Bear Creek Mining Announces Q2 2025 Mercedes Production Results and Drawdown of Funds
Bear Creek Mining (OTCQX: BCEKF) reported Q2 2025 production results from its Mercedes Mine, producing 7,973 ounces of gold and 33,932 ounces of silver. The quarter saw operational challenges due to contractor underperformance at the Marianas deposit, leading to the termination of the mining services agreement in May 2025.
The company drew down US$2.4 million from a Sandstorm Gold secured promissory note on July 14, 2025, bringing total drawdowns to US$3.6 million of the maximum US$6.5 million facility. The note bears a 7% annual interest rate with maturity in September 2028.
Notably, the company faces significant financial challenges with a working capital deficiency of US$93.2 million as of December 31, 2024, raising material uncertainty about its ability to continue as a going concern.
Bear Creek Mining (OTCQX: BCEKF) ha comunicato i risultati di produzione del secondo trimestre 2025 dalla sua miniera Mercedes, con una produzione di 7.973 once d'oro e 33.932 once d'argento. Il trimestre ha registrato difficoltà operative dovute a una scarsa performance del contraente presso il deposito Marianas, che ha portato alla risoluzione del contratto di servizi minerari a maggio 2025.
La società ha prelevato 2,4 milioni di dollari USA da una nota di debito garantita Sandstorm Gold il 14 luglio 2025, portando il totale dei prelievi a 3,6 milioni di dollari USA su un plafond massimo di 6,5 milioni di dollari USA. La nota prevede un tasso di interesse annuo del 7% con scadenza a settembre 2028.
È importante sottolineare che la società affronta gravi difficoltà finanziarie con un deficit di capitale circolante di 93,2 milioni di dollari USA al 31 dicembre 2024, sollevando incertezze significative sulla sua capacità di continuare l'attività come azienda in funzionamento.
Bear Creek Mining (OTCQX: BCEKF) informó los resultados de producción del segundo trimestre de 2025 de su mina Mercedes, con una producción de 7,973 onzas de oro y 33,932 onzas de plata. El trimestre presentó desafíos operativos debido al bajo rendimiento del contratista en el depósito Marianas, lo que llevó a la terminación del acuerdo de servicios mineros en mayo de 2025.
La compañía retiró 2,4 millones de dólares estadounidenses de una nota de pagaré garantizada por Sandstorm Gold el 14 de julio de 2025, alcanzando un total de retiros de 3,6 millones de dólares del máximo de 6,5 millones de dólares disponible. La nota tiene una tasa de interés anual del 7% con vencimiento en septiembre de 2028.
Es importante destacar que la empresa enfrenta dificultades financieras significativas con un déficit de capital de trabajo de 93,2 millones de dólares al 31 de diciembre de 2024, lo que genera incertidumbre material sobre su capacidad para continuar como empresa en marcha.
Bear Creek Mining (OTCQX: BCEKF)는 2025년 2분기 Mercedes 광산의 생산 실적을 보고했으며, 7,973 온스의 금과 33,932 온스의 은을 생산했습니다. 이번 분기는 Marianas 광상에서 계약업체의 부진으로 인한 운영상의 어려움을 겪었으며, 이에 따라 2025년 5월에 광산 서비스 계약이 해지되었습니다.
회사는 2025년 7월 14일 Sandstorm Gold가 담보한 약속어음에서 240만 달러를 인출하여 총 인출액을 최대 650만 달러 중 360만 달러로 늘렸습니다. 이 약속어음은 연 7% 이자율을 적용하며 만기는 2028년 9월입니다.
특히, 이 회사는 2024년 12월 31일 기준으로 9320만 달러의 운전자본 부족이라는 심각한 재정적 어려움에 직면해 있어, 계속 기업으로서의 존속 가능성에 중대한 불확실성을 안고 있습니다.
