U.S. Markets closed

Eldorado Gold Reports Q3 2019 Financial and Operational Results

VANCOUVER, British Columbia, Oct. 31, 2019 (GLOBE NEWSWIRE) -- Eldorado Gold Corporation (“Eldorado” or “the Company”) today reports the Company’s financial and operational results for the third quarter of 2019.

  • Extension of mine life at Kisladag supported by recent test results: Waste stripping to support a mine life extension at Kisladag is underway. Recent test results confirm recoveries from leaching deeper material over 250 day cycles support an extension of mine life beyond the Company's current three year guidance. Testwork is still ongoing and the Company expects to update long term guidance at Kisladag based on the results of this testwork, which are expected to be available in Q1 2020.
     
  • Permits for Skouries and Olympias received: Permits allow for, among other things, installation of electrical and mechanical equipment at Skouries and Olympias. Subsequent to the quarter the Company also received approval for the Skouries building permit, which will allow the Company to begin installation of the Skouries mill building, and consent from the Central Archaeological Council to relocate an ancient mining furnace from the Skouries open pit area, subject to Ministerial approval.
     
  • Successful ramp up at Lamaque: Lamaque achieved commercial production in April 2019 and has had two successful operating quarters. In September 2019, the Company announced that it is undertaking a Preliminary Economic Assessment (“PEA”) to increase average annual production from approximately 130,000 ounces of gold to approximately 170,000 ounces of gold.
     
  • Increased Q3 gold production and reiterating 2019 annual guidance: Gold production for the quarter totalled 101,596 ounces with 276,376 ounces produced year-to-date. Quarterly production included 32,037 ounces from Lamaque in its second quarter of commercial operations and was partially offset by a decrease in production at Olympias as a result of reduced tonnage fed to the processing plant.
     
  • Steady EBITDA: Higher sales volumes in the quarter resulted in earnings before interest, taxes and depreciation and amortization ("EBITDA") of $73.2 million. Adjusted EBITDA of $75.9 million excludes the impact of non-cash share-based compensation expense.
     
  • Liquidity strengthened: The Company finished the quarter with approximately $322 million of liquidity including $134.9 million in cash, cash equivalents and term deposits and approximately $187 million available under its $250 million revolving credit facility, with $63 million of capacity on the revolving credit facility allocated to secure certain reclamation obligations in connection with its operations.
     
  • Positive net earnings per share: Net earnings to shareholders in the quarter totalled $4.2 million, or $0.03 per share. Adjusted net earnings were $7.5 million, or $0.05 per share, after adjusting for non-cash deferred tax expense relating to foreign currency exchange rate fluctuations.

Eldorado's President and CEO, George Burns, stated: "We achieved several key milestones in the third quarter, including an excellent quarter at Lamaque, positive net earnings and steady EBITDA. At Kisladag positive test results have given us the confidence to begin waste stripping, which should extend the life of that asset. I’m very pleased with progress we are making in Greece. We have received installation permits for Skouries and Olympias as well as consent to move some historic mining workings from our Skouries site. We will continue to work with the government towards a mutually acceptable path forward to build safe, modern, world-class operations in Greece, including approval to implement dry stack tailings at Skouries. I look forward to working with the team on the exciting path we have in front of us as we move into 2020."

Consolidated Financial and Operational Highlights

  3 months ended September 30, 9 months ended September 30,
    2019   2018   2019   2018
Revenue (1) $ 172.3   $ 81.1   $ 426.0   $ 366.1  
Gold revenue (1) $ 150.2   $ 76.0   $ 355.6   $ 312.8  
Gold produced (oz) (2)   101,596     84,783     276,376     273,261  
Gold sold (oz) (1)   99,241     64,589     256,000     245,400  
Average realized gold price ($/oz sold) (5) $ 1,513   $ 1,177   $ 1,389   $ 1,274  
Cash operating costs  ($/oz sold) (3,5)   560     754     602     625  
Total cash costs ($/oz sold) (3,5)   603     762     641     647  
All-in sustaining costs ($/oz sold) (3,5)   1,031     1,112     998     944  
Net earnings (loss) for the period (4)   4.2     (128.0 )   (10.6 )   (143.7 )
Net earnings (loss) per share – basic ($/share) (4)   0.03     (0.81 )   (0.07 )   (0.91 )
Adjusted net earnings (loss) (4,5)   7.5     (21.9 )   (14.7 )   (9.5 )
Adjusted net earnings (loss) per share ($/share) (4,5)   0.05     (0.14 )   (0.09 )   (0.06 )
Cash flow from operating activities before changes in working capital (5,6)   62.9     (1.7 )   108.6     60.4  
Cash, cash equivalents and term deposits $ 134.9   $ 385.0   $ 134.9   $ 385.0  

