The place to put our money in 2009 will probably be in silver, gold and oil. I don't see any of them disappointing over the year. Already oil has a super contango going, with guaranteed profits built in with little or no risk.
Silver and gold are almost ensured the same thing, as the US dollar starts its inevitable collapse and decline, and investors rush to safety in the two metals.
Silver and gold futures, along with ETFs should also perform strongly, as the deleveraging and forced liquidation periods of investment funds and companies seems to be winding down. That's why we see money flowing to this precious metals.
It's also the reason the dollar will continue to drop for some time, as the artificial circumstances that allowed it to remain temporarily strong are now gone with the forced liquidation and deleveraging period, and so nothing stands in the way of silver futures and gold futures moving up in price.
Another reason 2009 looks good, is energy costs are down, which play a big part in the cost of mining silver, which with the timing of the economic conditions, is nothing but favorable for silver in 2009.
While there's no doubt that gold futures and prices will flourish in 2009, reaching heady numbers, in terms percentages percentages, silver futures will probably even outproduce gold futures as an investment, and bring some very good returns themselves.
One thing to consider with the pricing of silver is there are two components involved, just like their is with platinum, as they're both significant industrial metals as well as investment metals.
That means much may depend on how investors view silver as to how high it will go. If they look at it strictly from an industrial demand point of view, it may not rise as high as expected, because demand for industrial silver could definitely fall this year.
But view it primarily from as an investment metal, and silver will shine in 2009, as silver futures soar to dizzying heights.
One last thing about silver futures prices soaring this year, is they're denominated in U.S. dollars, while most silver mining companies are foreign, and not working from the dollar. That means that locally, prices are falling while the metal prices are soaring. What could be better than that for silver investors everywhere?
Well, those in America have the pesky problem of a currency falling in value, so exchange rates could hurt them depending on how things are structured and the silver company they've invested in, if that's how they went about doing it.
Either way, silver futures and investment in some silver mining companies and ETFs, should be one of the few solid investments available to those looking to not only salvage their money, but have it work for them too.
A few commodities will be hot this year, and silver will be one of them.
Sunday, January 25, 2009
Tuesday, January 20, 2009
MAG Silver Corp.| Cinco de Mayo Assay Results
MAG Silver Corp. releases assay results from Cinco de Mayo drilling
VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 20, 2009) - MAG Silver Corp. (TSX:MAG)(NYSE Alternext US:MVG) ("MAG") is pleased to announce assay results from the ongoing drill program on its 100% owned Cinco de Mayo property in northern Chihuahua State, Mexico. Drilling is establishing the district-scale extent and zoning of silver, lead and zinc mineralization in the "Jose Manto". The drill program is also designed to search and test for the systems source. Results announced here add some of the higher grade and thicker intercepts drilled to date: Hole 84 cut a 2.72 metre zone grading 462 grams per tonne (g/t) (13.5 ounces per ton (opt)) silver, 10.06% lead and 13.62% zinc within an overall 12.37 metre thick mineralized zone. Drilling continues to demonstrate that the "Jose Manto" is part of a large Carbonate Replacement Deposit (CRD) system. Drilling is continuing with 3 drills as part of a board approved 2009 exploration budget of $4.0 million (out of an overall $17 million dollar budget for 2009) for the Cinco de Mayo project.
Assays are reported in the table below for 10 of 11 diamond drill holes (74 to 84). These holes were designed to define the limits of the Jose Manto, within its 1,000 metre long central portion, (see map below). Nine (9) of the holes were targeted on and encountered mineralization in the Jose Manto and its extensions (Holes 74 to 77 and 79 to 84). The remaining two (2) holes were drilled on other geological/geophysical targets. Assays are pending for Hole 83, which was drilled 4 kilometres to the west of the Jose Manto on a strong magnetic geophysical anomaly.
"Cinco continues to grow in size and complexity; both hallmarks of major CRD systems," said Dan MacInnis, MAG Silver President. "We are starting to better understand and target the strong structural controls on the high grade mineralization and follow these structures or ore fluid channelways back to source."
---------------------------------------------------------------------------Hole From: To: Interval Silver Silver Lead Zinc GoldID metres metres metres g/t Opt % % g/t---------------------------------------------------------------------------CM08-74 386.53 388.00 1.47 108 3.1 1.92 10.65 0.03---------------------------------------------------------------------------CM08-75 337.73 338.41 0.68 459 13.3 15.90 11.85 0.09---------------------------------------------------------------------------CM08-76 327.55 328.73 1.18 35 1.0 1.32 0.45 0.01--------------------------------------------------------------------------- 371.88 372.13 0.25 361 10.5 12.65 18.10 0.09---------------------------------------------------------------------------CM08-77 493.28 509.28 16.00 21 0.6 0.51 3.03 0.04---------------------------------------------------------------------------Including 497.68 498.85 1.17 20 0.6 0.63 6.52 0.07--------------------------------------------------------------------------- 506.40 508.50 2.10 52 1.5 1.19 9.81 0.07--------------------------------------------------------------------------- 523.30 530.61 7.31 35 1.0 0.52 2.15 0.06---------------------------------------------------------------------------Including 526.41 528.34 1.93 106 3.1 1.49 5.51 0.08---------------------------------------------------------------------------CM08-78 NSV ---------------------------------------------------------------------------CM08-79 465.40 472.26 6.86 86 2.5 1.93 2.86 0.07---------------------------------------------------------------------------Including 465.40 465.58 0.18 1,835 53.5 20.10 6.29 0.45--------------------------------------------------------------------------- 488.77 489.62 0.85 218 6.4 4.40 7.22 0.19---------------------------------------------------------------------------CM08-80 499.75 500.92 1.17 7 0.2 0.13 1.15 0.01---------------------------------------------------------------------------CM08-81 737.15 739.60 2.45 48 1.4 0.25 2.06 0.08--------------------------------------------------------------------------- 751.20 754.62 3.42 71 2.1 0.17 1.41 0.03---------------------------------------------------------------------------CM08-82 NSV ---------------------------------------------------------------------------CM08-83 Assays Pending ---------------------------------------------------------------------------CM08-84 484.87 497.24 12.37 125 3.6 2.30 4.95 0.03---------------------------------------------------------------------------Including 484.87 487.59 2.72 462 13.5 10.06 13.62 0.02--------------------------------------------------------------------------- 603.82 609.25 5.43 74 2.2 0.90 5.23 0.06---------------------------------------------------------------------------Including 603.82 606.00 2.18 158 4.6 1.89 10.94 0.14---------------------------------------------------------------------------(i) nsv equals no significant values.
Cinco de Mayo Exploration
MAG's exploration has defined major NW and NE structural and stratigraphic controls on silver-lead-zinc (gold) sulphide mineralization and our ability to test the system with large drilling step outs is testimony to the widespread nature and potential size of this carbonate replacement (CRD) system. Recent drilling results reveal coherent zoning developed for over 2 kilometres along the principal northwest Jose Manto structural corridor: from massive silver-lead-zinc sulphide mantos to silver-gold-lead-zinc mineralized tungsten (scheelite) bearing skarn. The strongest skarn is associated with felsite dikes that show distinctive brecciation, silicification and sericitization and are overall very similar to mineralization-related felsites in major CRDs throughout the region. Mineralization also appears to thicken along this trend, as does the number of individual mantos and the number of carbonate units that are mineralized. This zoning is precisely what is predicted by MAG's CRD exploration model and provides strong exploration vectoring. MAG's focus remains to determine the overall extent of the CRD system, so on-going exploration will attempt to track this zoning towards the system source with a combination of drilling and geophysics.
The skarn and felsite intercepts appear to cluster around the intersection of the northwest structural corridor with the strong northeast-trending Leones Fault that cuts across the limestones of the Sierra Santa Lucia to the southwest. The Leones Fault is locally marked by strong marble and other high-temperature alteration styles indicating gradually increasing proximity to an intrusive heat source. Drilling is currently underway on both ends of this structure: on the east side to determine the geometry of the felsite dikes and associated mineralization and alteration, and on the west side of the range to determine if the large magnetic anomaly shown on Mexican government regional geophysical maps marks a major magmatic center.
Quality Assurance and Control: The Company has in place a quality control program to ensure best practices in sampling and analysis. Samples were collected by employees of consulting firm Minera Cascabel S.A. de C.V. on behalf of MAG Silver Corp. The surface rock samples are shipped directly in security sealed bags to ALS-Chemex Laboratories preparation facilities in Hermosillo, Sonora or Chihuahua City (Certification ISO 9001). Sample pulps are shipped from there to ALS-Chemex Laboratories in North Vancouver, Canada for analysis. All samples were assayed for gold by standard fire assay-ICP finish with a 50 gram charge. Gold values in excess of 3.00 g/t were re-analyzed by fire assay with gravimetric finish for greater accuracy. Silver, zinc, copper and lead values in excess of 100 ppm, 1%, 1% and 1% respectively are also repeated by fire assay.
Qualified Person: Dr. Peter Megaw, Ph.D., C.P.G., has acted as the qualified person as defined in National Instrument 43-101 for this disclosure and supervised the preparation of the technical information in this release. Dr. Megaw has a Ph.D. in geology and more than 20 years of relevant experience focussed on silver and gold mineralization, and exploration and drilling in Mexico. He is a certified Professional Geologist (CPG 10227) by the American Institute of Professional Geologists and an Arizona registered geologist (ARG 21613). Dr. Megaw is not independent as he is a Director and Shareholder of MAG and is the vendor of this project, whereby he may receive additional shares. Dr. Megaw is satisfied that the results are verified based on an inspection of the core, a review of the sampling procedures, the credentials of the professionals completing the work and the visual nature of the silver and base metal sulphides within a district where he is familiar with the style and continuity of mineralization.
About MAG Silver Corp. (www.magsilver.com)
MAG is focused on district scale projects located within the Mexican Silver Belt. Our mission is to become one of the premier companies in the silver mining industry. MAG and its partner Fresnillo plc are delineating a significant new silver vein discovery on the Juanicipio Joint Venture in Zacatecas State, Mexico. The joint venture has outlined an initial inferred resource estimate of 237.8 million ounces of silver (see press release dated June 18, 2008). MAG's 44% interest equates to 104.5 million ounces of silver. In addition to the silver resource the estimate also reports a total inferred resource of 480,000 ounces of gold and almost 1 billion pounds of combined lead and zinc (457,700 tonnes). (Investors should refer to the June 18, 2008 press release for disclaimer information regarding resources). Fresnillo plc has made an unsolicited bid for all of the outstanding shares of MAG Silver. MAG has also identified a new silver, lead and zinc discovery at its 100% owned Cinco de Mayo property. MAG is based in Vancouver, British Columbia, Canada. Its common shares trade on the TSX under the symbol MAG and on the NYSE Alternext US (formerly AMEX) under the symbol MVG.
On behalf of the Board of MAG SILVER CORP.
