Contango ORE Files Q3 2024 10-Q

Ticker: CTGO · Form: 10-Q · Filed: 2024-11-14T00:00:00.000Z

Sentiment: neutral

Topics: 10-Q, mining, financials, debt

TL;DR

**Contango ORE Q3 10-Q filed. Details on commodity contracts & credit facilities.**

AI Summary

Contango ORE, Inc. filed its 10-Q for the period ending September 30, 2024. The company's financial statements reflect various financial instruments and agreements, including commodity contracts and credit facilities. Key dates and entities mentioned include the Tetlin Lease (July 15, 2012), the Credit Agreement (May 17, 2023), and Alaska Gold Torrent LLC (August 24, 2021). The filing also details fair value inputs and commodity contract information for the period.

Why It Matters

This filing provides investors with an update on Contango ORE's financial health and operational status, including details on their commodity contracts and debt facilities.

Risk Assessment

Risk Level: medium — The company operates in the gold and silver ores sector, which is subject to commodity price volatility and operational risks.

Key Numbers

Key Players & Entities

FAQ

What is the primary business of Contango ORE, Inc.?

Contango ORE, Inc. is primarily involved in the gold and silver ores sector, as indicated by its SIC code [1040].

When was the Tetlin Lease agreement entered into?

The Tetlin Lease agreement is associated with the date July 15, 2012.

What is the nature of the 'CommodityContract' mentioned in the filing?

The filing mentions 'CommodityContractMember' and 'DerivativeContractLiabilityCurrentMember', suggesting these are financial instruments related to commodity prices.

When was the Credit Agreement for the Term Loan Facility established?

The Credit Agreement for the Term Loan Facility was established on May 17, 2023.

What is the fiscal year end for Contango ORE, Inc.?

Contango ORE, Inc.'s fiscal year ends on December 31.

Filing Stats: 4,431 words · 18 min read · ~15 pages · Grade level 17 · Accepted 2024-11-14 07:00:27

Key Financial Figures

Filing Documents

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION Item 1.

Financial Statements

Financial Statements Condensed Consolidated Balance Sheets as of September 30, 2024 (unaudited) and December 31, 2023 3 Condensed Consolidated Statements of Operations for the Three and Nine Months Ended September 30, 2024 and 2023 (unaudited) 4 Condensed Consolidated Statements of Cash Flows for the Nine Months Ended September 30, 2024 and 2023 (unaudited) 5 Condensed Consolidated Statement of Stockholders' Equity (Deficit) for the Three and Nine Months Ended September 30, 2024 and 2023 (unaudited) 6 Notes to Unaudited Condensed Consolidated Financial Statements 7 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 23 Item 3.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 29 Item 4.

Controls and Procedures

Controls and Procedures 30

– OTHER INFORMATION

PART II – OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 30 Item 1A.

Risk Factors

Risk Factors 30 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 31 Item 4. Mine Safety Disclosures 31 Item 5. Other Information 31 Item 6. Exhibits 32 All references in this Form 10-Q to the " Company " , " CORE " , " we " , " us " or " our " are to Contango ORE, Inc. 2 Table of Contents CONTANGO ORE, INC. CONDENSED CONSO LIDATED BALANCE SHEETS (Unaudited)

- Financial Statements

Item 1 - Financial Statements September 30, 2024 December 31, 2023 ASSETS CURRENT ASSETS: Cash $ 36,165,442 $ 15,504,819 Restricted cash 235,364 232,572 Prepaid expenses and other 1,083,910 1,112,910 Total current assets 37,484,716 16,850,301 LONG-TERM ASSETS: Investment in Peak Gold, LLC 67,544,376 28,064,405 Property & equipment, net 52,485,380 13,326,347 Commitment fee 76,696 350,575 Marketable securities 740,700 — Total long-term assets 120,847,152 41,741,327 TOTAL ASSETS $ 158,331,868 $ 58,591,628 LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT) CURRENT LIABILITIES: Accounts payable $ 2,378,654 $ 250,739 Accrued liabilities 12,227,927 2,241,087 Derivative contract liability 30,254,431 2,679,784 Debt, current portion 34,900,000 7,900,000 Income taxes payable 718,827 — Total current liabilities 80,479,839 13,071,610 NON-CURRENT LIABILITIES: Advance royalty reimbursement 1,135,611 1,200,000 Asset retirement obligations 255,769 246,227 Contingent consideration liability 1,100,480 1,100,480 Derivative contract liability 44,285,191 20,737,997 Debt non-current portion, net 38,962,344 36,779,859 Deferred tax liability 2,330,577 — Total non-current liabilities 88,069,972 60,064,563 TOTAL LIABILITIES 168,549,811 73,136,173 COMMITMENTS AND CONTINGENCIES (NOTE 11) STOCKHOLDERS' EQUITY/(DEFICIT): Preferred Stock, 15,000,000 shares authorized — — Common Stock, $ 0.01 par value, 45,000,000 shares authorized; 12,226,238 shares issued and 12,223,758 shares outstanding as of September 30, 2024; 9,454,233 shares issued and 9,451,753 shares outstanding as of December 31, 2023 122,261 94,542 Additional paid-in capital 177,505,358 124,451,067 Treasury stock at cost ( 2,480 at September 30, 2024; and 2,480 shares at December 31, 2023) ( 48,308 ) ( 48,308 ) Accumulated deficit ( 18

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