(1) Excludes sales of inventory mined at Lamaque and Olympias (Q1 2018) during the pre-commercial production period.  
(2) Includes pre-commercial production at Lamaque and Olympias (Q1 2018).
(3) By-product revenues are off-set against cash operating costs.
(4) Attributable to shareholders of the Company.
(5) These measures are non-IFRS measures. See the September 30, 2019 MD&A for explanations and discussion of these non-IFRS measures. 
(6) 2018 amounts have been adjusted to reflect reclassifications in cash flow from operating activities in the current periods.

Gold sales of 99,241 ounces increased from 64,589 ounces in the third quarter of 2018 primarily due to the sale of 31,122 ounces from Lamaque in its second quarter of commercial operations.

Total revenues increased to $172.3 million from $81.1 million in the third quarter of 2018 as a result of higher sales volumes and a higher average realized gold price of $1,513 per ounce in the third quarter of 2019 compared to $1,177 per ounce in the third quarter of 2018.

Cash operating costs per ounce sold decreased to $560 from $754 in the third quarter of 2018, primarily due to the ramp-up of mining, crushing and placement of ore on the Kisladag heap leach pad beginning in April 2019, and the partial allocation of processing costs to gold inventory in the heap leach pad. This was partially offset by higher cash operating costs per ounce sold at Olympias as a result of lower production levels and at Efemcukuru as a result of increased transportation costs.

Net earnings attributable to shareholders of $4.2 million ($0.03 per share) improved from a net loss attributable to shareholders in the third quarter of 2018 of $128.0 million ($0.81 loss per share). The improvement was primarily a result of higher sales volumes in the third quarter and an impairment charge in the third quarter of 2018 of $117.6 million ($94.1 million net of deferred income tax recovery) relating to the Kisladag heap leach pad.

Higher sales volumes in the quarter resulted in EBITDA of $73.2 million. Adjusted EBITDA of $75.9 million excludes the impact of share based payments.

Adjusted net earnings were $7.5 million ($0.05 per share) in the quarter, compared to adjusted net loss of $21.9 million ($0.14 loss per share) in the third quarter of 2018. Adjusted net earnings in the third quarter of 2019 removes, among other things, $3.4 million of deferred tax expense relating to foreign currency exchange rate fluctuations. Adjusted net loss in the third quarter of 2018 primarily removes the $117.6 million impairment charge ($94.1 million net of deferred income tax recovery) relating to the Kisladag heap leach operations.

