction
of incorporation)
  (Commission
File Number)
  (IRS Employer
Identification No.)

 

150 King Street West, Suite 2800

Toronto, Ontario, Canada

M5H 1J9
(Address of principal executive offices) (Zip Code)

 

Registrant’s telephone number including area code:       (866) 441-0690

 

 

(Former name or former address, if changed since last report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

¨  Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨  Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨  Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨  Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class   Trading Symbol(s)   Name of each exchange on which registered
Common Stock   MUX   New York Stock Exchange

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

 

Emerging growth company ¨

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

 

 

 

 

 

 

Item 2.02    Results of Operations and Financial Condition.

 

On October 30, 2023, McEwen Mining Inc. (the “Company”) issued a press release summarizing its third quarter and nine-month production results for the period ended September 30, 2023. A copy of the press release is furnished with this report as Exhibit 99.1.

 

The information furnished under this Item 2.02, including the referenced exhibit, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, except as shall be expressly set forth by reference to such filing.

 

Item 9.01    Financial Statements and Exhibits.

 

(d)        Exhibits. The following exhibits are furnished or filed with this report, as applicable:

 

Exhibit No.  Description
99.1  Press Release dated October 30, 2023
    
104  Cover Page Interactive Data File – the cover page XBRL tags are embedded within the Inline XBRL document

 

Cautionary Statement

 

With the exception of historical matters, the matters discussed in the press release include forward-looking statements within the meaning of applicable securities laws that involve risks and uncertainties that could cause actual results to differ materially from projections or estimates contained therein. Such forward-looking statements include, among others, statements regarding future production and cost estimates, exploration, development, construction and production activities. Factors that could cause actual results to differ materially from projections or estimates include, among others, future drilling results, metal prices, economic and market conditions, operating costs, receipt of permits, and receipt of working capital, as well as other factors described in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022, and other filings with the United States Securities and Exchange Commission. Most of these factors are beyond the Company’s ability to predict or control. The Company disclaims any obligation to update any forward-looking statement made in the press release, whether as a result of new information, future events, or otherwise. Readers are cautioned not to put undue reliance on forward-looking statements.

 

 

 

 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

  McEWEN MINING INC.
     
Date: October 31, 2023 By: /s/ Carmen Diges
    Carmen Diges, General Counsel

 

 

 

 

Exhibit 99.1

 

 

MCEWEN MINING: Q3 Production

 

TORONTO, October 30, 2023 - McEwen Mining Inc. (NYSE: MUX) (TSX: MUX) is pleased to report production for Q3 2023 was 38,600 gold equivalent ounces (“GEOs”) and 104,800 GEOs for the nine months ended September 30th, 2023. Our consolidated production guidance for 2023 is maintained, despite the Gold Bar Mine’s production forecast being 13% below its guidance range. Our forecast for the full year 2023 (see Table 1) reflects actual productions to September 30th and management's current estimates for Q4 2023.

 

Table 1: Consolidated Production Summary

 

   Q3   9M   Full Year
2023
   2023 
   2022   2023   2022   2023   Forecast   Guidance 
Consolidated Production                        
Gold (oz)  26,200   31,500   74,650   86,100   124,300(3)   123,000-139,000 
Silver (oz)  853,000   580,200   1,894,100   1,531,200   2,300,000   2.3M-2.6M 
GEOs(1)   35,700   38,600   97,000   104,800   152,300   150,000-170,000 
Gold Bar Mine, Nevada                        
GEOs  7,200   9,500   18,600   23,900   36,500   42,000-48,000 
Fox Complex, Canada                        
GEOs  9,000   11,200   27,900   34,200   45,500   42,000-48,000 
San José Mine, Argentina (49%)(2)                         
Gold Production  9,900   10,800   27,400   28,000   40,000   39,000-43,000 
Silver Production
  852,200   580,200   1,892,400   1,531,200   2,300,000   2.3M-2.6M 
GEOs  19,300   17,900   49,700   46,700   68,000   66,000-74,000 

 

Notes:

(1)'Gold Equivalent Ounces' are calculated based on a gold-to-silver price ratio of 90:1 for Q3 2022, 82:1 for Q1 2023, 82:1 for Q2, 2023, and 81:1 for Q3 2023. 2023 production guidance is calculated based on an 85:1 gold-to-silver price ratio.

