Athabasca Minerals Announces Financial Results

Athabasca Minerals Inc. announced its second-quarter financial statements for the second-quarter ending June 30. The company:

  • Signed multi-year transload agreement for the delivery of silica sand into the Grande Prairie, Alberta, Canada, region.
  • Signed an 18-month sand supply agreement with a leading North American oilfield services firm for a total minimum commitment of 360,000 tons, subject to pricing adjustments.
  • Closed a definitive sale agreement with an arm’s length purchaser to divest of certain non-core assets within the aggregates division for total cash consideration of C$3.2 million.
  • Canaccord Genuity continued the exploration of strategic alternatives for the Corporation.
  • In the second quarter of 2023, Athabasca reported consolidated revenue of $14.4 million (compared to $7.5 million in second-quarter 2022), a gain of 92%, driven mainly by increasing revenue from industrial sand. Industrial sand revenue was $13.0 million, which is 90% of reported consolidated revenue. 

Total comprehensive loss in second-quarter 2023 is $606,145 versus total comprehensive loss of $4,770,632 in second-quarter 2022, an improvement of $4,164,487. Athabasca recognized a gross profit of $453,272 in second-quarter 2023, versus gross profit of $401,098 in Q2 2022. 

Dana Archibald, chief executive officer, stated, “AMI Silica LLC’s transload network has proven to be a key part of the corporation’s sales growth over the last several months. We are seeing higher demand for our sand despite the challenges that we faced throughout the second quarter, including wildfires, rail outages and floods. April and May of this year proved to be extremely challenging throughout our industry and Silica LLC was no exception, however we saw a healthy rebound in June. In addition, the recent disposition of non-core assets in Alberta provides AMI the opportunity to allocate resources to focus on our sand assets in both Canada and the United States.”

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