Gold Operations

  3 months ended September 30, 9 months ended September 30,
    2019   2018   2019   2018
Total        
Ounces produced (1)   101,596     84,783     276,376     273,261  
Ounces sold (2)   99,241     64,589     256,000     245,400  
Cash operating costs ($/oz sold) (4) $ 560   $ 754   $ 602   $ 625  
All-in sustaining costs ($/oz sold) (4) $ 1,031   $ 1,112   $ 998   $ 944  
Sustaining capex (4) $ 30.0   $ 12.1   $ 56.3   $ 37.2  
Kisladag        
Ounces produced (3)   35,885     34,070     89,204     143,814  
Ounces sold   35,881     34,069     89,208     143,539  
Cash operating costs ($/oz sold) (4) $ 399   $ 890   $ 442   $ 685  
All-in sustaining costs ($/oz sold) (4) $ 566   $ 1,010   $ 580   $ 821  
Sustaining capex (4) $ 3.9   $ 3.3   $ 8.0   $ 13.6  
Lamaque        
Ounces produced (1)   32,037     13,430     84,855     19,304  
Ounces sold (2)   31,122     n/a     55,452   n/a  
Cash operating costs ($/oz sold) (4) $ 480     n/a   $ 496   n/a  
All-in sustaining costs ($/oz sold) (4) $ 1,089     n/a   $ 968   n/a  
Sustaining capex (4) $ 15.9     n/a   $ 21.2   n/a  
Efemcukuru        
Ounces produced   25,733     24,493     77,524     71,494  
Ounces sold   25,583     23,104     80,222     73,957  
Cash operating costs ($/oz sold) (4) $ 591   $ 456   $ 596   $ 503  
All-in sustaining costs ($/oz sold)  (4) $ 900   $ 766   $ 859   $ 769  
Sustaining capex (4) $ 5.2   $ 5.7   $ 14.2   $ 15.3  
Olympias        
Ounces produced   7,941     12,790     24,793     38,649  
Ounces sold   6,655     7,416     31,118     27,904  
Cash operating costs ($/ounce) $ 1,678   $ 1,058   $ 1,268   $ 643  
All in sustaining costs ($/ounce) $ 2,598   $ 1,688   $ 1,776   $ 1,107  
Sustaining capex $ 4.9   $ 3.1   $ 12.9   $ 8.3  

(1) Includes pre-commercial production at Lamaque and at Olympias (Q1 2018).
(2) Excludes sales of inventory produced at Lamaque and Olympias (Q1 2018) during the pre-commercial production period. In the nine months ended September 30, 2019, 27,627 ounces were sold from inventory produced during the pre-commercial production period. 
(3) Kisladag resumed mining, crushing and placing ore on the heap leach pad on April 1, 2019. This activity had been suspended since April 2018.
(4) These measures are non-IFRS measures. See the September 30, 2019 MD&A for explanations and discussion of these non-IFRS measures.

Gold production of 101,596 ounces increased from 84,783 ounces in the third quarter of 2018 primarily due to 32,037 ounces produced at Lamaque in its second quarter of commercial operations. This was partially offset by a decrease in production at Olympias as a result of reduced tonnage fed to the processing plant.

Conference Call

A conference call to discuss the details of the Company’s Q3 2019 results will be held by senior management on Friday, November 1, 2019 at 8:30 AM PT (11:30 AM ET). The call will be webcast and can be accessed at Eldorado Gold’s website: www.eldoradogold.com and via this link: http://services.choruscall.ca/links/eldoradogold20191101.html.

Conference Call Details   Replay (available until Dec. 6, 2019)
Date: November 1, 2019   Vancouver: +1 604 638 9010
Time: 8:30 am PT (11:30 am ET)   Toll Free: 1 800 319 6413
Dial in: +1 604 638 5340   Access code: 3612
Toll free: 1 800 319 4610      

About Eldorado Gold

Eldorado is a gold and base metals producer with mining, development and exploration operations in Turkey, Canada, Greece, Romania, Serbia, and Brazil. The Company has a highly skilled and dedicated workforce, safe and responsible operations, a portfolio of high-quality assets, and long-term partnerships with local communities. Eldorado's common shares trade on the Toronto Stock Exchange (ELD.TO) and the New York Stock Exchange (EGO).

Contacts

Investor Relations

Peter Lekich, Manager Investor Relations
604.687.4018 or 1.888.353.8166   peter.lekich@eldoradogold.com

Media

Louise Burgess, Director Communications & Government Relations
604.687.4018 or 1.888.353.8166   louise.burgess@eldoradogold.com

Non-IFRS Measures

Certain non-IFRS measures are included in this press release, including average realized gold price per ounce sold, cash operating costs and cash operating costs per ounce sold, total cash costs and total cash costs per ounce sold, all-in sustaining costs ("AISC") and AISC per ounce sold, adjusted net earnings/(loss), adjusted net earnings/(loss) per share, working capital, cash flow from operations before changes in non-cash working capital, earnings before interest, taxes and depreciation and amortization ("EBITDA") and adjusted earnings before interest, taxes and depreciation and amortization ("Adjusted EBITDA") and sustaining capital. Please see the September 30, 2019 MD&A for explanations and discussion of these non-IFRS measures. The Company believes that these measures, in addition to conventional measures prepared in accordance with International Financial Reporting Standards (“IFRS”), provide investors an improved ability to evaluate the underlying performance of the Company. The non-IFRS measures are intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. These measures do not have any standardized meaning prescribed under IFRS, and therefore may not be comparable to other issuers.