Dan MacInnis, President and CEO
This release includes certain statements that may be deemed to be "forward-looking statements" within the meaning of the US Private Securities Litigation Reform Act of 1995. All statements in this release, other than statements of historical facts are forward looking statements, including statements that address future mineral production, reserve potential, exploration drilling, exploitation activities and events or developments. Forward-looking statements are often, but not always, identified by the use of words such as "seek", "anticipate", "plan", "continue", "estimate", "expect", "may", "will", "project", "predict", "potential", "targeting", "intend", "could", "might", "should", "believe" and similar expressions. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Although MAG 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, but are not limited to, changes in commodities prices, changes in mineral production performance, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions, political risk, currency risk and capital cost inflation. In addition, forward-looking statements are subject to various risks, including that data is incomplete and considerable additional work will be required to complete further evaluation, including but not limited to drilling, engineering and socio-economic studies and investment. The reader is referred to the Company's filings with the SEC and Canadian securities regulators for disclosure regarding these and other risk factors. There is no certainty that any forward looking statement will come to pass and investors should not place undue reliance upon forward-looking statements.
Cautionary Note to U.S. Investors: The U.S. Securities and Exchange Commission permits U.S. mining companies, in their filings with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce. We use certain terms in this press release, such as "Inferred resources," that the SEC guidelines prohibit U.S. registered companies from including in their filings with the SEC.
Please Note:
Investors are urged to consider closely the disclosures in MAG's annual and quarterly reports and other public filings, accessible through the Internet at www.sedar.com and www.sec.gov/edgar/searchedgar/companysearch.html.
Neither the Toronto Stock Exchange nor the New York Stock Exchange Alternext US LLC has reviewed or accepted responsibility for the accuracy or adequacy of this news release, which has been prepared by management.
For more information, please contact
MAG Silver Corp.
Gordon Neal
VP Corp. Development
(604) 630-1399 or Toll Free: 1-866-630-1399
(604) 484-4710 (FAX)
Email: info@magsilver.com
Website: www.magsilver.com Click here to see all recent news from this company Privacy Statement Terms of Service Sitemap © 2009 Marketwire, Incorporated. All rights reserved.
Your newswire of choice for expert news release distribution.
1-800-774-9473 (US) 1-888-299-0338 (Canada) +44-20-7562-6550 (UK)
MAG Silver Corp.'s Cinco de Mayo assay results focus on some of the higher grade and thicker intercepts drilled to date.
VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 20, 2009) - MAG Silver Corp. (TSX:MAG)(NYSE Alternext US:MVG) ("MAG") is pleased to announce assay results from the ongoing drill program on its 100% owned Cinco de Mayo property in northern Chihuahua State, Mexico. Drilling is establishing the district-scale extent and zoning of silver, lead and zinc mineralization in the "Jose Manto". The drill program is also designed to search and test for the systems source. Results announced here add some of the higher grade and thicker intercepts drilled to date: Hole 84 cut a 2.72 metre zone grading 462 grams per tonne (g/t) (13.5 ounces per ton (opt)) silver, 10.06% lead and 13.62% zinc within an overall 12.37 metre thick mineralized zone. Drilling continues to demonstrate that the "Jose Manto" is part of a large Carbonate Replacement Deposit (CRD) system. Drilling is continuing with 3 drills as part of a board approved 2009 exploration budget of $4.0 million (out of an overall $17 million dollar budget for 2009) for the Cinco de Mayo project.
Assays are reported in the table below for 10 of 11 diamond drill holes (74 to 84). These holes were designed to define the limits of the Jose Manto, within its 1,000 metre long central portion, (see map below). Nine (9) of the holes were targeted on and encountered mineralization in the Jose Manto and its extensions (Holes 74 to 77 and 79 to 84). The remaining two (2) holes were drilled on other geological/geophysical targets. Assays are pending for Hole 83, which was drilled 4 kilometres to the west of the Jose Manto on a strong magnetic geophysical anomaly.
"Cinco continues to grow in size and complexity; both hallmarks of major CRD systems," said Dan MacInnis, MAG Silver President. "We are starting to better understand and target the strong structural controls on the high grade mineralization and follow these structures or ore fluid channelways back to source."
---------------------------------------------------------------------------Hole From: To: Interval Silver Silver Lead Zinc GoldID metres metres metres g/t Opt % % g/t---------------------------------------------------------------------------CM08-74 386.53 388.00 1.47 108 3.1 1.92 10.65 0.03---------------------------------------------------------------------------CM08-75 337.73 338.41 0.68 459 13.3 15.90 11.85 0.09---------------------------------------------------------------------------CM08-76 327.55 328.73 1.18 35 1.0 1.32 0.45 0.01--------------------------------------------------------------------------- 371.88 372.13 0.25 361 10.5 12.65 18.10 0.09---------------------------------------------------------------------------CM08-77 493.28 509.28 16.00 21 0.6 0.51 3.03 0.04---------------------------------------------------------------------------Including 497.68 498.85 1.17 20 0.6 0.63 6.52 0.07--------------------------------------------------------------------------- 506.40 508.50 2.10 52 1.5 1.19 9.81 0.07--------------------------------------------------------------------------- 523.30 530.61 7.31 35 1.0 0.52 2.15 0.06---------------------------------------------------------------------------Including 526.41 528.34 1.93 106 3.1 1.49 5.51 0.08---------------------------------------------------------------------------CM08-78 NSV ---------------------------------------------------------------------------CM08-79 465.40 472.26 6.86 86 2.5 1.93 2.86 0.07---------------------------------------------------------------------------Including 465.40 465.58 0.18 1,835 53.5 20.10 6.29 0.45--------------------------------------------------------------------------- 488.77 489.62 0.85 218 6.4 4.40 7.22 0.19---------------------------------------------------------------------------CM08-80 499.75 500.92 1.17 7 0.2 0.13 1.15 0.01---------------------------------------------------------------------------CM08-81 737.15 739.60 2.45 48 1.4 0.25 2.06 0.08--------------------------------------------------------------------------- 751.20 754.62 3.42 71 2.1 0.17 1.41 0.03---------------------------------------------------------------------------CM08-82 NSV ---------------------------------------------------------------------------CM08-83 Assays Pending ---------------------------------------------------------------------------CM08-84 484.87 497.24 12.37 125 3.6 2.30 4.95 0.03---------------------------------------------------------------------------Including 484.87 487.59 2.72 462 13.5 10.06 13.62 0.02--------------------------------------------------------------------------- 603.82 609.25 5.43 74 2.2 0.90 5.23 0.06---------------------------------------------------------------------------Including 603.82 606.00 2.18 158 4.6 1.89 10.94 0.14---------------------------------------------------------------------------(i) nsv equals no significant values.
Cinco de Mayo Exploration
MAG's exploration has defined major NW and NE structural and stratigraphic controls on silver-lead-zinc (gold) sulphide mineralization and our ability to test the system with large drilling step outs is testimony to the widespread nature and potential size of this carbonate replacement (CRD) system. Recent drilling results reveal coherent zoning developed for over 2 kilometres along the principal northwest Jose Manto structural corridor: from massive silver-lead-zinc sulphide mantos to silver-gold-lead-zinc mineralized tungsten (scheelite) bearing skarn. The strongest skarn is associated with felsite dikes that show distinctive brecciation, silicification and sericitization and are overall very similar to mineralization-related felsites in major CRDs throughout the region. Mineralization also appears to thicken along this trend, as does the number of individual mantos and the number of carbonate units that are mineralized. This zoning is precisely what is predicted by MAG's CRD exploration model and provides strong exploration vectoring. MAG's focus remains to determine the overall extent of the CRD system, so on-going exploration will attempt to track this zoning towards the system source with a combination of drilling and geophysics.
The skarn and felsite intercepts appear to cluster around the intersection of the northwest structural corridor with the strong northeast-trending Leones Fault that cuts across the limestones of the Sierra Santa Lucia to the southwest. The Leones Fault is locally marked by strong marble and other high-temperature alteration styles indicating gradually increasing proximity to an intrusive heat source. Drilling is currently underway on both ends of this structure: on the east side to determine the geometry of the felsite dikes and associated mineralization and alteration, and on the west side of the range to determine if the large magnetic anomaly shown on Mexican government regional geophysical maps marks a major magmatic center.
Quality Assurance and Control: The Company has in place a quality control program to ensure best practices in sampling and analysis. Samples were collected by employees of consulting firm Minera Cascabel S.A. de C.V. on behalf of MAG Silver Corp. The surface rock samples are shipped directly in security sealed bags to ALS-Chemex Laboratories preparation facilities in Hermosillo, Sonora or Chihuahua City (Certification ISO 9001). Sample pulps are shipped from there to ALS-Chemex Laboratories in North Vancouver, Canada for analysis. All samples were assayed for gold by standard fire assay-ICP finish with a 50 gram charge. Gold values in excess of 3.00 g/t were re-analyzed by fire assay with gravimetric finish for greater accuracy. Silver, zinc, copper and lead values in excess of 100 ppm, 1%, 1% and 1% respectively are also repeated by fire assay.
Qualified Person: Dr. Peter Megaw, Ph.D., C.P.G., has acted as the qualified person as defined in National Instrument 43-101 for this disclosure and supervised the preparation of the technical information in this release. Dr. Megaw has a Ph.D. in geology and more than 20 years of relevant experience focussed on silver and gold mineralization, and exploration and drilling in Mexico. He is a certified Professional Geologist (CPG 10227) by the American Institute of Professional Geologists and an Arizona registered geologist (ARG 21613). Dr. Megaw is not independent as he is a Director and Shareholder of MAG and is the vendor of this project, whereby he may receive additional shares. Dr. Megaw is satisfied that the results are verified based on an inspection of the core, a review of the sampling procedures, the credentials of the professionals completing the work and the visual nature of the silver and base metal sulphides within a district where he is familiar with the style and continuity of mineralization.
About MAG Silver Corp. (www.magsilver.com)
MAG is focused on district scale projects located within the Mexican Silver Belt. Our mission is to become one of the premier companies in the silver mining industry. MAG and its partner Fresnillo plc are delineating a significant new silver vein discovery on the Juanicipio Joint Venture in Zacatecas State, Mexico. The joint venture has outlined an initial inferred resource estimate of 237.8 million ounces of silver (see press release dated June 18, 2008). MAG's 44% interest equates to 104.5 million ounces of silver. In addition to the silver resource the estimate also reports a total inferred resource of 480,000 ounces of gold and almost 1 billion pounds of combined lead and zinc (457,700 tonnes). (Investors should refer to the June 18, 2008 press release for disclaimer information regarding resources). Fresnillo plc has made an unsolicited bid for all of the outstanding shares of MAG Silver. MAG has also identified a new silver, lead and zinc discovery at its 100% owned Cinco de Mayo property. MAG is based in Vancouver, British Columbia, Canada. Its common shares trade on the TSX under the symbol MAG and on the NYSE Alternext US (formerly AMEX) under the symbol MVG.
On behalf of the Board of MAG SILVER CORP.