Bear Creek Mining (OTCQX : BCEKF) a annoncé les résultats de production du deuxième trimestre 2025 de sa mine Mercedes, avec une production de 7 973 onces d'or et 33 932 onces d'argent. Le trimestre a été marqué par des difficultés opérationnelles dues à la sous-performance du contractant au gisement Marianas, conduisant à la résiliation du contrat de services miniers en mai 2025.
La société a tiré 2,4 millions de dollars US d'une note de crédit garantie par Sandstorm Gold le 14 juillet 2025, portant le total des tirages à 3,6 millions de dollars US sur une facilité maximale de 6,5 millions de dollars. La note porte un taux d'intérêt annuel de 7% avec une échéance en septembre 2028.
Il est à noter que la société fait face à d'importants défis financiers avec un déficit de fonds de roulement de 93,2 millions de dollars US au 31 décembre 2024, ce qui soulève une incertitude majeure quant à sa capacité à poursuivre ses activités en tant qu'entreprise en continuité.
Bear Creek Mining (OTCQX: BCEKF) meldete die Produktionsergebnisse für das zweite Quartal 2025 aus seiner Mercedes-Mine mit einer Produktion von 7.973 Unzen Gold und 33.932 Unzen Silber. Das Quartal war durch operative Herausforderungen aufgrund der mangelhaften Leistung des Auftragnehmers am Marianas-Lager geprägt, was zur Kündigung des Bergbaudienstleistungsvertrags im Mai 2025 führte.
Das Unternehmen zog am 14. Juli 2025 2,4 Millionen US-Dollar aus einem von Sandstorm Gold besicherten Schuldschein ab, womit die Gesamtabhebungen auf 3,6 Millionen US-Dollar von der maximalen Kreditlinie von 6,5 Millionen US-Dollar stiegen. Der Schuldschein hat einen jährlichen Zinssatz von 7% und läuft im September 2028 ab.
Besonders hervorzuheben ist, dass das Unternehmen erhebliche finanzielle Herausforderungen mit einem Arbeitskapitaldefizit von 93,2 Millionen US-Dollar zum 31. Dezember 2024 hat, was erhebliche Unsicherheiten hinsichtlich der Fortführung des Geschäftsbetriebs aufwirft.
- Gold grade processed improved to 2.88 gpt from 2.56 gpt in Q1 2025
- Gold recovery increased to 96% from 95% in previous quarter
- Decisive action taken to address contractor underperformance by terminating the agreement
- Access to additional working capital through US$6.5 million Sandstorm Note facility
- Significant working capital deficiency of US$93.2 million raises going concern issues
- Production declined with gold output dropping to 7,973 oz from 8,262 oz in Q1 2025
- Ore processed decreased to 89,488 tonnes from 105,611 tonnes in Q1 2025
- Development meters declined to 1,828 from 2,469 in previous quarter
- Operational challenges including contractor underperformance and ventilation shaft issues
Vancouver, British Columbia--(Newsfile Corp. - July 16, 2025) - Bear Creek Mining Corporation (TSXV: BCM) (OTCQX: BCEKF) (BVL: BCM) ("Bear Creek" or the "Company") announces production of 7,973 ounces of gold and 33,932 ounces of silver from the Mercedes Mine ("Mercedes") during the three months ended June 30, 2025 ("Q2 2025").
Production and development results for the quarter ended June 30, 2025 are as follows:
| Q2 2025 | Q1 2025 | |
| Ore Mined (tonnes) | 91,941 | 102,886 |
| Ore Processed (tonnes) | 89,488 | 105,611 |
| Gold grade processed (gpt) | 2.88 | 2.56 |
| Gold recovery (%) | ||
| Gold ounces produced | 7,973 | 8,262 |
| Silver ounces produced | 33,932 | 36,466 |
| Development (meters) | 1,828 | 2,469 |
Q2 2025 production at the Mercedes mine reflects continued underperformance during the quarter by a mining contractor engaged in late 2024 primarily to provide specialized equipment, personnel and mining services at the narrow-vein Marianas deposit. After repeated attempts to resolve the contractor's underperformance, the Company took decisive action and terminated the mining services agreement in May 2025. The Company is currently implementing a comprehensive recovery plan for Mercedes' 2025 production and is finalizing the transition of mining activities at the Marianas deposit to a replacement contractor to support enhanced efficiency and continuity. The Marianas deposit is expected to contribute the majority of Mercedes' production in 2025.