Cautionary Note about Forward-looking Statements and Information

Certain of the statements made and information provided in this press release are forward-looking statements or information within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. Often, these forward-looking statements and forward-looking information can be identified by the use of words such as "plans", "expects", "is expected", "budget", “continue”, “projected”, "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or the negatives thereof or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved.

Forward-looking statements or information contained in this release include, but are not limited to, statements or information with respect to: our guidance and outlook, including expected production, cost guidance and recoveries of gold, favourable economics for our heap leaching plan and the ability to extend mine life at our projects, including at Kisladag through further metallurgical tests on deeper material, completion and results of waste stripping at Kisladag, improved production at Olympias, completion and results of construction and the PEA at Lamaque, completion of construction at Skouries, planned capital and exploration expenditures; our expectation as to our future financial and operating performance, expected metallurgical recoveries, gold price outlook and the global concentrate market; and our strategy, plans and goals, including our proposed exploration, development, construction, permitting and operating plans and priorities and related timelines and schedules and results of litigation and arbitration proceedings.

Forward-looking statements and forward-looking information by their nature are based on assumptions and involve known and unknown risks, market uncertainties and other factors, which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements or information.

We have made certain assumptions about the forward-looking statements and information, including assumptions about the geopolitical, economic, permitting and legal climate that we operate in; the future price of gold and other commodities; the global concentrate market; exchange rates; anticipated costs and expenses; production, mineral reserves and resources and metallurgical recoveries, the impact of acquisitions, dispositions, suspensions or delays on our business and the ability to achieve our goals. In particular, except where otherwise stated, we have assumed a continuation of existing business operations on substantially the same basis as exists at the time of this release.

Even though our management believes that the assumptions made and the expectations represented by such statements or information are reasonable, there can be no assurance that the forward-looking statement or information will prove to be accurate. Many assumptions may be difficult to predict and are beyond our control.

Furthermore, should one or more of the risks, uncertainties or other factors materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements or information. These risks, uncertainties and other factors include, among others, the following: results of further testwork, recoveries of gold and other metals; geopolitical and economic climate (global and local), risks related to mineral tenure and permits; gold and other commodity price volatility; continued softening of the global concentrate market; risks regarding potential and pending litigation and arbitration proceedings relating to the Company’s, business, properties and operations; expected impact on reserves and the carrying value; the updating of the reserve and resource models and life of mine plans; mining operational and development risk; financing risks, foreign country operational risks; risks of sovereign investment; regulatory risks and liabilities including, environmental regulatory restrictions and liability; discrepancies between actual and estimated production, mineral reserves and resources and metallurgical testing and recoveries; additional funding requirements; currency fluctuations; community and non-governmental organization actions; speculative nature of gold exploration; dilution; share price volatility and the price of the common shares of the Company; competition; loss of key employees; and defective title to mineral claims or properties, as well as those risk factors discussed in the sections titled “Forward-Looking Statements” and "Risk factors in our business" in the Company's  most recent Annual Information Form & Form 40-F. The reader is directed to carefully review the detailed risk discussion in our most recent Annual Information Form filed on SEDAR under our Company name, which discussion is incorporated by reference in this release, for a fuller understanding of the risks and uncertainties that affect the Company’s business and operations.

Forward-looking statements and information is designed to help you understand management’s current views of our near and longer term prospects, and it may not be appropriate for other purposes.

There can be no assurance that forward-looking statements or information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, you should not place undue reliance on the forward-looking statements or information contained herein. Except as required by law, we do not expect to update forward-looking statements and information continually as conditions change.

Financial Information and condensed statements contained herein or attached hereto may not be suitable for readers that are unfamiliar with the Company and is not a substitute for reading the Company’s financial statements and related MD&A available on our website and on SEDAR under our Company name. The reader is directed to carefully review such document for a full understanding of the financial information summarized herein.

