TORONTO, July 12, 2016 /CNW/ - Roxgold Inc. ("Roxgold" or
"the Company") (TSX.V: ROG) is pleased to report production results
for the six weeks ended June 30,
2016, from the Yaramoko Gold Mine ("Yaramoko") in
Burkina Faso, West Africa. The Company remains on track to
declare commercial production in the third quarter of 2016.
"We are very pleased to have poured over 14,000 ounces of gold
in the six weeks since production commenced at Yaramoko," commented
John Dorward, Roxgold's President
and CEO. "Ramp up activities continue to progress well and we look
forward to announcing commercial production in the third
quarter."
Second Quarter Production Highlights
- First gold poured May 16,
2016
- Gold production totalled 14,482 ounces
- 40,339 tonnes of ore milled at the processing facility at an
average throughput rate of 32 tonnes per hour ("tph") or 761 tonnes
per day ("tpd") (above nameplate of 750 tpd)
- Average mill operating time of 95.8%
- Mill feed grade of 13.4 grams per tonne ("g/t")
- Average gold recoveries of 97.5% (above design rate of
96.9%)
- Year to date underground production (as at June 30, 2016) was 54,745 tonnes at 14.77 g/t for
25,993 ounces of contained gold
Mine Operations
Stoping activities commenced in July
2016, as scheduled, with drilling of the first panel
underway ahead of the delivery of production ore later in the
month.
The eastern ventilation shaft was commissioned mid-quarter and
is now operating. The western ventilation shaft was subsequently
completed in June and is currently being commissioned.
Commissioning at the processing facility is complete with ramp
up occurring without any unexpected interruptions. Operating time,
throughput rate and gold recovery have hit or exceeded targets
quickly and the near term focus is to optimize performance in these
areas as the mine continues to ramp up its production levels.
Cash Position
The Company's cash and gold position at June 30, 2016 totalled approximately US$48 million. This figure includes a cash
balance of approximately US$33.8
million, receivables from gold sales of approximately
US$6 million and gold bullion
inventory at a market value of approximately US$8.2 million.
Financial results for the second quarter will be reported on
August 17, 2016.
Yaramoko Mine Inauguration
Opening ceremonies of the Yaramoko mine took place on
July 7, 2016. The Prime Minister of
Burkina Faso, his Excellency Paul
Kaba Thieba was in attendance, as well as Minister of Mines, his
Excellency, Prof. Alfa Oumar Dissa. Also in attendance were several
Government Ministers, high ranking government officials, members of
neighboring communities, Roxgold employees and local media. The
Company thanks all of the participants for their attendance and
continued support at Yaramoko.
Photos and of the Yaramoko inauguration can be viewed here.
Expected Upcoming Catalysts
The 11,000 metre advanced definition and expansion drill program
at the 55 Zone is now complete, and results are expected in
August.
The Company also intends to complete an updated mine plan for
Yaramoko, prior to the end of the year, which will incorporate
recent resource drilling.
Following the maiden resource at Bagassi South, reported on
April 27, 2016 (found here), the
Company intends to continue assessing the technical and economic
aspects of the deposit in the fourth quarter of 2016.
Roxgold remains confident that commercial production at Yaramoko
will be achieved prior to the end of the third quarter.
Qualified Persons
Paul Criddle, FAUSIMM, Chief
Operating Officer for Roxgold Inc., and Craig Richards P. Eng, Principal Mining Engineer
for Roxgold Inc., are Qualified Persons within the meaning of
National Instrument 43-101, and have verified and approved the
technical data disclosed in this press release.
Corporate Video
Shareholders are encouraged to view Roxgold's corporate video
which provides a summary of the Company and captures the progress
that has occurred at Yaramoko by clicking here.
About Roxgold
Roxgold is a gold mining company with its key asset, the high
grade Yaramoko Gold Mine, located in the Houndé greenstone region
of Burkina Faso, West Africa. The Company expects to reach
commercial production in Q3 2016. Roxgold trades on the TSX Venture
Exchange under the symbol ROG and as part of the Nasdaq
International Designation program with the symbol OTC: ROGFF.
"Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release."
These statements are based on information currently available
to the Company and the Company provides no assurance that actual
results will meet management's expectations. In certain cases,
forward-looking information may be identified by such terms as
"anticipates", "believes", "could", "estimates", "expects", "may",
"shall", "will", or "would".
Although the Company believes the expectations expressed in
such forward-looking statements are based on reasonable
assumptions, such statements are not guarantees of future
performance and actual results or developments may differ
materially from those in the forward-looking statements. Factors
that could cause actual results to differ materially from those in
forward-looking statements include: changes in market conditions,
unsuccessful exploration results, changes in the price of gold,
unanticipated changes in key management personnel and general
economic conditions. Mining exploration and development is an
inherently risky business. Accordingly, actual events may differ
materially from those projected in the forward-looking statements.
This list is not exhaustive of the factors that may affect any of
the Company's forward-looking statements. These and other factors
should be considered carefully and readers should not place undue
reliance on the Company's forward-looking statements. The Company
does not undertake to update any forward-looking statement that may
be made from time to time by the Company or on its behalf, except
in accordance with applicable securities laws.
SOURCE Roxgold Inc.