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WESDOME Wesdome Announces 2020 Fourth Quarter and Full Year Financial Results TORONTO , March 10 , 2021 ( GLOBE NEWSWIRE ) -- Wesdome Gold Mines Ltd. ( TSX : WDO ) ( " Wesdome " or the " Company " ) ( " Q4 2020 " ) and full year 2020 financial results . The Company's full consolidated financial statements and management discussion & analysis are available on SEDAR at www.sedar.com and on the Company's website at www.wesdome.com . All figures are stated in Canadian dollars unless otherwise noted . Key highlights of 2020 : Production of 90,278 ounces . Company free cash flow¹ generation of $ 29.0 million , net of investing $ 40.5 million into the Kiena Complex , an increase of 332 % over 2019 . Net income increased by 24 % from 2019 and adjusted net income¹ increased by 31 % from 2019 . Operating cash flow increased by 44 % from 2019 . Increased Eagle River Reserves by 5 % net of 93,132 ounces of depletion . Increased Eagle River inferred Resources by 22 % . Kiena Mine Complex Mineral Resources total 796,000 ounces of indicated and 656,000 ounces inferred . Inferred Resources in the Kiena Deep A Zones of 120,400 ounces . Processed a portion of the bulk sample from Kiena generating $ 3.6 million . 1. Refer to the Company's 2020 Annual Management Discussion and Analysis on pages 28 - 35 , entitled " Non - IFRS Performance Measures " for the reconciliation of these non - IFRS measurements to the financial statements . Mr. Duncan Middlemiss , President and CEO commented , " 2020 was a unique , and at times challenging year as we were faced with the ongoing COVID - 19 pandemic . First and foremost , I am very pleased to report that none of our sites or offices had any reported cases of the COVID - 19 virus . Despite having to operate both sites at reduced capacities in order to protect our employees , we were able to achieve a number of important milestones this year , such as achieving our production guidance at Eagle River , increasing free cash flow by $ 22.3 million over 2019 , and advancing the Kiena Complex through to mining and milling of a bulk sample . Loss of operational efficiencies due to the evolving pandemic did have an impact on costs , and the volume of diamond drilling . Both operating and AISC costs came in higher than guidance as a result of these measures and the inherent inefficiencies of social distancing in underground operations . We have taken the continuing pandemic into account when forecasting our 2021 cost guidance . Production guidance for the year is 92,000 - 105,000 ounces with grades expecting to average between 13.0 and 15.0 g / t . At the Eagle River mine , we completed 50,000 metres of drilling , replaced 93,132 ounces of depletion , and added an additional 30,000 ounces . As well , we increased the inferred resources by 22 % , while slightly increasing grade to 12.5 g / t . Current mineral reserves at Eagle River as of December 31 , 2020 are 581,000 ounces of gold from 1.4 Mt at an overall grade of 13.4 g / t Au ; as compared to the mineral reserves as of December 31 , 2019 of 1.2 Mt at a grade of 14.4 g / t Au containing 550,000 ounces of gold . In 2021 , we plan to conduct significantly more drilling with metres budgeted to range between 164,000 and 174,000 metres . This is split out as 60,000 - 70,000 metres of underground exploration drilling , 50,000 metres of underground definition drilling , and 54,000 metres of surface drilling . The exploration drilling will focus on the 300 E Zone , Falcon 7 Zone and west of 7 Zone , and east of currently mined areas in the central area of the mine diorite . I At Kiena , while we were not able to generate the planned volume of drilling due to the Quebec government mandated shut down of operations and the ongoing effects of regional quarantines , we were still able to convert a large portion of A Zone inferred resources to indicated ounces , which has been used as the basis for our PFS , on track to be published in Q2 2021. We expect to be in a position to make a restart decision shortly thereafter which would set us on a path in a short timeframe to Wesdome realizing a second producing asset . We expect to have our final reconciliation of the bulk sample in the near term and early indications are very positive in terms of grades and tonnes . We are also guiding first production for the Kiena mine this year of 15,000 - 25,000 ounces . " Operating and financial highlights of the full year 2020 results include : Gold production of 90,278 ounces from the Eagle River Complex ( 2019 : 91,688 ounces ) : ₁ Eagle River Underground 196,441 tonnes at a head grade of 14.2 grams per tonne ( " g / t " ) Au for 87,560 ounces produced ( 2019 : 88,617 ounces ) . i Mishi Open Pit 39,856 tonnes at a head grade of 2.7 g / t Au for 2,718 ounces produced ( 2019 : 3,072 ounces ) . Revenue of $ 215.5 million ( 2019 : $ 164.0 million ) from 91,229 ounces of gold sold at an average sales price of $ 2,360 / oz ( 2019 : 88,423 ounces at an average price of $ 1,853 / oz ) . Cash costs¹ of $ 1,053 / oz or US $ 785 / oz ( 2019 : $ 825 / oz or US $ 621 / oz ) . All - in sustaining costs¹ ( “ AISC ” ) of $ 1,396 / oz or US $ 1,040 / oz ( 2019 : $ 1,293 / oz or US $ 975 / oz ) .