(2)The San José Mine is 49% owned by McEwen Mining Inc. and 51% owned and operated by Hochschild Mining plc. Production is shown on a 49% basis.

(3)El Gallo Mine (on care and maintenance) is expected to recover 2,300 gold oz in 2023 from plant and pond cleanout.

 

Gold Bar Mine, Nevada

 

Good progress has been made at Gold Bar recovering from a challenging first half of the year, as demonstrated by steadily increasing production quarter after quarter. Gold Bar has also maintained an excellent safety record with 1,313 days without a lost time injury as of September 30th. Crushing and stacking of ore on the heap leach pad reached a rate of 9,300 tonnes per day (tpd) in September, a major improvement over the average in the prior eight months of 6,150 tpd. Year-to-date, ore containing 41,600 ounces of gold has been loaded onto the heap leach pad with an average expected recovery rate of 68%. Due to the gold inventory on the heap leach pad, we are confident in a reasonably strong Q4 continuing into the start of 2024. The 2023 production forecast is 13% below the guidance established in December 2022, due to a combination of factors including flooding and extreme weather in the Spring and a slower leach recovery rate of Gold Bar South ore.

 

McEwen Mining Inc.Page 1 

 

 

 

Fox Complex, Timmins District

 

Fox performed well during Q3 and it is on track to slightly exceed the mid-point of our guidance range. Fox has achieved 738 days without a lost time injury as of September 30th. Mining at Froome is on track and the Stock mill continues to increase average throughput. We are pleased with the good exploration drilling results seen at our Stock Complex including the ‘Ramp Portal Zone’, which may represent an early mining horizon for our upcoming Stock West project (see news release dated October 3rd, 2023).

 

San José, Argentina

 

San José, which is operated by our joint venture partner Hochschild Mining, delivered Q3 production in line with our expectations for the quarter and guidance for the year. San José reported one lost time injury in August 2023, the worker has since recovered and returned to regular duty.

 

McEwen Copper

 

On October 11th our McEwen Copper subsidiary announced additional investments by Stellantis and Nuton of ARS$42 billion and US$10 million, respectively. Since the creation of McEwen Copper, shareholders have invested $397 million (including investments by Stellantis in Argentine Pesos at official exchange rates at the time of each transaction) to acquire shares even though the Company has remained private. The recent transactions occurred at $26.00 per share of McEwen Copper, giving it a market value of approximately $800 million. McEwen Mining retains 47.7% ownership of McEwen Copper, with an implied market value of $380 million, this represents a value accretion for McEwen Mining shareholders of $98 million or two (2) dollars per share since March 2023.

 

McEwen Copper is now well financed for the remainder of 2023 and well into 2024. The funds raised will be used to advance the feasibility study on the Los Azules project and for other corporate purposes. McEwen Mining also received proceeds of $6 million to augment its balance sheet.

 

Currently, we have fourteen drill rigs on site at Los Azules, scaling up to 18 drill rigs for our drilling campaign targeting more than 45,000 meters. This program will generate all the remaining data required to complete the planned feasibility study by Q1 2025.

 

Technical Information

 

The technical content of this news release related to financial results, mining and development projects has been reviewed and approved by William (Bill) Shaver, P.Eng., COO of McEwen Mining and a Qualified Person as defined by SEC S-K 1300 and the Canadian Securities Administrators National Instrument 43-101 "Standards of Disclosure for Mineral Projects."

