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It's time Gold Resource Corp (GORO) told us where the missing gold is

In the third quarter of 2014, Gold Resource Corp announced significantly lower sales of its gold than production. To be exact, it produced 6.523 ounces of gold and sold just 2,932 ounces. At that time, company President and CEO Jason Reid explained the shortfall as follows in the 3q14 results NR:
We stockpiled much of our high-grade gold and silver concentrates produced during the quarter in preparation for pouring Doré bars in our new Doré facility, which we began commissioning at the end of the quarter and which increased our unsold inventories. We recorded a $(0.03) per share loss which was contributed by unsold concentrate inventory as a result of stockpiling the high-grade concentrates for the Doré facility process. These inventoried ounces are planned to be processed and sold during the fourth quarter as Doré bars. 
Okay, fair enough and what's more you can see how the extra amount of precious metal was booked to GORO's sheets by looking at the inventory figures:

However, when 4q14 came around there was no catch-up of gold sales, in fact for a second quarter running gold sales were substantially less that the reported production. Precisely, GORO produced 8,865 oz gold and sold 6,026 oz gold. And I thought that was rather strange. However, I thought the extra retained gold may wash out through the next couple of quarters, so I waited through the 1q15 numbers and to tonight, when GORO announced its 2q15 financial results.

  • There's still no sign of the missing gold.
  • It's not in the inventories any longer.
  • GORO hasn't made a single mention of the shortfall in 2015
  • And that's not just a shortfall from 3q14, there's one in 4q14 as well.
  • When you add up those numbers, GORO has produced 30,524oz gold in the last four quarters.
  • But in the same four quarters GORO has only sold 24,732 oz gold.

That's a difference of 5,792 ounces, which if you price at an average U$1,200/oz is U$6.95m worth of metal that's apparently disappeared into thin air. Call it seven million dollars between friends.

Tomorrow Thursday August 6th GORO has its conference call scheduled for 11am Eastern Time. Maybe somebody would like to ask him about this shortfall, because in my opinion it's a little difficult for a mining company to mislay something like five thousand ounces of pure gold.