TORONTO, Oct.
10, 2013 /CNW/ - St Andrew Goldfields Ltd.
(TSX-SAS) (OTCQX-STADF), ("SAS" or the "Company") is pleased to report third quarter 2013 ("Q3
2013") production of 25,434 ounces of gold from its Holt, Holloway and
Hislop mines, and reiterate the 2013 production guidance of between
95,000 - 105,000 ounces of gold.
"Third quarter production was in line with expectations as we achieved
another quarter of approximately 25,000 ounces of gold production, for
a total of 75,248 ounces produced year-to-date", said Duncan
Middlemiss, President and CEO of SAS.
"The production rate at Holt this
quarter increased to 1,140 tonnes per day as Holt continues to show
potential for additional throughput in the near term.
Mining at Hislop
will transition to the West Pit this quarter as the preparatory work
has been completed.
We look forward to ending the year on track as per
our guidance."
Q3 2013 Production Results
Tonnes Milled |
Head Grade (g/t Au) |
Average Mill Recovery Rate |
Gold Produced (ounces) | |
Holt | 104,800 | 5.25 | 95.0% | 16,807 |
Holloway | 40,152 | 4.02 | 89.7% | 4,662 |
Hislop | 66,940 | 2.27 | 81.0% | 3,965 |
Q3 2013 Production | 211,891 | 4.08 | 91.6% | 25,434 |
2013 YTD Production | 651,715 | 3.92 | 91.6% | 75,248 |
Note: Columns may not add due to rounding
Holt Mine ("Holt")
Holt produced 16,807 ounces of gold with approximately 90% of the
production derived from Zone 4 and the remainder sourced from Zone 6
development.
Production mining of the Zone 6 reserves will commence in
the fourth quarter as lateral development is sufficiently advanced.
The
head grade during the quarter was 5.25 g/t Au, with mill recoveries of
95%, higher than anticipated mainly due to sequencing of higher grade
ore sources from the second quarter of 2013 into Q3.
The mining rate
has increased to 1,140 tonnes per day, which is an improvement of 11%
from the previous quarter.
Holloway Mine ("Holloway")
Holloway produced a total of 4,662 ounces of gold with the majority of
production derived from the Smoke Deep Zone.
The mill recovery rate of
approximately 90% was in line with the Companys expectations.
Hislop Mine ("Hislop")
Hislop produced 3,965 ounces of gold in Q3 2013.
The head grade averaged
2.27 g/t Au, with mill recoveries averaging 81%.
The preparation work
for the West Pit has progressed and ore mining will transition to this
pit in the fourth quarter.
Q3 Earnings Release and Conference Call Details
SAS third quarter financial results will be released after market on
Wednesday November 6, 2013, and the conference call will take place on
Thursday November 7, at 10:00 AM EST.
SAS invites interested parties to participate in the upcoming conference
call to discuss its third quarter financial and operating results for
2013.
Participants may join the call via webcast at www.sasgoldmines.com.
A playback will be available via the website and will be posted within
24 hours of the call.
Qualified Person
Production at the Holt, Holloway and Hislop mines, processing at the
Holt Mill, and mine development and production activities at the
operations are being conducted under the supervision of Duncan
Middlemiss, P.Eng.
Mr.
Middlemiss was the Companys Chief Operating
Officer and Vice-President of Operations during the third quarter, and
was appointed as SAS President & CEO on October 1, 2013.
Mr.
Middlemiss is a qualified person as defined by NI 43-101, and has
reviewed and approved this news release.
About SAS
SAS (operating as "SAS Goldmines"), is a gold mining and exploration
company with an extensive land package in the Timmins mining district,
north-eastern Ontario, which lies within the Abitibi greenstone belt,
the most important host of historical gold production in Canada.
SAS owns and operates the Holt, Holloway and Hislop mines which
contribute approximately 100,000 ounces of annual gold production.
The
Company is also advancing the Taylor Project and is conducting an
aggressive exploration program across 120km of land straddling the
Porcupine-Destor Fault Zone.
FORWARD-LOOKING INFORMATION
This news release contains forward-looking information and
forward-looking statements (collectively, "forward-looking
information") under applicable securities laws, concerning the
Companys business, operations, financial performance, condition and
prospects, as well as managements objectives, strategies, beliefs and
intentions.
Forward-looking information is frequently identified by
such words as "may", "will", "plan", "expect", "estimate",
"anticipate", "believe", "intend" and similar words referring to future
events and results, including in respect of the commencement of mining
activities from Zone 6 at the Holt Mine; the transition of mining to
the West Pit at Hislop; and the 2013 level of production.
This forward-looking information is subject to known and unknown risks,
uncertainties and other factors that may cause actual results to differ
materially from those expressed or implied by the forward-looking
information.
Factors that may cause actual results to vary materially
include, but are not limited to, unanticipated operational or technical
difficulties which could increase the time necessary to complete the
development initiatives, escalate operating and/or capital costs and
reduce anticipated production levels; uncertainties relating to the
interpretation of the geology, continuity, grade and size estimates of
the mineral reserves and resources; the Companys dependence on key
employees and changes in the availability of qualified personnel;
fluctuations in gold prices and exchange rates; operational hazards and
risks, including the inability to insure against all risks; changes in
laws and regulations; and changes in general economic conditions.
Such
forward looking information is based on a number of assumptions,
including in respect of the ability to achieve operating cost
estimates, the volatility and level of the price of gold including that
the gold price will generally remain within a reasonable range of
current levels, the accuracy of reserve and resource estimates and the
assumptions on which such estimates are based and general business and
economic conditions.
Should one or more risks and uncertainties
materialize or should any assumptions prove incorrect, then actual
results could vary materially from those expressed or implied in the
forward-looking information.
Accordingly, readers are cautioned not to
place undue reliance on this forward-looking information.
SAS does not
assume the obligation to revise or update this forward-looking
information after the date of this release or to revise such
information to reflect the occurrence of future unanticipated events,
except as may be required under applicable securities laws.
A further
description of the risks and uncertainties facing the Company may also
be found in the Companys Annual Information Form available on SEDAR at
www.sedar.com.
SOURCE: St Andrew Goldfields Ltd.