Steppe Gold Announces 2021 Annual Financial Results and Filing of Restated Annual Financial Statements

ULAanbaatar, Mongolia, March 31, 2022 (GLOBE NEWSWIRE) — Steppe Gold Limited (TSX: STGO) (OTCMKTS: STPGF) (ENG: 2J9) (“steppe gold“or the”Company”) announces its financial results for the year ended December 31, 2021, as well as the filing of its restated annual financial statements for the periods ended December 31, 2020 (the “Restated Financial Statements”) and provides a company update. The restated financial statements have been prepared following a continuous disclosure review by staff of the Ontario Securities Commission (the “CSOs”) of the Company’s disclosure records.


Financial results for the year ended December 31, 2021

  • Revenue for the year ended December 31, 2021 was $24,050 on sales of 12,899 ounces of gold and 28,622 ounces of silver with average realized prices per ounce of $1,837 and $24 respectively.

  • Mining operating profit, before depreciation and depletion, was $12,435.

  • The consolidated group adjusted EBITDA for the year amounted to $4,909.

  • As of December 31, 2021, cash and restricted cash were $71,817; total bank and other debt was $77,920 for net debt of $6,103.

Concurrent with the preparation of the Company’s financial statements for the year ended December 31, 2021 and as part of a continuous disclosure review by OSC staff regarding the accounting for the Broadcast Agreement, dated August 11, 2017 between the Company and Triple Flag Mine Finance Bermuda, Steppe Gold has identified an error in the way the arrangement has been reflected in previously released financial statements. The Company previously determined that the flow obligation was in substance a debt instrument (recognized at amortized cost) with embedded derivatives (recorded at nil) linked to gold and silver prices.

After further review of the arrangement, the Company has determined that the arrangement should be accounted for in its entirety as a derivative measured at fair value through profit or loss. The restated financial statements resulted in changes in income, flow liabilities and fair value gains/losses related to liabilities. The adjustments had no impact on the Company’s overall free cash flow. The Company assessed the significance of the corrections and determined that the adjustments were material to the consolidated financial statements as of December 31, 2021.

Steppe Gold has therefore restated its annual financial statements for the year ended December 31, 2020, as well as the associated management report. The comparative figures for the 2021 interim periods will also be restated in the 2022 interim reports.

The Company’s consolidated financial results for the year ended December 31, 2021 have been filed on SEDAR. The complete condensed interim consolidated financial statements and related MD&A can be viewed on the Company’s website at or under the Company’s profile on SEDAR at

All amounts are expressed in United States dollars, unless otherwise indicated.

Steppe Gold Limited

Steppe Gold is Mongolia’s premier precious metals company.

For more information, please contact:
Bataa Tumur-Ochir, CEO and President

Shangri-La Office, Suite 1201 Olympic Street
19A, Sukhbaatar District 1,
Ulaanbaatar 14241, Mongolia
Phone. : +976 7732 1914

Non-IFRS performance measures

EBITDA is defined as earnings before interest, taxes, depreciation and amortization. Adjusted EBITDA is defined as adjusted earnings before interest, taxes, depreciation and amortization. Further details on the non-IFRS performance measures mentioned above can be found in the Company’s management report.

Caution Regarding Forward-Looking Statements

The foregoing contains forward-looking statements that are subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward-looking statements. Factors that could cause such differences include: changes in global commodity markets, stock markets, costs and supply of materials relevant to the mining industry, changes in government and changes in regulations affecting the mining industry. Forward-looking statements in this release include, among other things, statements regarding trading in the common stock and business, economic and political conditions in Mongolia. Although we believe that the expectations reflected in our forward-looking statements are reasonable, actual results may vary and we cannot guarantee future results, levels of activity, performance or achievements. We disclaim any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by applicable law.

The Toronto Stock Exchange has not reviewed and accepts no responsibility for the adequacy or accuracy of the contents of this press release.

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