Dan MacInnis, President and CEO
This release includes certain statements that may be deemed to be "forward-looking statements" within the meaning of the US Private Securities Litigation Reform Act of 1995. All statements in this release, other than statements of historical facts are forward looking statements, including statements that address future mineral production, reserve potential, exploration drilling, exploitation activities and events or developments. Forward-looking statements are often, but not always, identified by the use of words such as "seek", "anticipate", "plan", "continue", "estimate", "expect", "may", "will", "project", "predict", "potential", "targeting", "intend", "could", "might", "should", "believe" and similar expressions. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Although MAG 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, but are not limited to, changes in commodities prices, changes in mineral production performance, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions, political risk, currency risk and capital cost inflation. In addition, forward-looking statements are subject to various risks, including that data is incomplete and considerable additional work will be required to complete further evaluation, including but not limited to drilling, engineering and socio-economic studies and investment. The reader is referred to the Company's filings with the SEC and Canadian securities regulators for disclosure regarding these and other risk factors. There is no certainty that any forward looking statement will come to pass and investors should not place undue reliance upon forward-looking statements.
Cautionary Note to U.S. Investors: The U.S. Securities and Exchange Commission permits U.S. mining companies, in their filings with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce. We use certain terms in this press release, such as "Inferred resources," that the SEC guidelines prohibit U.S. registered companies from including in their filings with the SEC.
Please Note:
Investors are urged to consider closely the disclosures in MAG's annual and quarterly reports and other public filings, accessible through the Internet at www.sedar.com and www.sec.gov/edgar/searchedgar/companysearch.html.
Neither the Toronto Stock Exchange nor the New York Stock Exchange Alternext US LLC has reviewed or accepted responsibility for the accuracy or adequacy of this news release, which has been prepared by management.
For more information, please contact
MAG Silver Corp.
Gordon Neal
VP Corp. Development
(604) 630-1399 or Toll Free: 1-866-630-1399
(604) 484-4710 (FAX)
Email: info@magsilver.com
Website: www.magsilver.com Click here to see all recent news from this company Privacy Statement Terms of Service Sitemap © 2009 Marketwire, Incorporated. All rights reserved.
Your newswire of choice for expert news release distribution.
1-800-774-9473 (US) 1-888-299-0338 (Canada) +44-20-7562-6550 (UK)
MAG Silver Corp.'s Cinco de Mayo assay results focus on some of the higher grade and thicker intercepts drilled to date.
First Majestic Silver Corp.: San Martin Silver Mine Update
First Majestic Silver Corp. announces update at San Martin Silver Mine in Mexico
FIRST MAJESTIC SILVER CORP. (TSX: FR)(PINK SHEETS: FRMSF)(FRANKFURT: FMV)(WKN: A0LHKJ) ("First Majestic" or the "Company") is pleased to announce an update regarding its activities in Mexico at the San Martin Silver Mine and a new NI 43-101 Reserve/Resource update.
This newly updated technical report with a cut-off date of September 30, 2008 has resulted in a significant increase in overall Reserves and Resources at the San Martin Silver Mine. Total Proven & Probable Reserves have increased by 41.83%, while Total Measured and Indicated Resources declined by 51.55% due to the upgrading of those Resources to Reserves and Total Inferred Resources have increased by 110.94%.
The San Martin Silver Mine is located beside the town of San Martin de Bolanos in the Bolanos River valley, in the northern portion of the State of Jalisco, Mexico. The San Martin operation is 150 kilometres by air or 250 kilometres by paved road north of Guadalajara. The property covers an area in excess of 7,800 hectares of which much remains unexplored.
The San Martin mine and mill has been in operation since 1983 and is a major contributor to the economy of the town of San Martin de Bolanos which has a population of around 3,000 people. The mill for much of 2008 has been operating at 750 tonnes per day. An expansion program launched in June 2008 resulted in the mill capacity reaching 950 tpd in December 2008.
The San Martin drill program from January 1st, 2007 to September 30th, 2008 included 127 drill holes with a total depth of 19,619 metres of core, in addition to about 3,906 metres of underground development for mining, drill sites and access preparations.
During the recently completed exploration program, new mineralized zones were discovered in the Zuloaga (Pinolea and Ballenas levels and Cymoid zone), La Blanca, Rosario-Condesa, La Mancha, Huichola and La Hedionda veins.
The following summary tables were taken from the complete San Martin Silver Mine NI 43-101 Technical Report prepared by Pincock Allen & Holt, Lakewood, Colorado (PAH). Shareholders and interested parties are encouraged to read this positive report which can be viewed on SEDAR (www.sedar.com) and the Company's web site at www.firstmajestic.com.
Total Proven + Probable Mineral Reserves (Mineable Reserves)
(1, 2, 3, 4, 5)
-------------------------------------------------------------------------
Grade Metal Contained
------------------- -----------------------
Silver Silver (oz.)
Silver Lead Zinc only including
Category Tonnes g/tonne % (4) % oz. Lead Credit
-------------------------------------------------------------------------
Proven Reserves
(Oxides) 527,373 273 4,636,211 4,805,765
Probable Reserves
(Oxides) 243,091 276 2,154,571 2,232,727
-------------------------------------------------------------------------
Total Proven and
Probable Reserves 770,464 274 6,790,782 7,038,492
-------------------------------------------------------------------------
Total Measured + Indicated Resources (2, 3, 5)
-------------------------------------------------------------------------
Grade Metal Contained
------------------- -----------------------
Silver Silver (oz.)
Silver Lead Zinc only including
Category Tonnes g/tonne % (4) % oz. Lead Credit
-------------------------------------------------------------------------
Measured Resources
(Oxides) 122,404 233 915,774 955,128
Measured Resources
(Sulfides) 415,771 97 0.87 2.07 1,292,213 1,292,213
-------------------------------------------------------------------------
Indicated
Resources
(Oxides) 294,361 288 2,729,201 2,823,840
-------------------------------------------------------------------------
Indicated
Resources
(Sulfides) 670,684 116 0.94 1.64 2,498,639 2,498,639
-------------------------------------------------------------------------
Total Measured
and Indicated
Resources
(Oxides plus
Sulfides) 1,503,220 154 0.91 1.80 7,435,827 7,569,820
-------------------------------------------------------------------------
Proven and
Probable
Reserves Plus
Measured and
Indicated
Resources 2,273,684 195 0.91 1.80 14,226,609 14,608,312
-------------------------------------------------------------------------
Total Inferred Resources (2, 3, 5)
-------------------------------------------------------------------------
Grade Metal Contained
------------------- -----------------------
Silver Silver (oz.)
Silver Lead Zinc only including
Category Tonnes g/tonne % (4) % oz. Lead Credit
-------------------------------------------------------------------------
Total Inferred
Resources
(Oxides plus
Sulfides) 8,200,000 185 1.40 1.60 48,900,000 50,037,365
-------------------------------------------------------------------------
(1) Estimated Reserves are exclusive of Resources.
(2) Cut Off estimates as 146 g/tonne Ag for oxides, and 87 g/tonne Ag for
dump recovered; Ageq equals Au/Pb credits equals 10g/tonne Ag
(3) Metal prices at $708/oz-Au, $12.00/oz-Ag, $0.75/lb-Pb, $0.50/lb-Zn.
(4) Mine dilution is included at a minimum mining width of 2.00m.
Estimates do not include mining recovery.
(5) Base metals, Lead and Zinc are not recovered due to low market prices.
Oxidized ore is presently being mined from the Zuloaga vein and from the adjacent La Blanca, Rosario and Cinco Senores Veins. Exploration and development is on-going on these vein structures, on other sub-parallel crossing veins and in a recently identified cymoid structure of the Zuloaga vein at the Ballenas level, in the blocks 5,400 and 5,550, as well as on the Rosario-Condesa vein system. Primary mineralization in sulfides with lead, zinc and copper occurs at the deepest levels, San Juan and San Carlos of the Zuloaga vein, however, these areas are not presently being mined.
The mine has been developed primarily on the main Zuloaga vein which has been identified over a strike length of three kilometres, and consists of six main levels spanning a vertical interval of approximately 350 metres. The main access levels, San Jose, Santa Maria, Ballenas, Cangrejos, San Pablo, San Juan and San Carlos, are accessible from surface adits and various interconnecting underground ramps totalling over 70 kilometres.
Exploration potential for finding and developing new Resources/Reserves in the San Martin district still remains promising. As a result of this recently completed aggressive exploration program, several targets have been identified for follow up drilling when the Company wishes to commence the next program. Five target zones within the main Zuloaga vein have been identified and six other areas; the Rosario, Escondida, Cangrejos, Ballenas, San Jose and Cymoid zone, have also been identified as primary targets.
Quality Assurance & Quality Control
To evaluate sample quality control, San Martin performs multiple assays, up to three times on some samples, and periodic check analyses on samples. Since 2004, the San Martin mine has sent approximately 10 pulp samples per month to ALS Chemex Laboratories and duplicate samples to SGS Labs in Guadalajara for analysis, which has had good correlations.
Following detailed geological and geotechnical logging, drill core samples are split on-site by diamond saw. One quarter of the core is submitted to the San Martin certified laboratory for sample preparation and analysis, which are assayed for silver by standard fire assay methods and lead by atomic absorption. The other quarter of the core is shipped to the SGS preparation laboratory in Durango, Mexico for drying, crushing, pulverizing and assaying for gold and silver by fire assay and 30 elements ICP package. Systematic assaying of standards and blanks are performed for precision and accuracy; check assays are regularly conducted by SGS or Chemex. The remaining half core is retained on-site for verification and future reference purposes.
Qualified Person
The Company's independent Qualified Persons under National Instrument 43-101 who have reviewed the contents of this news release and who authored the most recent qualifying report are Leonel Lopez, C.P.G., P.G., and Richard Addison P.E., Principal Process Engineer, of Pincock Allen & Holt, who are employees of PAH and are independent of the Company.
First Majestic is a producing silver company focused in Mexico and is aggressively pursuing its business plan to become a senior silver producer through the development of its existing assets and the pursuit through acquisition of additional assets that contribute to achieving its corporate growth objectives.
FIRST MAJESTIC SILVER CORP.
Keith Neumeyer, President & CEO
This press release includes certain "Forward-Looking Statements" within the meaning of section 21E of the United States Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein, including without limitation, statements regarding potential mineralization and reserves, exploration results and future plans and objectives of First Majestic Silver Corp. are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.
Cautionary Notes to U.S. Investors Concerning Reserve and Resource Estimates
The definitions of proven and probable reserves used in National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101") differ from the definitions in the United States Securities and Exchange Commission ("SEC") Industry Guide 7. Under SEC Guide 7 standards, a "Final" or "Bankable" feasibility study is required to report reserves, the three year history average price is used in any reserve or cash flow analysis to designate reserves and the primary environmental analysis or report must be filed with the appropriate governmental authority.
