Augusta Gold Corp. reported its financial results for the three and nine months ended September 30, 2024, revealing significant changes in revenue, profitability, and operational expenses compared to the previous fiscal period.

For the third quarter of 2024, Augusta Gold recorded total operating expenses of $1,074,534, a decrease from $1,354,382 in Q3 2023. The net operating loss for the quarter was $(1,074,534), an improvement from the loss of $(1,354,382) in the same period last year. However, the company reported a net loss and comprehensive loss of $(1,709,380) for Q3 2024, contrasting sharply with a net income of $862,100 in Q3 2023. Earnings per share for the quarter were $(0.02), down from $0.01 in the prior year.

For the nine months ended September 30, 2024, total operating expenses were $3,583,902, down from $5,312,665 in the same period of 2023. The net operating loss for this period was $(3,583,902), compared to $(5,312,665) in 2023. However, the net loss and comprehensive loss for the nine months was $(4,825,560), a significant decline from a net income of $9,185,004 in the previous year. Earnings per share for the nine months were $(0.06), compared to $0.11 in 2023.

The company’s cash position as of September 30, 2024, was approximately $232,413, a decrease from $1,077,003 at the same time in 2023. Augusta Gold reported a working capital deficiency of approximately $32 million, raising concerns about its ability to continue as a going concern. The company’s liquidity has been impacted by a lack of proceeds from private placements, with no funds raised in 2024 compared to $8,568,651 in 2023.

Strategically, Augusta Gold has focused on its Reward Gold Project, which has established mineral reserves but has not yet made a development decision. The company continues to expense all mineral exploration costs. A feasibility study for the Reward Gold Project was released on September 30, 2024, indicating a positive cash flow potential based on a gold price of $1,850 per ounce.

In terms of operational changes, the company has reduced general and administrative expenses significantly, reflecting a decrease in corporate activities. Share-based compensation expenses also decreased, attributed to the cancellation of certain stock options following employee terminations. The company has not issued any common shares in the nine months ended September 30, 2024.

Overall, while Augusta Gold has managed to reduce its operating expenses, it continues to face challenges in profitability and liquidity, necessitating additional financing to support ongoing operations and project development.