Comstock Mining, Inc. (NYSE MKT:LODE) Q1 2019 Earnings Conference Call Transcript
May 09, 2019 • 11:00 am ET
Welcome to the Comstock Mining Incorporated First Quarter Update Call. At this time, all lines are in a listen-only mode. Later, we will conduct a question-and-answer session. (Operator Instructions) As a reminder, this conference call is being recorded Thursday, May 9, 2019.
I would now like to turn the conference over to your host, Mr. Corrado De Gasperis, CEO and Executive Chairman for Comstock Mining. Please go ahead.
Corrado De Gasperis
Thank you, Emily, and good morning, everyone. It's Corrado here, Chairman and CEO of Comstock Mining. Welcome to our 2019 first quarter conference call. This morning we published summary highlights of our quarter. We have plans to file our 10-Q next week, including our customary quarterly review relating to issues we've been working for now, so that's probably about nine years. I will provide a brief summary of the information included in our press release from this morning, including some solid tangible progress on all aspects of our strategic initiatives. I think this part of the call will be very interesting to all of you and I'm sure we'll get some good Q&A.
If you don't have a copy of today's release, you'll find a copy on our website at www.comstockmining.com under News/Press releases. Please also let me remind you that in addition to the outlook we may have, we may make forward-looking statements on this call. Any statement relating to matters that are not historical facts may constitute forward-looking statements. The statements are based on current expectations and are subject to the same risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties are detailed in the previous reports filed by the company with the SEC and in this morning's press release. And all forward-looking statements made during this call are subject to the same and other risks that we can't identify.
Let me just start with the financial highlights. Our net costs are down period-over-period and this is despite some significantly increased amount of strategic activity primarily administrative, associated with these transactions, both the transaction with Tonogold that we've been working diligently on throughout the entire quarter, some other strategic ventures and the whole Opportunity Zones phenomena and the related business opportunities that have come from that. But despite all that work, despite all that additional activity, our costs are down period-over-period. This is primarily because the existing agreement with Tono is fully subsidizing us at a rate about $1.2 million in annual expenditures primarily for mineral claims and environmental management and related type costs. Both those categories, mine claims and environmental and reclamation have achieved record low net expenditures.
And G&A expenses were down almost 10%, about 9% lower when comparing to last quarter. So the trend is our friend. We're also continuing to pay down our debts. We've paid down a full $1.6 million down during the quarter, with almost another two quarters of a $1 million expected to be paid down this month of May alone. So we're making great progress on the