In addition, the terms "mineral resource", "measured mineral resource", "indicated mineral resource" and "inferred mineral resource" are defined in and required to be disclosed by NI 43-101; however, these terms are not defined terms under SEC Industry Guide 7 and normally are not permitted to be used in reports and registration statements filed with the SEC. Investors are cautioned not to assume that any part or all of mineral deposits in these categories will ever be converted into reserves. "Inferred mineral resources" have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an inferred mineral resource will ever be upgraded to a higher category. Under Canadian rules, estimates of inferred mineral resources may not form the basis of feasibility or pre-feasibility studies, except in rare cases.
Contacts:
First Majestic Silver Corp.
Keith Neumeyer
President & CEO
(604) 688-3033 or Toll Free: 1-866-529-2807
(604) 639-8873 (FAX)
Email: info@firstmajestic.com
Website: www.firstmajestic.com
Majestic Silver Corp. concludes there is a significant increase in overall Reserves and Resources at the San Martin Silver Mine.
FIRST MAJESTIC SILVER CORP. (TSX: FR)(PINK SHEETS: FRMSF)(FRANKFURT: FMV)(WKN: A0LHKJ) ("First Majestic" or the "Company") is pleased to announce an update regarding its activities in Mexico at the San Martin Silver Mine and a new NI 43-101 Reserve/Resource update.
This newly updated technical report with a cut-off date of September 30, 2008 has resulted in a significant increase in overall Reserves and Resources at the San Martin Silver Mine. Total Proven & Probable Reserves have increased by 41.83%, while Total Measured and Indicated Resources declined by 51.55% due to the upgrading of those Resources to Reserves and Total Inferred Resources have increased by 110.94%.
The San Martin Silver Mine is located beside the town of San Martin de Bolanos in the Bolanos River valley, in the northern portion of the State of Jalisco, Mexico. The San Martin operation is 150 kilometres by air or 250 kilometres by paved road north of Guadalajara. The property covers an area in excess of 7,800 hectares of which much remains unexplored.
The San Martin mine and mill has been in operation since 1983 and is a major contributor to the economy of the town of San Martin de Bolanos which has a population of around 3,000 people. The mill for much of 2008 has been operating at 750 tonnes per day. An expansion program launched in June 2008 resulted in the mill capacity reaching 950 tpd in December 2008.
The San Martin drill program from January 1st, 2007 to September 30th, 2008 included 127 drill holes with a total depth of 19,619 metres of core, in addition to about 3,906 metres of underground development for mining, drill sites and access preparations.
During the recently completed exploration program, new mineralized zones were discovered in the Zuloaga (Pinolea and Ballenas levels and Cymoid zone), La Blanca, Rosario-Condesa, La Mancha, Huichola and La Hedionda veins.
The following summary tables were taken from the complete San Martin Silver Mine NI 43-101 Technical Report prepared by Pincock Allen & Holt, Lakewood, Colorado (PAH). Shareholders and interested parties are encouraged to read this positive report which can be viewed on SEDAR (www.sedar.com) and the Company's web site at www.firstmajestic.com.
Total Proven + Probable Mineral Reserves (Mineable Reserves)
(1, 2, 3, 4, 5)
-------------------------------------------------------------------------
Grade Metal Contained
------------------- -----------------------
Silver Silver (oz.)
Silver Lead Zinc only including
Category Tonnes g/tonne % (4) % oz. Lead Credit
-------------------------------------------------------------------------
Proven Reserves
(Oxides) 527,373 273 4,636,211 4,805,765
Probable Reserves
(Oxides) 243,091 276 2,154,571 2,232,727
-------------------------------------------------------------------------
Total Proven and
Probable Reserves 770,464 274 6,790,782 7,038,492
-------------------------------------------------------------------------
Total Measured + Indicated Resources (2, 3, 5)
-------------------------------------------------------------------------
Grade Metal Contained
------------------- -----------------------
Silver Silver (oz.)
Silver Lead Zinc only including
Category Tonnes g/tonne % (4) % oz. Lead Credit
-------------------------------------------------------------------------
Measured Resources
(Oxides) 122,404 233 915,774 955,128
Measured Resources
(Sulfides) 415,771 97 0.87 2.07 1,292,213 1,292,213
-------------------------------------------------------------------------
Indicated
Resources
(Oxides) 294,361 288 2,729,201 2,823,840
-------------------------------------------------------------------------
Indicated
Resources
(Sulfides) 670,684 116 0.94 1.64 2,498,639 2,498,639
-------------------------------------------------------------------------
Total Measured
and Indicated
Resources
(Oxides plus
Sulfides) 1,503,220 154 0.91 1.80 7,435,827 7,569,820
-------------------------------------------------------------------------
Proven and
Probable
Reserves Plus
Measured and
Indicated
Resources 2,273,684 195 0.91 1.80 14,226,609 14,608,312
-------------------------------------------------------------------------
Total Inferred Resources (2, 3, 5)
-------------------------------------------------------------------------
Grade Metal Contained
------------------- -----------------------
Silver Silver (oz.)
Silver Lead Zinc only including
Category Tonnes g/tonne % (4) % oz. Lead Credit
-------------------------------------------------------------------------
Total Inferred
Resources
(Oxides plus
Sulfides) 8,200,000 185 1.40 1.60 48,900,000 50,037,365
-------------------------------------------------------------------------
(1) Estimated Reserves are exclusive of Resources.
(2) Cut Off estimates as 146 g/tonne Ag for oxides, and 87 g/tonne Ag for
dump recovered; Ageq equals Au/Pb credits equals 10g/tonne Ag
(3) Metal prices at $708/oz-Au, $12.00/oz-Ag, $0.75/lb-Pb, $0.50/lb-Zn.
(4) Mine dilution is included at a minimum mining width of 2.00m.
Estimates do not include mining recovery.
(5) Base metals, Lead and Zinc are not recovered due to low market prices.
Oxidized ore is presently being mined from the Zuloaga vein and from the adjacent La Blanca, Rosario and Cinco Senores Veins. Exploration and development is on-going on these vein structures, on other sub-parallel crossing veins and in a recently identified cymoid structure of the Zuloaga vein at the Ballenas level, in the blocks 5,400 and 5,550, as well as on the Rosario-Condesa vein system. Primary mineralization in sulfides with lead, zinc and copper occurs at the deepest levels, San Juan and San Carlos of the Zuloaga vein, however, these areas are not presently being mined.
The mine has been developed primarily on the main Zuloaga vein which has been identified over a strike length of three kilometres, and consists of six main levels spanning a vertical interval of approximately 350 metres. The main access levels, San Jose, Santa Maria, Ballenas, Cangrejos, San Pablo, San Juan and San Carlos, are accessible from surface adits and various interconnecting underground ramps totalling over 70 kilometres.
Exploration potential for finding and developing new Resources/Reserves in the San Martin district still remains promising. As a result of this recently completed aggressive exploration program, several targets have been identified for follow up drilling when the Company wishes to commence the next program. Five target zones within the main Zuloaga vein have been identified and six other areas; the Rosario, Escondida, Cangrejos, Ballenas, San Jose and Cymoid zone, have also been identified as primary targets.
Quality Assurance & Quality Control
To evaluate sample quality control, San Martin performs multiple assays, up to three times on some samples, and periodic check analyses on samples. Since 2004, the San Martin mine has sent approximately 10 pulp samples per month to ALS Chemex Laboratories and duplicate samples to SGS Labs in Guadalajara for analysis, which has had good correlations.
Following detailed geological and geotechnical logging, drill core samples are split on-site by diamond saw. One quarter of the core is submitted to the San Martin certified laboratory for sample preparation and analysis, which are assayed for silver by standard fire assay methods and lead by atomic absorption. The other quarter of the core is shipped to the SGS preparation laboratory in Durango, Mexico for drying, crushing, pulverizing and assaying for gold and silver by fire assay and 30 elements ICP package. Systematic assaying of standards and blanks are performed for precision and accuracy; check assays are regularly conducted by SGS or Chemex. The remaining half core is retained on-site for verification and future reference purposes.
Qualified Person
The Company's independent Qualified Persons under National Instrument 43-101 who have reviewed the contents of this news release and who authored the most recent qualifying report are Leonel Lopez, C.P.G., P.G., and Richard Addison P.E., Principal Process Engineer, of Pincock Allen & Holt, who are employees of PAH and are independent of the Company.
First Majestic is a producing silver company focused in Mexico and is aggressively pursuing its business plan to become a senior silver producer through the development of its existing assets and the pursuit through acquisition of additional assets that contribute to achieving its corporate growth objectives.
FIRST MAJESTIC SILVER CORP.
Keith Neumeyer, President & CEO
This press release includes certain "Forward-Looking Statements" within the meaning of section 21E of the United States Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein, including without limitation, statements regarding potential mineralization and reserves, exploration results and future plans and objectives of First Majestic Silver Corp. are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.
Cautionary Notes to U.S. Investors Concerning Reserve and Resource Estimates
The definitions of proven and probable reserves used in National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101") differ from the definitions in the United States Securities and Exchange Commission ("SEC") Industry Guide 7. Under SEC Guide 7 standards, a "Final" or "Bankable" feasibility study is required to report reserves, the three year history average price is used in any reserve or cash flow analysis to designate reserves and the primary environmental analysis or report must be filed with the appropriate governmental authority.
In addition, the terms "mineral resource", "measured mineral resource", "indicated mineral resource" and "inferred mineral resource" are defined in and required to be disclosed by NI 43-101; however, these terms are not defined terms under SEC Industry Guide 7 and normally are not permitted to be used in reports and registration statements filed with the SEC. Investors are cautioned not to assume that any part or all of mineral deposits in these categories will ever be converted into reserves. "Inferred mineral resources" have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an inferred mineral resource will ever be upgraded to a higher category. Under Canadian rules, estimates of inferred mineral resources may not form the basis of feasibility or pre-feasibility studies, except in rare cases.
Contacts:
First Majestic Silver Corp.
Keith Neumeyer
President & CEO
(604) 688-3033 or Toll Free: 1-866-529-2807
(604) 639-8873 (FAX)
Email: info@firstmajestic.com
Website: www.firstmajestic.com
Majestic Silver Corp. concludes there is a significant increase in overall Reserves and Resources at the San Martin Silver Mine.
Friday, January 16, 2009
Hunt Gold Corporation -- Sale of "Lookout Silver Mine"
Company Enters Into Agreement to Dispose of Its "Lookout Silver" Mining Interests
Hunt Gold Corporation (PINKSHEETS: HGLC) confirms that it is disposing of its "Lookout Silver" Mine. The Company is in the process of staking additional claims surrounding this mine and is disposing of the "entire package."
This sale is being effected to allow the Company to concentrate exclusively on its Gold Mining interests and to obtain further funds to fund the massively expedited exploration and drilling campaigns currently underway.
The proceeds from the sale of the "Lookout Silver" Mine package; in the amount of US$65 million are being retained by the Company.
This transaction will be concluded on February 2, 2009.