Except as otherwise noted, scientific and technical information contained in this press release was reviewed and approved by Paul Skayman, FAusIMM, Chief Operating Officer for Eldorado Gold Corporation, and a "qualified person" under NI 43-101.

Eldorado Gold Corporation
Condensed Consolidated Interim Statements of Financial Position
(Unaudited – in thousands of U.S. dollars)

As at Note   September 30, 2019   December 31, 2018
ASSETS          
Current assets          
Cash and cash equivalents     $ 129,978     $ 286,312  
Term deposits     4,889     6,646  
Restricted cash     20     296  
Marketable securities     3,357     2,572  
Accounts receivable and other 4   77,616     80,987  
Inventories 5   151,459     137,885  
Assets held for sale 14   12,591      
      379,910     514,698  
Restricted cash     3,234     13,449  
Other assets     15,418     10,592  
Defined benefit pension plan     9,467     9,120  
Property, plant and equipment     3,997,067     3,988,476  
Goodwill     92,591     92,591  
      $ 4,497,687     $ 4,628,926  
LIABILITIES & EQUITY          
Current liabilities          
Accounts payable and accrued liabilities     $ 121,284     $ 137,900  
Current portion of lease liabilities     8,420     2,978  
Current portion of debt 6   33,333      
Current portion of asset retirement obligations     824     824  
Liabilities associated with assets held for sale 14   4,207      
      168,068     141,702  
Debt 6   449,755     595,977  
Lease liabilities     18,529     6,538  
Defined benefit pension plan     14,884     14,375  
Asset retirement obligations     88,568     93,319  
Deferred income tax liabilities     419,205     429,929  
      1,159,009     1,281,840  
Equity          
Share capital     3,008,172     3,007,924  
Treasury stock     (8,737 )   (10,104 )
Contributed surplus     2,625,457     2,620,799  
Accumulated other comprehensive loss     (24,296 )   (24,494 )
Deficit     (2,321,034 )   (2,310,453 )
Total equity attributable to shareholders of the Company     3,279,562     3,283,672  
Attributable to non-controlling interests     59,116     63,414  
      3,338,678     3,347,086  
      $ 4,497,687     $ 4,628,926  


Eldorado Gold Corporation

Condensed Consolidated Interim Statements of Operations                  
For the three and nine months ended September 30, 2019 and 2018
(Unaudited – in thousands of U.S. dollars except share and per share amounts)

         
    Three months ended   Nine months ended
    September 30,   September 30,
  Note 2019   2018   2019   2018
Revenue                
  Metal sales 7 $ 172,256     $ 81,070     $ 425,958     $ 366,146  
                 
Cost of sales                
  Production costs   84,813     56,066     237,630     209,145  
  Depreciation and amortization   40,017     20,257     101,147     83,927  
    124,830     76,323     338,777     293,072  
                 
Earnings from mine operations   47,426     4,747     87,181     73,074  
                 
Exploration and evaluation expense   2,774     8,014     10,668     26,668  
Mine standby costs   2,529     4,460     13,972     11,470  
General and administrative expense   7,431     10,896     22,687     33,127  
Defined benefit pension plan expense   458     201     1,567     2,331  
Share based payments 10 2,727     1,580     8,127     5,742  
Impairment (reversal of impairment) 14,15     117,570     (11,690 )   117,570  
(Write-up) write-down of assets   (414 )   536     13     1,386  
Foreign exchange loss (gain)   643     (3,034 )   878     374  
Earnings (loss) from operations   31,278     (135,476 )   40,959     (125,594 )
                 
Other income 8(a) 871     6,284     11,159     13,878  
Finance costs 8(b) (13,170 )   (839 )   (37,287 )   (8,113 )
Earnings (loss) from operations before income tax   18,979     (130,031 )   14,831     (119,829 )
                 
Income tax expense   15,888     661     29,930     29,324  
Net earnings (loss) for the period   $ 3,091     $ (130,692 )   $ (15,099 )   $ (149,153 )
                 
Attributable to:                
Shareholders of the Company   4,233     (128,045 )   (10,581 )   (143,718 )
Non-controlling interests   (1,142 )   (2,647 )   (4,518 )   (5,435 )
Net earnings (loss) for the period   $ 3,091     $ (130,692 )   $ (15,099 )   $ (149,153 )
                 
