Page 28 By Frank Giorno Sitting at a table in a newly opened cafe in T immins the heart of Cana da s gold country a group of people were trying to recall the name of the mine west of Kirkland Lake All they could remember is that the name started with an A T ucked away west of Kirkland Lake of Highway 1 1 Canada s T ranscan ada Highway Alamos Gold s Y oung Davidson Mine has been a success ful but lowkey gold producer Alamos Gold also operates a second gold mine in Northern Ontario The Island Gold Mine located 83 kilo metres northeast of W awa Ontario Alamos is a Canadianbased inter mediate gold producer with diversi fed production from four operating mines in North America including the Y oungDavidson in Matachewan and Island Gold Mines near W awa in northern Ontario Canada They also operate the Mulatos and El Chanate Mines in Sonora Mexico In addition the Company has explo ration and development projects in L ynn Lake Manitoba Mexico T ur key and the United States Good mines and good people are the foundation of our growth John McCluskey President CEO Alamos Gold had its up and downs in 2018 Its record production levels were ofset by production difculties in its Mexican operations On the plus side Alamos reported record cash fow from operating activities of 2139 million 21 17 million or 054 per share before changes in working capital a 15 increase from 2017 Positive free cash fow were gener ated at each of the Company s op erations for total minesite free cash fow of 564 million Free cash fow FCF is the cash left over after a company pays for its operating ex penses and capital expenditures also known as CAPEX On the downside Alamos realized a net loss of 715 million or 018 per share Alamos closed 2018 on a high note with record production from Island Gold and a stronger performance from Y oungDavidson driving pro duction higher and costs lower in the fourth quarter This contribut ed to an 18 increase in full year production to 505000 oz meeting guidance and achieving a new re cord W e expect similar production in 2019 at lower costs contributing to stronger margins and fnancial performance said John A Mc Cluskey President and Chief Ex ecutive Ofcer During the 4th Quarter Alamos pro duced 125600 oz of gold an in crease from the third quarter refect ing a stronger performance from Y oungDavidson and record quar terly production from Island Gold The company sold a record 131161 oz of gold at an average realized price of 1244 per oz 17 above the average London PM Fix for rev enues of 1631 million T otal cash costs decreased to 770 per ounce the lowest in 2018 re fecting improved performance at Y oungDavidson allin sustaining costs AISC1 of 983 per oz also decreased from the third quarter Cost of sales of 1579 per oz were higher than guidance refecting a noncash inventory impairment charge at El Chanate of 640 mil lion or 488 per ounce The adjusted net earnings were re ported as 43 million or 001 per share that included onetime ad justments for a 640 million 499 million aftertax noncash inven tory impairment charge at El Chan ate as well as unrealized foreign exchange losses recorded within both deferred taxes and foreign ex change of 158 million and other items totaling 101 million Non Alamos Gold Producing Steady Success Contd on pg 28