ABOUT HUNT GOLD CORPORATION
Hunt Gold Corporation is a Gold Mining & Exploration Company focused on the development and exploration of its Gold properties, namely "Mockingbird," "Ambassador," "Golden Eagle," "Gladstone Lookout," "Lady Alde," "Williamson," "Blue Copper Mine," "Starlight," "American Flag," "Venezia," "Stormcloud," "Cherry," "Buffalo Limecap," "Red Cloud" and "Federal." The Company has completed the sale of its "American Molygold" interests and will be distributing the entire sale proceeds through a Stock Dividend to its stockholders, this to be announced in January of 2009. The Company has entered into an Agreement to dispose of its "Lookout Silver" Mining Interests on February 2, 2009.
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "may," "future," "plan" or "planned," "will" or "should," "expected," "anticipates," "draft," "eventually" or "projected." You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company's annual report on Form 10-K or 10-KSB and other filings made by such company with the SEC.
For further information contact:
Hunt Gold Corporation
E Mail: Email Contact
Telephone: (954) 840-6956
Contact: Mr. Michael G Saner
Hunt Gold Corporation (PINKSHEETS: HGLC) confirms that it is disposing of its "Lookout Silver" Mine. The Company is in the process of staking additional claims surrounding this mine and is disposing of the "entire package."
This sale is being effected to allow the Company to concentrate exclusively on its Gold Mining interests and to obtain further funds to fund the massively expedited exploration and drilling campaigns currently underway.
The proceeds from the sale of the "Lookout Silver" Mine package; in the amount of US$65 million are being retained by the Company.
This transaction will be concluded on February 2, 2009.
ABOUT HUNT GOLD CORPORATION
Hunt Gold Corporation is a Gold Mining & Exploration Company focused on the development and exploration of its Gold properties, namely "Mockingbird," "Ambassador," "Golden Eagle," "Gladstone Lookout," "Lady Alde," "Williamson," "Blue Copper Mine," "Starlight," "American Flag," "Venezia," "Stormcloud," "Cherry," "Buffalo Limecap," "Red Cloud" and "Federal." The Company has completed the sale of its "American Molygold" interests and will be distributing the entire sale proceeds through a Stock Dividend to its stockholders, this to be announced in January of 2009. The Company has entered into an Agreement to dispose of its "Lookout Silver" Mining Interests on February 2, 2009.
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "may," "future," "plan" or "planned," "will" or "should," "expected," "anticipates," "draft," "eventually" or "projected." You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company's annual report on Form 10-K or 10-KSB and other filings made by such company with the SEC.
For further information contact:
Hunt Gold Corporation
E Mail: Email Contact
Telephone: (954) 840-6956
Contact: Mr. Michael G Saner
Thursday, January 15, 2009
Endeavour Silver Achieves Fourth Consecutive Year of Record Silver Production in 2008, Targets Substantial Growth in 2009
VANCOUVER, BRITISH COLUMBIA - Endeavour Silver Corp. (TSX: EDR)(NYSE Alternext US: EXK)(DBFrankfurt: EJD) announces that the Company achieved its fourth consecutive year of record silver production in 2008, totaling 2.34 million ounces silver, up 9% over 2007.
Silver production in Q4, 2008 from the Company's two operating silver mines in Mexico, Guanacevi and Guanajuato, was a record 691,347 oz silver, up 10% over the Third Quarter, 2008 and up 8% over Q4, 2007. The new all-time high silver production can largely be attributed to the successful rehabilitation and re-commissioning of the Guanajuato Mines project, which was acquired in May 2007 but only re-commenced commercial production in June, 2008 after completion of major mine rehabilitation and safety upgrade programs.
To view the Guanajuato Mines Project, please click here: .
In addition, gold production rose sharply in 2008 to 8,187 oz gold, up 27% compared to 2007. The increased gold production can also be attributed to re-commissioning of the Guanajuato Mines project as it has significantly higher gold grades compared to Guanacevi. Expressed as silver equivalents based on a silver: gold ratio of 75: 1, Endeavour's combined silver and gold production amounted to 881,397 oz silver equivalents in Q4, 2008 and 2.95 million oz silver equivalents in 2008, up 19% over 2007.
To view the Guanacevi Mines Project, please click here: http://www.edrsilver.com/s/Guanacevi.asp.
Endeavour plans to release an overview of its 2008 exploration activities by the end of January, 2009 and a more detailed review of its 2008 mining operations and 2009 production forecast in February, 2009. The 2008 year-end financial results and 2009 financial outlook will be released in late March, 2009.
Bradford Cooke, Chairman and CEO, commented, "We are pleased to announce that Endeavour beat its revised production forecast of 2.3 million oz silver for 2008, notwithstanding our decision in September to slow production growth so long as the silver price remains depressed. Management is of the belief that the silver price will rebound in 2009 so we plan to use this time of lower silver prices to accelerate the development of new ore-bodies that will facilitate our next phase of production growth."
"Once the silver price bounces back, and our accelerated mine development projects are well underway, we plan to resume our aggressive production growth so as to achieve our 5th consecutive year of record silver production. Endeavour's two operating silver mines should be able to more than double their silver production over the next two and a half years in order to fill the two process plants to their operating capacities. Management will also continue to seek opportunities for growth by acquisitions in 2009."
Endeavour Silver Corp. (TSX: EDR)(NYSE Alternext US: EXK)(DBFrankfurt: EJD) is a small-cap silver mining company focused on the growth of its silver production, reserves and resources in Mexico. The expansion programs now underway at Endeavour's two operating mines, Guanacevi in Durango State and Guanajuato in Guanajuato State, should propel Endeavour into the ranks of mid-tier primary silver producers.
ENDEAVOUR SILVER CORP.
Bradford Cooke, Chairman and CEO
CAUTIONARY DISCLAIMER - FORWARD LOOKING STATEMENTS
Certain statements contained herein constitute "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. All statements that are not historical facts, including without limitation statements regarding future estimates, plans, objectives, assumptions or expectations of future performance, are "forward-looking statements". We caution you that such "forward-looking statements" involve known and unknown risks and uncertainties, as discussed in the Company's filings with Canadian and United States securities agencies. The Company expressly disclaims any obligation to update any forward-looking statements other than as required by applicable law. We seek safe harbour.
The TSX Exchange has neither approved nor disapproved the contents of this news release.
Contacts:
Endeavour Silver Corp.
Hugh Clarke
(604) 685-9775 or Toll Free: 1-877-685-9775
(604) 685-9744 (FAX)
Email: hugh@edrsilver.com
Website: www.edrsilver.com
© MarketWire 2009
Silver production in Q4, 2008 from the Company's two operating silver mines in Mexico, Guanacevi and Guanajuato, was a record 691,347 oz silver, up 10% over the Third Quarter, 2008 and up 8% over Q4, 2007. The new all-time high silver production can largely be attributed to the successful rehabilitation and re-commissioning of the Guanajuato Mines project, which was acquired in May 2007 but only re-commenced commercial production in June, 2008 after completion of major mine rehabilitation and safety upgrade programs.
To view the Guanajuato Mines Project, please click here: .
In addition, gold production rose sharply in 2008 to 8,187 oz gold, up 27% compared to 2007. The increased gold production can also be attributed to re-commissioning of the Guanajuato Mines project as it has significantly higher gold grades compared to Guanacevi. Expressed as silver equivalents based on a silver: gold ratio of 75: 1, Endeavour's combined silver and gold production amounted to 881,397 oz silver equivalents in Q4, 2008 and 2.95 million oz silver equivalents in 2008, up 19% over 2007.
To view the Guanacevi Mines Project, please click here: http://www.edrsilver.com/s/Guanacevi.asp.
Endeavour plans to release an overview of its 2008 exploration activities by the end of January, 2009 and a more detailed review of its 2008 mining operations and 2009 production forecast in February, 2009. The 2008 year-end financial results and 2009 financial outlook will be released in late March, 2009.
Bradford Cooke, Chairman and CEO, commented, "We are pleased to announce that Endeavour beat its revised production forecast of 2.3 million oz silver for 2008, notwithstanding our decision in September to slow production growth so long as the silver price remains depressed. Management is of the belief that the silver price will rebound in 2009 so we plan to use this time of lower silver prices to accelerate the development of new ore-bodies that will facilitate our next phase of production growth."
"Once the silver price bounces back, and our accelerated mine development projects are well underway, we plan to resume our aggressive production growth so as to achieve our 5th consecutive year of record silver production. Endeavour's two operating silver mines should be able to more than double their silver production over the next two and a half years in order to fill the two process plants to their operating capacities. Management will also continue to seek opportunities for growth by acquisitions in 2009."
Endeavour Silver Corp. (TSX: EDR)(NYSE Alternext US: EXK)(DBFrankfurt: EJD) is a small-cap silver mining company focused on the growth of its silver production, reserves and resources in Mexico. The expansion programs now underway at Endeavour's two operating mines, Guanacevi in Durango State and Guanajuato in Guanajuato State, should propel Endeavour into the ranks of mid-tier primary silver producers.
ENDEAVOUR SILVER CORP.
Bradford Cooke, Chairman and CEO
CAUTIONARY DISCLAIMER - FORWARD LOOKING STATEMENTS
Certain statements contained herein constitute "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. All statements that are not historical facts, including without limitation statements regarding future estimates, plans, objectives, assumptions or expectations of future performance, are "forward-looking statements". We caution you that such "forward-looking statements" involve known and unknown risks and uncertainties, as discussed in the Company's filings with Canadian and United States securities agencies. The Company expressly disclaims any obligation to update any forward-looking statements other than as required by applicable law. We seek safe harbour.
The TSX Exchange has neither approved nor disapproved the contents of this news release.
Contacts:
Endeavour Silver Corp.
Hugh Clarke
(604) 685-9775 or Toll Free: 1-877-685-9775
(604) 685-9744 (FAX)
Email: hugh@edrsilver.com
Website: www.edrsilver.com
© MarketWire 2009
Rochester Resources Appoints Eduardo Luna President and CEO
Rochester Resources Ltd. (TSX VENTURE: RCT)(OTCBB: RCTFF)(FRANKFURT: R5I) is pleased to announce that Mr. Eduardo Luna has been appointed President and CEO of Rochester Resources Ltd. Dr. Alfredo Parra will assume the role of Chief Operating Officer and will remain a director of Rochester. This will allow Dr. Parra to focus primarily on the mining and milling operations at the Mina Real Property. The Company anticipates that the synergy between Dr. Parra and Mr. Luna will be very positive for the Company from both an operational and capital markets perspective.
"We are thrilled to have Eduardo join Rochester's management team," said Dr. Parra, "His extensive international experience in the mining industry and Mexican operations make him a true asset to the company as we move forward with our Mina Real project. On behalf of senior management and the board of directors, I'd like to welcome him to a key management role."