Weighted average number of shares outstanding (thousands)                
Basic   158,462     158,294     158,409     158,434  
Diluted   161,735     158,294     158,409     158,434  
                 
Net earnings (loss) per share attributable to shareholders of the Company:                
Basic earnings (loss) per share   $ 0.03     $ (0.81 )   $ (0.07 )   $ (0.91 )
Diluted earnings (loss) per share   $ 0.03     $ (0.81 )   $ (0.07 )   $ (0.91 )


Eldorado Gold Corporation
Condensed Consolidated Interim Statements of Comprehensive Income (Loss)
For the three and nine months ended September 30, 2019 and 2018
(Unaudited – in thousands of U.S. dollars)

           
      Three months ended   Nine months ended
      September 30,   September 30,
  Note   2019   2018   2019   2018
                   
Net earnings (loss) for the period     $ 3,091     $ (130,692 )   $ (15,099 )   $ (149,153 )
Other comprehensive income (loss):                  
Items that will not be reclassified to earnings or loss:                  
Change in fair value of investments in equity securities, net of tax     (378 )   (875 )   785     (2,034 )
Actuarial (loss) gain on defined benefit pension plan, net of tax     (178 )   (200 )   (587 )   450  
Total other comprehensive income (loss) for the period     (556 )   (1,075 )   198     (1,584 )
Total comprehensive income (loss) for the period     $ 2,535     $ (131,767 )   $ (14,901 )   $ (150,737 )
                   
Attributable to:                  
Shareholders of the Company     3,677     (129,120 )   (10,383 )   (145,302 )
Non-controlling interests     (1,142 )   (2,647 )   (4,518 )   (5,435 )
      $ 2,535     $ (131,767 )   $ (14,901 )   $ (150,737 )


Eldorado Gold Corporation

Condensed Consolidated Interim Statements of Cash Flows                          
For the three and nine months ended September 30, 2019 and 2018
(Unaudited – in thousands of U.S. dollars)

    Three months ended   Nine months ended
    September 30,   September 30,
  Note 2019   2018   2019   2018
Cash flows generated from (used in):                
Operating activities                
Net earnings (loss) for the period   $ 3,091     $ (130,692 )   $ (15,099 )   $ (149,153 )
Items not affecting cash:                
Depreciation and amortization   41,759     19,828     102,889     83,498  
Finance costs 8(b) 13,170     839     37,287     8,113  
Unrealized foreign exchange (gain) loss   (555 )   (144 )   (906 )   274  
Income from royalty sale 8(a)         (8,075 )    
Income tax expense   15,888     661     29,930     29,324  
Impairment (reversal) of impairment 14,15     117,570     (11,690 )   117,570  
(Write-up) write-down of assets   (414 )   536     13     1,386  
Gain on derivatives and other investments 8(a)     (2,326 )       (4,520 )
Share based payments 10 2,727     1,580     8,127     5,742  
Defined benefit pension plan expense   458     201     1,567     2,331  
    76,124     8,053     144,043     94,565  
Property reclamation payments   (759 )   (801 )   (2,555 )   (3,200 )
Severance and pension payments   (332 )   (49 )   (1,681 )   (2,299 )
Income taxes paid   (8,593 )   (8,860 )   (12,603 )   (24,461 )
Interest paid   (3,505 )       (18,641 )   (4,203 )
Changes in non-cash working capital 11 (11,728 )   15,638     (6,961 )   2,200  
Net cash generated from operating activities   51,207     13,981     101,602     62,602  
                 
Investing activities                
Purchase of property, plant and equipment   (34,760 )   (56,203 )   (148,700 )   (160,491 )
Capitalized interest paid           (3,848 )   (14,172 )
Proceeds from the sale of property, plant and equipment   108     68     3,880     7,880  
Proceeds on pre-commercial production sales, net       (3,894 )   12,159     1,308  
Value added taxes related to mineral property expenditures, net   104     1,858     (7,615 )   6,660  
(Investment in) redemption of term deposits   (114 )   (5 )   1,757     (1,123 )
Decrease (increase) in restricted cash 6(b) 297     (30 )   10,491     (898 )
Net cash used in investing activities   (34,365 )   (58,206 )   (131,876 )   (160,836 )
                 