As in the first quarter of the year, delayed production from Marianas was partially offset by accelerating pillar removal at San Martin, which deposit has now been fully mined. While gold grades and gold recovery improved quarter over quarter, the slow pace of mine development activity at Marianas, in combination with protractions in work on a new ventilation shaft resulting from poor rock conditions, led to a shortage of available production faces and negatively impacted development meters and both mined and processed tonnage.
The Strategic Review announced by the Company on March 4, 2025 remains actively ongoing as of the date of this release. As previously stated, numerous options may be considered under the Strategic Review including recapitalization, a sale of all or some of the Company's assets, a merger, joint-venture, business combination or any combination thereof. There are no assurances or guarantees that the Strategic Review will result in a transaction or, if a transaction is undertaken, the terms or timing of such a transaction.
Drawdown of Funds
Pursuant to the secured promissory note (the "2025 Sandstorm Note") issued to a wholly owned subsidiary of Sandstorm Gold Ltd. ("Sandstorm") on May 8, 2025, funds in the amount of US
The 2025 Sandstorm Note bears an interest rate of
On behalf of the Board of Directors,
Eric Caba
President and Chief Executive Officer
For further information contact:
Barbara Henderson - VP Corporate Communications
Direct: 604-628-1111
E-mail: barb@bearcreekmining.com
www.bearcreekmining.com
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NI 43-101 Disclosure
Unless otherwise indicated, scientific and technical information in this news release is based on work programs and initiatives conducted by or under the supervision of, and/or has been reviewed and approved by, Donald Mc Iver, Fellow SEG and Fellow Aus IMM, Vice President, Exploration and Geology of Bear Creek Mining Corporation, who is a qualified person ("QP") as defined in National Instrument 43-101 - Standards of Disclosure for Mineral Projects.
Cautionary Statement Regarding Forward-Looking Statements and Going Concern
This news release contains forward-looking statements regarding the inclusion and relative contribution of various deposits on future production at Mercedes; the delivery of mining services at the Marianas deposit; future completion of the Marianas ventilation shaft; contingency plans for Marianas ventilation; the Strategic Review; potential strategic and financial options available to the Company; whether the Strategic Review will result in a transaction; and, the terms or timing of any transaction resulting from the Strategic Review. In making the forward-looking statements included in this news release, the Company has applied several material assumptions, including, but not limited to assumptions related to the Company's exploration, development and operating activities, the availability of funds required to meet its requirements and plans, business objectives, goals and capabilities, assumptions related to gold and silver prices, and the expectation that anticipated exploration, development and operating results will not differ materially from expectations. Although management considers the assumptions underlying the forward-looking statements to be reasonable based on information available to it, they may prove to be incorrect. By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and the risk exists that estimates, forecasts, projections, and other forward-looking statements will not be achieved or that assumptions on which they are based do not reflect future experience. We caution readers not to place undue reliance on these forward-looking statements as a number of important factors could cause the actual outcomes to differ materially from the expectations expressed in them. These risk factors may be generally stated as the risk that the assumptions expressed above do not occur, but may include additional risks as described in the Company's latest Annual Information Form, and other disclosure documents filed by the Company on SEDAR+. The foregoing list of factors that may affect future results is not exhaustive. Investors and others should carefully consider the foregoing factors and other uncertainties and potential events. The Company does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by the Company or on behalf of the Company, except as required by law.
In its annual audited consolidated financial statements for the three and twelve months ended December 31, 2024 (Q4 2024"), the Company had a working capital (current assets minus current liabilities) deficiency of US
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/258971
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