Mr. Luna has been a director of Rochester since August 2007 and is currently Chairman of Silver Wheaton and previously was President of Goldcorp's Mexican mining operations. Mr. Luna brings extensive business experience and knowledge of the mining industry and will help strengthen the development of management's corporate strategy and relationships with the capital markets.
Mr. Luna holds a degree in Advanced Management from Harvard University, an MBA from Instituto Tecnologico de Estudios Superiores de Monterrey and a Bachelor of Science in Mining Engineering from Universidad de Guanajuato. He has held various other executive positions such as Minera Autlan for seven years and Industrias Penoles for five years. He is the former President of the Mexican Mining Chamber and the former President of the Silver Institute. Mr. Luna serves as Chairman of the Advisory Board of the Faculty of Mines at the University of Guanajuato and of the Mineral Resources Council in Mexico.
ON BEHALF OF THE BOARD
Dr. Alfredo Parra, COO
About Rochester Resources Ltd.:
Rochester represents a pure-play in the exploration and development of high-grade gold and silver properties located in Nayarit, Mexico. The Company is a niche player in Mexico which has assembled an attractive portfolio of properties in the Sierra Madre Occidental Range. This is the largest epithermal precious metal region in the world, hosting the majority of Mexico's large tonnage gold and silver deposits. Current production generates growing cash flow and helps fund our ongoing exploration and development with minimum share dilution.
Rochester is well positioned to advance its projects and can very quickly become a significant player in Mexico. Rochester has a strong senior management team based in Mexico, a workforce in place to advance its projects through to mine development, and strong financial backing to implement and advance our work programs.
Forward Looking Statements
This Company Press Release contains certain "forward-looking" statements and information relating to the Company that are based on the beliefs of the Company's management as well as assumptions made by and information currently available to the Company's management. Such statements reflect the current risks, uncertainties and assumptions related to certain factors including, without limitations, competitive factors, general economic conditions, customer relations, relationships with vendors and strategic partners, the interest rate environment, governmental regulation and supervision, seasonality, technological change, changes in industry practices, and one-time events. In addition, the Company has not conducted an independent feasibility study on the Mina Real project which may increase the risk that the planned operations are not economically viable. Should any one or more of these risks or uncertainties materialize, or should any underlying assumptions prove incorrect, actual results may vary materially from those described herein.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or the accuracy of this release.
Contacts:
Empire Communications Inc.
Investor Information
(604) 484-0066
Email: info@rochesterresources.com
Website: www.rochesterresources.com
"We are thrilled to have Eduardo join Rochester's management team," said Dr. Parra, "His extensive international experience in the mining industry and Mexican operations make him a true asset to the company as we move forward with our Mina Real project. On behalf of senior management and the board of directors, I'd like to welcome him to a key management role."
Mr. Luna has been a director of Rochester since August 2007 and is currently Chairman of Silver Wheaton and previously was President of Goldcorp's Mexican mining operations. Mr. Luna brings extensive business experience and knowledge of the mining industry and will help strengthen the development of management's corporate strategy and relationships with the capital markets.
Mr. Luna holds a degree in Advanced Management from Harvard University, an MBA from Instituto Tecnologico de Estudios Superiores de Monterrey and a Bachelor of Science in Mining Engineering from Universidad de Guanajuato. He has held various other executive positions such as Minera Autlan for seven years and Industrias Penoles for five years. He is the former President of the Mexican Mining Chamber and the former President of the Silver Institute. Mr. Luna serves as Chairman of the Advisory Board of the Faculty of Mines at the University of Guanajuato and of the Mineral Resources Council in Mexico.
ON BEHALF OF THE BOARD
Dr. Alfredo Parra, COO
About Rochester Resources Ltd.:
Rochester represents a pure-play in the exploration and development of high-grade gold and silver properties located in Nayarit, Mexico. The Company is a niche player in Mexico which has assembled an attractive portfolio of properties in the Sierra Madre Occidental Range. This is the largest epithermal precious metal region in the world, hosting the majority of Mexico's large tonnage gold and silver deposits. Current production generates growing cash flow and helps fund our ongoing exploration and development with minimum share dilution.
Rochester is well positioned to advance its projects and can very quickly become a significant player in Mexico. Rochester has a strong senior management team based in Mexico, a workforce in place to advance its projects through to mine development, and strong financial backing to implement and advance our work programs.
Forward Looking Statements
This Company Press Release contains certain "forward-looking" statements and information relating to the Company that are based on the beliefs of the Company's management as well as assumptions made by and information currently available to the Company's management. Such statements reflect the current risks, uncertainties and assumptions related to certain factors including, without limitations, competitive factors, general economic conditions, customer relations, relationships with vendors and strategic partners, the interest rate environment, governmental regulation and supervision, seasonality, technological change, changes in industry practices, and one-time events. In addition, the Company has not conducted an independent feasibility study on the Mina Real project which may increase the risk that the planned operations are not economically viable. Should any one or more of these risks or uncertainties materialize, or should any underlying assumptions prove incorrect, actual results may vary materially from those described herein.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or the accuracy of this release.
Contacts:
Empire Communications Inc.
Investor Information
(604) 484-0066
Email: info@rochesterresources.com
Website: www.rochesterresources.com
Wednesday, January 14, 2009
First Majestic Silver Corp.: Production Increases 27% in 4th Quarter
First Majestic Silver Corp. (TSX: FR)(PINK SHEETS: FRMSF)(FRANKFURT: FMV)(WKN: A0LHKJ) ("First Majestic" or the "Company") is pleased to announce that production in the fourth quarter ending December 31, 2008 increased to 1,070,903 equivalent ounces of silver representing a 27% increase over the prior quarter production and an increase of 6% over the same quarter in the prior year.
The equivalent silver production for the quarter consisted of 930,120 ounces of silver, an increase of 29% over the previous quarter and 2,093,987 pounds of lead which represents a 38% increase over the previous quarter. The large increase in lead production was a result of improvements in recoveries of lead and tonnage at the flotation circuit at the La Encantada Silver Mine. Production of gold in the quarter amounted to 403 ounces representing a 25% decrease compared to the prior quarter.
During the quarter, the combined recoveries of silver at the three different mills showed a slight decrease from 67% to 65%. The overall average silver head grade in the quarter improved for the three mines increasing by 6% over the previous quarter to an overall head grade of 207 g/t silver.
The ore processed during the quarter at the Company's three operating silver mines; the La Parrilla Silver Mine, the San Martin Silver Mine and the La Encantada Silver Mine, amounted to 215,646 tonnes representing an increase of 27% over the previous quarter.
Despite the reduction of underground development throughout the Company's three operating silver mines, a total of 5,847 metres of development was completed in the quarter representing a reduction of 34% over the previous quarter. The total development for the year 2008, totalled 27,890 metres. This compares to 20,279 metres of underground developed in the previous calendar year representing an increase of 38%. This development program in 2008 was very important in giving access to new areas within the different mines in order to continue the growth of silver production in the future, and to upgrade current ore resources to reserves.
Reserve and Resource development was a high priority for the Company in 2008. In the quarter, two new NI 43-101 Reports were released. Current global resources now stand at 260,351,425 equivalent ounces of silver. As previously reported, two additional NI 43-101 Reports will soon be released to further increase this number. During most of the year, over 20 drill rigs were operating. During the fourth quarter, a decision was made to reduce the diamond drill program to four drill rigs, which currently remain in operation. A total of 4,193 metres of diamond drilling was completed during the quarter compared to 26,666 in the previous quarter. During the year ending December 31, 2008, a total of 61,440 metres of diamond drilling was completed which compares to 37,176 metres drilled in 2007 representing an increase of 65%.
Keith Neumeyer, President & CEO, stated, "We've witnessed another significant year of growth in production and Resources as a result of our continued focus on mine and mill improvements throughout the past couple of years. Production increased by 18% year over year and Resources have increased by an impressive 55%. These improvements will translate into higher production for 2009 and with the new La Encantada mill coming online later this year, production will get another significant boost. First Majestic is still a young company that is not without challenges as can be expected as a result of our significant growth to date. I'm continually encouraged by our team of professionals who collectively have over 500 years of mining and management experience and who are all extremely committed to building a leader in the silver sector."
As a result of the work completed in 2008, some of the improvements and advances made during the year include:
At the La Parrilla Silver Mine:
- A new CCD thickener and two new leaching tanks to increase capacity and two new filter presses in the filtration area were added which have positively impacted recoveries.
- Expansion of mill capacity from 800 tpd to 850 tpd which was achieved in November 2008.
At the La Encantada Silver Mine:
- The increase in NI 43-101 complaint Reserves and Resources from 66 to 89 million ounces of silver equivalent representing a 34% increase on a year over year basis which included Reserves of 35.5 million ounces of silver equivalent representing an increase of 182% year over year.
- All related permitting for the new 3,500 tpd Cyanidation plant was obtained during the first half of 2008 and construction of the new plant began in July. Planned completion remains the second quarter of 2009.
- Several improvements were made within the current flotation mill which has resulted in overall capacity reaching 1000 tpd in November 2008.
At the San Martin Silver Mine:
- Expansion of the mill began at San Martin in July 2008 and was completed in December resulting in an increase in capacity within the cyanidation circuit to 950 tpd. This throughput has now been reached and is fully operational.
At the Del Toro Silver Mine:
- One of the most impressive and over-looked events of 2008 was marked by the discovery of the third ore body at Del Toro. This large and open, highly mineralized structure is still in the early stages of being defined. The first NI 43-101 compliant Reserves and Resources estimate was published in the fourth quarter far exceeding management's expectations. A total of 57 million ounces of silver equivalent were defined paving the way toward feasibility study and permitting which is planned to be completed by the second quarter of 2009.
Total production during 2008 reached 4,244,756 ounces of silver equivalent representing an increase of 18% compared to the previous year's 3,584,265 ounces silver equivalent. Even though management is pleased with the substantial increase in silver production compared to 2007, production for the year was lower than originally estimated. The heavy rainy season which affected the third quarter had a negative impact on the tonnage feed through the mills at each operation. Also, at the San Martin, maintaining optimal head grade continued to be the primary challenge which required management to try different alternatives to give the development program time to prepare and access new areas within the mine. Given the expansions that were completed in 2008 and the new construction underway at the La Encantada, management is estimating production to be 6,000,000 ounces of silver for 2009.
First Majestic is a producing silver company focused in Mexico and is aggressively pursuing its business plan to become a senior silver producer through the development of its existing assets and the pursuit through acquisition of additional assets that contribute to achieving its significant corporate growth objectives.
FIRST MAJESTIC SILVER CORP.
Keith Neumeyer, President & CEO
This press release includes certain "Forward-Looking Statements" within the meaning of section 21E of the United States Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein, including without limitation, statements regarding potential mineralization and reserves, exploration results and future plans and objectives of First Majestic Silver Corp. are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.
Contacts:
First Majestic Silver Corp.