Financing activities                
Issuance of common shares for cash   161         179      
Contributions from non-controlling interests   220         220      
Proceeds from borrowings           494,000      
Repayment of borrowings 6(c)         (600,000 )    
Loan financing costs   (428 )       (15,423 )    
Principal elements of lease payments   (2,387 )   (601 )   (4,773 )   (815 )
Purchase of treasury stock               (2,108 )
Net cash used in financing activities   (2,434 )   (601 )   (125,797 )   (2,923 )
                 
Net increase (decrease) in cash and cash equivalents   14,408     (44,826 )   (156,071 )   (101,157 )
Cash and cash equivalents - beginning of period   115,833     423,170     286,312     479,501  
    130,241     378,344     130,241     378,344  
Cash in disposal group held for sale 14 (263 )       (263 )    
Cash and cash equivalents - end of period   $ 129,978     $ 378,344     $ 129,978     $ 378,344  


Eldorado Gold Corporation

Condensed Consolidated Interim Statements of Changes in Equity                        
For the three and nine months ended September 30, 2019 and 2018
(Unaudited – in thousands of U.S. dollars)

      Three months ended   Nine months ended
      September 30,   September 30,
  Note   2019   2018   2019   2018
Share capital                  
Balance beginning of period     $ 3,007,944     $ 3,007,924     $ 3,007,924     $ 3,007,924  
Shares issued upon exercise of share options, for cash     161         179      
Transfer of contributed surplus on exercise of options     67         69      
Balance end of period     $ 3,008,172     $ 3,007,924     $ 3,008,172     $ 3,007,924  
                   
Treasury stock                  
Balance beginning of period     $ (8,813 )   $ (10,104 )   $ (10,104 )   $ (11,056 )
Purchase of treasury stock                 (2,108 )
Shares redeemed upon exercise of restricted share units     76         1,367     3,060  
Balance end of period     $ (8,737 )   $ (10,104 )   $ (8,737 )   $ (10,104 )
                   
Contributed surplus                  
Balance beginning of period     $ 2,623,523     $ 2,617,108     $ 2,620,799     $ 2,616,593  
Share based payments     2,077     1,861     6,094     5,436  
Shares redeemed upon exercise of restricted share units     (76 )       (1,367 )   (3,060 )
Transfer to share capital on exercise of options     (67 )       (69 )    
Balance end of period     $ 2,625,457     $ 2,618,969     $ 2,625,457     $ 2,618,969  
                   
Accumulated other comprehensive loss                  
Balance beginning of period     $ (23,740 )   $ (21,859 )   $ (24,494 )   $ (21,350 )
Other comprehensive (loss) income for the period     (556 )   (1,075 )   198     (1,584 )
Balance end of period     $ (24,296 )   $ (22,934 )   $ (24,296 )   $ (22,934 )
                   
Deficit                  
Balance beginning of period     $ (2,325,267 )   $ (1,964,242 )   $ (2,310,453 )   $ (1,948,569 )
Net earnings (loss) attributable to shareholders of the Company     4,233     (128,045 )   (10,581 )   (143,718 )
Balance end of period     $ (2,321,034 )   $ (2,092,287 )   $ (2,321,034 )   $ (2,092,287 )
Total equity attributable to shareholders of the Company     $ 3,279,562     $ 3,501,568     $ 3,279,562     $ 3,501,568  
                   
Non-controlling interests                  
Balance beginning of period     $ 60,257     $ 78,153     $ 63,414     $ 79,940  
Net loss attributable to non-controlling interests     (1,142 )   (2,647 )   (4,518 )   (5,435 )
Contributions from non-controlling interests     1     220     220     1,221  
Balance end of period     $ 59,116     $ 75,726     $ 59,116     $ 75,726  
Total equity     $ 3,338,678     $ 3,577,294     $ 3,338,678     $ 3,577,294  

Please see the Condensed Consolidated Interim Financial Statements dated September 30, 2019 for notes to the accounts.