Euro Ressources SA reported unaudited earnings results for the first quarter ended March 31, 2016. Under IFRS, the company reported a net profit of EUR 4.1 million or EUR 0.066 per share for the first quarter of 2016 compared to EUR 2.8 million or EUR 0.045 per share for the first quarter of 2015. The increase was mainly the result of lower income tax expense partially offset by lower revenues from royalties in 2016. Revenues were EUR 5.7 million during the first quarter of 2016, a decrease of 8% compared to revenues of EUR 6.2 million for the first quarter of 2015. Revenues were mainly attributable to the Rosebel royalty of EUR 5.6 million (first quarter of 2015: EUR 6.1 million). The decrease in Revenue was due to lower gold production of 71,723 ounces in the first quarter of 2016 compared to 79,825 ounces in the first quarter of 2015 (EUR 0.6 million), and a lower average gold price in the first quarter of 2016 of $1,183 per ounce of gold compared to $1,218 per ounce of gold in the first quarter of 2015 (EUR 0.2 million), partially offset by the weaker euro (EUR 0.3 million).

In 2016, the Rosebel royalty is expected to provide revenues to the Company of between approximately EUR 21.9 million and EUR 22.6 million ($24.1 million and $24.9 million). These pre-tax numbers assume a gold price of $1,150 per ounce and an exchange rate of EUR 1 for $1.1. The Rosebel royalty production is anticipated to be between 300,000 and 310,000 ounces in 2016. The impact of changes in the average gold price on EURO's annual revenues, based on an estimated production of 305,000 ounces, would be approximately $3.0 million for each $100 per ounce change in the gold price. EURO's cash flow will primarily be affected by income tax payments, since there are no tax losses carried forward to offset any future revenue. EURO expects its cash flow will be adequate to meet all corporate and related expenses.