Keith Neumeyer
President & CEO
(604) 688-3033 or Toll Free: 1-866-529-2807
(604) 639-8873 (FAX)
Email: info@firstmajestic.com
Website: www.firstmajestic.com
The equivalent silver production for the quarter consisted of 930,120 ounces of silver, an increase of 29% over the previous quarter and 2,093,987 pounds of lead which represents a 38% increase over the previous quarter. The large increase in lead production was a result of improvements in recoveries of lead and tonnage at the flotation circuit at the La Encantada Silver Mine. Production of gold in the quarter amounted to 403 ounces representing a 25% decrease compared to the prior quarter.
During the quarter, the combined recoveries of silver at the three different mills showed a slight decrease from 67% to 65%. The overall average silver head grade in the quarter improved for the three mines increasing by 6% over the previous quarter to an overall head grade of 207 g/t silver.
The ore processed during the quarter at the Company's three operating silver mines; the La Parrilla Silver Mine, the San Martin Silver Mine and the La Encantada Silver Mine, amounted to 215,646 tonnes representing an increase of 27% over the previous quarter.
Despite the reduction of underground development throughout the Company's three operating silver mines, a total of 5,847 metres of development was completed in the quarter representing a reduction of 34% over the previous quarter. The total development for the year 2008, totalled 27,890 metres. This compares to 20,279 metres of underground developed in the previous calendar year representing an increase of 38%. This development program in 2008 was very important in giving access to new areas within the different mines in order to continue the growth of silver production in the future, and to upgrade current ore resources to reserves.
Reserve and Resource development was a high priority for the Company in 2008. In the quarter, two new NI 43-101 Reports were released. Current global resources now stand at 260,351,425 equivalent ounces of silver. As previously reported, two additional NI 43-101 Reports will soon be released to further increase this number. During most of the year, over 20 drill rigs were operating. During the fourth quarter, a decision was made to reduce the diamond drill program to four drill rigs, which currently remain in operation. A total of 4,193 metres of diamond drilling was completed during the quarter compared to 26,666 in the previous quarter. During the year ending December 31, 2008, a total of 61,440 metres of diamond drilling was completed which compares to 37,176 metres drilled in 2007 representing an increase of 65%.
Keith Neumeyer, President & CEO, stated, "We've witnessed another significant year of growth in production and Resources as a result of our continued focus on mine and mill improvements throughout the past couple of years. Production increased by 18% year over year and Resources have increased by an impressive 55%. These improvements will translate into higher production for 2009 and with the new La Encantada mill coming online later this year, production will get another significant boost. First Majestic is still a young company that is not without challenges as can be expected as a result of our significant growth to date. I'm continually encouraged by our team of professionals who collectively have over 500 years of mining and management experience and who are all extremely committed to building a leader in the silver sector."
As a result of the work completed in 2008, some of the improvements and advances made during the year include:
At the La Parrilla Silver Mine:
- A new CCD thickener and two new leaching tanks to increase capacity and two new filter presses in the filtration area were added which have positively impacted recoveries.
- Expansion of mill capacity from 800 tpd to 850 tpd which was achieved in November 2008.
At the La Encantada Silver Mine:
- The increase in NI 43-101 complaint Reserves and Resources from 66 to 89 million ounces of silver equivalent representing a 34% increase on a year over year basis which included Reserves of 35.5 million ounces of silver equivalent representing an increase of 182% year over year.
- All related permitting for the new 3,500 tpd Cyanidation plant was obtained during the first half of 2008 and construction of the new plant began in July. Planned completion remains the second quarter of 2009.
- Several improvements were made within the current flotation mill which has resulted in overall capacity reaching 1000 tpd in November 2008.
At the San Martin Silver Mine:
- Expansion of the mill began at San Martin in July 2008 and was completed in December resulting in an increase in capacity within the cyanidation circuit to 950 tpd. This throughput has now been reached and is fully operational.
At the Del Toro Silver Mine:
- One of the most impressive and over-looked events of 2008 was marked by the discovery of the third ore body at Del Toro. This large and open, highly mineralized structure is still in the early stages of being defined. The first NI 43-101 compliant Reserves and Resources estimate was published in the fourth quarter far exceeding management's expectations. A total of 57 million ounces of silver equivalent were defined paving the way toward feasibility study and permitting which is planned to be completed by the second quarter of 2009.
Total production during 2008 reached 4,244,756 ounces of silver equivalent representing an increase of 18% compared to the previous year's 3,584,265 ounces silver equivalent. Even though management is pleased with the substantial increase in silver production compared to 2007, production for the year was lower than originally estimated. The heavy rainy season which affected the third quarter had a negative impact on the tonnage feed through the mills at each operation. Also, at the San Martin, maintaining optimal head grade continued to be the primary challenge which required management to try different alternatives to give the development program time to prepare and access new areas within the mine. Given the expansions that were completed in 2008 and the new construction underway at the La Encantada, management is estimating production to be 6,000,000 ounces of silver for 2009.
First Majestic is a producing silver company focused in Mexico and is aggressively pursuing its business plan to become a senior silver producer through the development of its existing assets and the pursuit through acquisition of additional assets that contribute to achieving its significant corporate growth objectives.
FIRST MAJESTIC SILVER CORP.
Keith Neumeyer, President & CEO
This press release includes certain "Forward-Looking Statements" within the meaning of section 21E of the United States Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein, including without limitation, statements regarding potential mineralization and reserves, exploration results and future plans and objectives of First Majestic Silver Corp. are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.
Contacts:
First Majestic Silver Corp.
Keith Neumeyer
President & CEO
(604) 688-3033 or Toll Free: 1-866-529-2807
(604) 639-8873 (FAX)
Email: info@firstmajestic.com
Website: www.firstmajestic.com
Nevada Sunrise Intercepts 0.571 oz/ton Gold and 6.791 oz/ton Silver
VANCOUVER, BC - Nevada Sunrise Gold Corporation (TSX-V: NEV) has released its results from the 2008 exploration drill program on the Golden Arrow property located in Nye County, Nevada. Highlights include hole GA08-307 returning 30 feet at 0.446 oz/ton Au and 6.791 oz/ton Ag, and hole GA08-311 returning 9 feet at 0.571 oz/ton Au and 3.500 oz/ton Ag. CEO Bill Henderson stated, "It is exciting that the results from our 2008 drill program back up the geologic model developed by company geologists over the past year and support new geophysical and geochemical targets that may become additional centers of gold and silver mineralization on the property." A new resource estimate, presently being computed by Mine Development Associates of Reno, Nevada, is expected during Q1 2009. Extensive metallurgical tests being conducted at McClelland Laboratories of Sparks, Nevada, are expected to be completed in Q2 2009.
The table lists selected intercepts from the 2008 Golden Arrow drill program.
The company's primary focus is the exploration and development of precious metal properties in Nevada. The first phase of exploration drilling at Golden Arrow was completed in September 2008, and included 3,584 feet in 5 diamond core holes, and 16,880 feet in 28 reverse circulation (RC) drill holes. The company completed 8 holes in the Hidden Hill mineral zone and 18 holes in the Gold Coin mineral zone, as well as 7 holes testing new exploration targets. A map showing drill hole locations is included in our NI 43-101 Technical Report entitled Technical Report on Golden Arrow Project, Nye County, Nevada, U.S.A. dated February 18, 2008, available on SEDAR (the "Technical Report").
The volcanic-rock-hosted precious metal mineralization at Golden Arrow is best described as consisting of low-sulfidation epithermal quartz and precious metal veins overprinted by hot-springs style, high-sulfidation epithermal alteration and precious metal mineralization. The property is situated along the northeastern margin of the Walker Lane Structural Belt. The discovery of near surface high grade gold bearing quartz veins led to early development of the district.
The current resource as reported in the Technical Report is shown in the table below.
Au Grade Ounces Ag Grade Ounces
(oz/ton) Gold (oz/ton) Silver
Total Indicated: 0.025 239,000 0.35 3,366,000
Total Inferred: 0.015 98,000 0.29 1,846,000
About Nevada Sunrise
For the latest details on the Company, its properties, management team and philosophy, please visit our website at www.nevadasunrise.com.
All data, as reported to the company by McClelland Laboratories, Inc., American Assay Laboratories and ALS Chemex have been reviewed by Dr. Odin D. Christensen. Dr. Christensen, a Qualified Person under Canadian National Instrument 43-101 and Senior Geologist and a director of the Company, is the Qualified Person responsible for the preparation of the technical information included in this document and for supervision of field activities related to the Company's projects.
CAUTIONARY NOTE
This release contains forward-looking statements which may include, but is not limited to, statements with respect to the timing of our exploration and drilling programs; geological models; expectations related to enhancing resource grades; financing plans and availability of future financing for our projects; anticipated results of our exploration, mineral resource estimates and other plans, projections, estimates and expectations. Forward-looking statements address future events and conditions which are subject to various risks and uncertainties which are based on the expectations and opinions of the Company's management on the date the statements are made. The assumptions used in the preparation of such statements, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. For details of the Company, its business and properties, including risks relating to an investment in securities of the Company, see the Company's prospectus dated June 25, 2008, as amended by an amendment dated August 22, 2008, both of which are available on SEDAR at www.sedar.com, or directly from the Company.
Cautionary Note to United States Investors Concerning Estimates of Measured, Indicated and Inferred Resources: This news release uses the terms "Indicated" and "Inferred" Resources. United States investors are advised that while such terms are recognized and required by Canadian regulations, the United States Securities and Exchange Commission does not recognize them. "Inferred Mineral Resources" have a great amount of uncertainty as to their existence, and as to their economic and legal feasibility. It cannot be assumed that all or any part of an Inferred Mineral Resource will ever be upgraded to a higher category. Under Canadian rules, estimates of Inferred Mineral Resources may not form the basis of feasibility or other economic studies. United States investors are cautioned not to assume that all or any part of Indicated Mineral Resources will ever be converted into Mineral Reserves. United States investors are also cautioned not to assume that all or any part of an Inferred Mineral Resource exists, or is economically or legally mineable.
The TSX Venture exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. The Securities of Nevada Sunrise Gold Corporation have not been registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to the account or benefit of any U.S. person.
FOR FURTHER INFORMATION:
William B. Henderson
President and Chief Executive Officer
Telephone: (530) 887-9901
Facsimile: (530) 884-3822
© MarketWire 2009
The table lists selected intercepts from the 2008 Golden Arrow drill program.
The company's primary focus is the exploration and development of precious metal properties in Nevada. The first phase of exploration drilling at Golden Arrow was completed in September 2008, and included 3,584 feet in 5 diamond core holes, and 16,880 feet in 28 reverse circulation (RC) drill holes. The company completed 8 holes in the Hidden Hill mineral zone and 18 holes in the Gold Coin mineral zone, as well as 7 holes testing new exploration targets. A map showing drill hole locations is included in our NI 43-101 Technical Report entitled Technical Report on Golden Arrow Project, Nye County, Nevada, U.S.A. dated February 18, 2008, available on SEDAR (the "Technical Report").