 

Reliability of Information Regarding San José

 

Minera Santa Cruz S.A., the owner of the San José Mine, is responsible for and has supplied to the Company all reported results from the San José Mine. McEwen Mining’s joint venture partner, a subsidiary of Hochschild Mining plc, and its affiliates other than MSC do not accept responsibility for the use of project data or the adequacy or accuracy of this release.

 

McEwen Mining Inc.Page 2 

 

 

 

CAUTION CONCERNING FORWARD-LOOKING STATEMENTS

 

This news release contains certain forward-looking statements and information, including "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. The forward-looking statements and information expressed, as at the date of this news release, McEwen Mining Inc.'s (the "Company") estimates, forecasts, projections, expectations or beliefs as to future events and results. Forward-looking statements and information are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties, risks and contingencies, and there can be no assurance that such statements and information will prove to be accurate. Therefore, actual results and future events could differ materially from those anticipated in such statements and information. Risks and uncertainties that could cause results or future events to differ materially from current expectations expressed or implied by the forward-looking statements and information include, but are not limited to, fluctuations in the market price of precious metals, mining industry risks, political, economic, social and security risks associated with foreign operations, the ability of the corporation to receive or receive in a timely manner permits or other approvals required in connection with operations, risks associated with the construction of mining operations and commencement of production and the projected costs thereof, risks related to litigation, the state of the capital markets, environmental risks and hazards, uncertainty as to calculation of mineral resources and reserves, and other risks. Readers should not place undue reliance on forward-looking statements or information included herein, which speak only as of the date hereof. The Company undertakes no obligation to reissue or update forward-looking statements or information as a result of new information or events after the date hereof except as may be required by law. See McEwen Mining's Annual Report on Form 10-K for the fiscal year ended December 31, 2022 and other filings with the Securities and Exchange Commission, under the caption "Risk Factors", for additional information on risks, uncertainties and other factors relating to the forward-looking statements and information regarding the Company. All forward-looking statements and information made in this news release are qualified by this cautionary statement.

 

The NYSE and TSX have not reviewed and do not accept responsibility for the adequacy or accuracy of the contents of this news release, which has been prepared by management of McEwen Mining Inc.

 

ABOUT MCEWEN MINING

 

McEwen Mining is a gold and silver producer with operations in Nevada, Canada, Mexico and Argentina. In addition, it owns approximately 47.7% of McEwen Copper which owns the large, advanced stage Los Azules copper project in Argentina. The Company’s goal is to improve the productivity and life of its assets with the objective of increasing its share price and providing a yield. Its Chairman and Chief Owner has personally provided the company with $220 million and takes an annual salary of $1.

 

WEB SITE
www.mcewenmining.com 

 

CONTACT INFORMATION

 

150 King Street West 
Suite 2800, PO Box 24 
Toronto, ON, Canada 
M5H 1J9

 

Relationship with Investors: 
(866)-441-0690 Toll free 
(647)-258-0395

 

Mihaela Iancu ext. 320 
info@mcewenmining.com

 

 

SOCIAL MEDIA  

   
  McEwen Mining  
Facebook:
LinkedIn:
Twitter:
Instagram:
 
facebook.com/mcewenmining
linkedin.com/company/mcewen-mining-inc-

twitter.com/mcewenmining
instagram.com/mcewenmining
 
   
  McEwen Copper  
Facebook:
LinkedIn:
Twitter:
Instagram:
 
facebook.com/ mcewencopper
linkedin.com/company/mcewencopper
twitter.com/mcewencopper
instagram.com/mcewencopper
 
   
  Rob McEwen   
Facebook:
LinkedIn:
Twitter:
 
facebook.com/mcewenrob
linkedin.com/in/robert-mcewen-646ab24
twitter.com/robmcewenmux
 
 

McEwen Mining Inc.Page 3 

 

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Entity Address, Address Line One 150 King Street West
Entity Address, Address Line Two Suite 2800
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Title of 12(b) Security Common Stock
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