The volcanic-rock-hosted precious metal mineralization at Golden Arrow is best described as consisting of low-sulfidation epithermal quartz and precious metal veins overprinted by hot-springs style, high-sulfidation epithermal alteration and precious metal mineralization. The property is situated along the northeastern margin of the Walker Lane Structural Belt. The discovery of near surface high grade gold bearing quartz veins led to early development of the district.
The current resource as reported in the Technical Report is shown in the table below.
Au Grade Ounces Ag Grade Ounces
(oz/ton) Gold (oz/ton) Silver
Total Indicated: 0.025 239,000 0.35 3,366,000
Total Inferred: 0.015 98,000 0.29 1,846,000
About Nevada Sunrise
For the latest details on the Company, its properties, management team and philosophy, please visit our website at www.nevadasunrise.com.
All data, as reported to the company by McClelland Laboratories, Inc., American Assay Laboratories and ALS Chemex have been reviewed by Dr. Odin D. Christensen. Dr. Christensen, a Qualified Person under Canadian National Instrument 43-101 and Senior Geologist and a director of the Company, is the Qualified Person responsible for the preparation of the technical information included in this document and for supervision of field activities related to the Company's projects.
CAUTIONARY NOTE
This release contains forward-looking statements which may include, but is not limited to, statements with respect to the timing of our exploration and drilling programs; geological models; expectations related to enhancing resource grades; financing plans and availability of future financing for our projects; anticipated results of our exploration, mineral resource estimates and other plans, projections, estimates and expectations. Forward-looking statements address future events and conditions which are subject to various risks and uncertainties which are based on the expectations and opinions of the Company's management on the date the statements are made. The assumptions used in the preparation of such statements, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. For details of the Company, its business and properties, including risks relating to an investment in securities of the Company, see the Company's prospectus dated June 25, 2008, as amended by an amendment dated August 22, 2008, both of which are available on SEDAR at www.sedar.com, or directly from the Company.
Cautionary Note to United States Investors Concerning Estimates of Measured, Indicated and Inferred Resources: This news release uses the terms "Indicated" and "Inferred" Resources. United States investors are advised that while such terms are recognized and required by Canadian regulations, the United States Securities and Exchange Commission does not recognize them. "Inferred Mineral Resources" have a great amount of uncertainty as to their existence, and as to their economic and legal feasibility. It cannot be assumed that all or any part of an Inferred Mineral Resource will ever be upgraded to a higher category. Under Canadian rules, estimates of Inferred Mineral Resources may not form the basis of feasibility or other economic studies. United States investors are cautioned not to assume that all or any part of Indicated Mineral Resources will ever be converted into Mineral Reserves. United States investors are also cautioned not to assume that all or any part of an Inferred Mineral Resource exists, or is economically or legally mineable.
The TSX Venture exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. The Securities of Nevada Sunrise Gold Corporation have not been registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to the account or benefit of any U.S. person.
FOR FURTHER INFORMATION:
William B. Henderson
President and Chief Executive Officer
Telephone: (530) 887-9901
Facsimile: (530) 884-3822
© MarketWire 2009
Monday, January 12, 2009
Apex Silver Announces Agreement With Certain Convertible Note Holders
Apex Silver Mines Limited, (AMEX: SIL) (the "Company") today announced that it has reached agreement with holders of approximately 43% of the Company's $290 million convertible subordinated notes on the principle terms of a plan of reorganization under Chapter 11 of the U.S. Bankruptcy Code. As contemplated by the proposed plan of reorganization, if the class of convertible subordinated note holders accepts the plan, senior creditors under the Company's guarantees of the San Cristóbal mine's project financing facility will waive and release their senior claims and holders of convertible subordinated notes will receive a pro rata share of approximately $45 million in cash plus common stock of the reorganized Company. However, if the class of convertible subordinated note holders rejects the proposed plan, the class would receive an allocation of cash only after payment in full of the senior creditors. In such circumstances, the convertible subordinated note holders would receive common stock of the reorganized Company, but might not receive any cash distributions. The consummation of the proposed plan of reorganization is subject to the satisfaction of numerous conditions, including approval by the bankruptcy court of a disclosure statement relating to the proposed plan and the closing of the previously announced sale of the Company's interest in the San Cristóbal mine and related assets to Sumitomo Corporation. The Company expects to commence the Chapter 11 filing this week, possibly as early as Monday, January 12.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act, including statements regarding the Company's reorganization under Chapter 11 of the Bankruptcy Code and certain of the anticipated terms of the plan of reorganization. These statements are subject to risks and uncertainties, including the ability of the Company to continue business operations during the Chapter 11 proceeding; whether the Company's anticipated financial resources during the proceedings will be sufficient to fund its operations; the ability of the Company to obtain court approval of various motions it expects to file as part of the Chapter 11 proceeding; the ability of the Company to consummate a plan of reorganization as currently planned; risks associated with third party motions in the Chapter 11 proceeding, which may interfere with the Company's ability to develop and consummate a plan of reorganization; the potential adverse effects of the Chapter 11 proceeding on the Company's liquidity, results of operations or business, including its vendor terms and its ability to motivate and retain key executives and other necessary personnel while seeking to implement its plan of reorganization. The Company assumes no obligation to update this information. Additional risks relating to the Company may be found in the Company's periodic and current reports filed with the Commission.
CONTACT:
Apex Silver Mines Corporation
Jerry W. Danni
(303) 839-5060
Sr. Vice President Corporate Affairs
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act, including statements regarding the Company's reorganization under Chapter 11 of the Bankruptcy Code and certain of the anticipated terms of the plan of reorganization. These statements are subject to risks and uncertainties, including the ability of the Company to continue business operations during the Chapter 11 proceeding; whether the Company's anticipated financial resources during the proceedings will be sufficient to fund its operations; the ability of the Company to obtain court approval of various motions it expects to file as part of the Chapter 11 proceeding; the ability of the Company to consummate a plan of reorganization as currently planned; risks associated with third party motions in the Chapter 11 proceeding, which may interfere with the Company's ability to develop and consummate a plan of reorganization; the potential adverse effects of the Chapter 11 proceeding on the Company's liquidity, results of operations or business, including its vendor terms and its ability to motivate and retain key executives and other necessary personnel while seeking to implement its plan of reorganization. The Company assumes no obligation to update this information. Additional risks relating to the Company may be found in the Company's periodic and current reports filed with the Commission.
CONTACT:
Apex Silver Mines Corporation
Jerry W. Danni
(303) 839-5060
Sr. Vice President Corporate Affairs
Saturday, January 10, 2009
Pan American Silver Announces First Silver Poured at Manantial Espejo
VANCOUVER, BRITISH COLUMBIA - (All amounts in U.S. dollars unless otherwise indicated)
Pan American Silver Corp. (TSX: PAA)(NASDAQ: PAAS) is pleased to announce that its new Manantial Espejo silver and gold mine in Argentina began pouring dore on December 29, 2008.
Construction at Manantial Espejo, the Company's eighth silver mine is substantially complete and the mill start-up activities, which began in late November, are in full swing, including achievement of the first production of silver and gold dore. Open pit and underground mining continue and previously stockpiled ore is currently being fed into the processing circuit.
As of December 31, 2008, approximately 10,000 ounces of silver and 230 ounces of gold had been poured. Another 65,000 ounces of silver and 1,200 ounces of gold remained in precipitate and will be poured into dore and shipped by mid-January. The initial commissioning and ramp-up of the plant is progressing well and management expects to reach design capacity of 2,000 tonnes per day by the end of the first quarter of 2009. At feasibility study levels, Manantial Espejo is expected to produce an average of 4 million ounces of silver and 60,000 ounces of gold annually and should be the Company's lowest cost mine.
Mining Operations and Development Projects Update
Pan American achieved a new annual silver production record of 18.7 million ounces in 2008. This represents silver production growth of 9% as compared to 2007 and is within 1% of the Company's 2008 forecast. Cash costs for the year are estimated to be in the range of $5.75 to $6.10 per ounce of silver produced, net of by-product credits. During the fourth quarter of 2008, the Company produced approximately 4.6 million ounces of silver at an estimated cash cost in the range of $7.75 to $8.25 per ounce, net of by-product credits. Cash costs in the fourth quarter were adversely affected by significantly reduced by-product metal prices; costs escalation, particularly in connection with energy and labour; and severance and related employee redundancy costs. Pan American expects the trend in rising cash costs to begin to reverse commencing late in the first quarter of 2009 in response to actions the Company initiated in November of last year with respect to its mine operating plans and reduction in employment levels.
The Company's San Vicente expansion project in Bolivia is also nearing mechanical completion with the commissioning team in place. Efforts are now focused on finishing the installation of the SAG and ball mills, the electrical and instrumentation, and the main water supply pumping system. The tailings dam, the crushing plant, the flotation circuits, and the thickening and filtration circuits are essentially complete. Expansion of the underground mine is also progressing on schedule with the development of the new mechanized zone in the Litoral vein well advanced. Management expects commissioning activities to begin in late January 2009 with the first ore expected to be fed to the plant in February 2009. At feasibility study levels, San Vicente is expected to contribute an average of 2.9 million ounces of silver annually.
After a detailed review of all its mines, the Company has decided to initiate the process necessary to suspend operations at its Quiruvilca mine in Peru during 2009. Quiruvilca has been in operation for over 80 years and more recently has become increasingly reliant on base metal production, particularly zinc. Declining base metal prices have rendered current reserves uneconomic.
Quiruvilca contributed less than 8% to the Company's total silver production in 2008 and was expected to contribute even less, on a percentage basis, in 2009. The Company intends to significantly reduce underground development, maximize existing developed ore and prioritize the most cost efficient areas of the mine while methodically preparing the mine for a period of care and maintenance. These activities could take approximately 6 to 8 months to complete. As a result of this decision, the Company expects to write-down the remaining carrying value of the mine of approximately $ 12.4 million in the fourth quarter of 2008.
Financial Update
Pan American anticipates that its fourth quarter and 2008 year end financial results, which will be released in mid-February, will be negatively impacted by several atypical charges which will likely include: 1) an estimated $12.4 million charge for the write-down of Quiruvilca's carrying value, 2) negative provisional pricing adjustments of approximately $8.8 million for concentrate shipments made in the third quarter but where final pricing had not yet been settled, 3) a foreign currency loss of approximately $8.6 million, primarily due to holding Canadian dollar cash balances while the US dollar strengthened, 4) a mark to market and realized loss of $12.1 million on the Company's foreign exchange forward positions for Peruvian Soles and Mexican Pesos which are used to pay local in-country operating expenses, partially offset by a mark to market and realized gain of $6.4 million on the Company's zinc and lead forward sales positions, and 5) an estimated $1.1 million charge for employee reduction programs. It should be noted that all of the above charges are current estimates and are subject to further adjustments during the upcoming 2008 year end accounting close, which will include the usual assessment of the carrying values of all the Company's assets.
After absorbing these anticipated expenses, the Company's balance sheet remains solid. Pan American expects to end 2008 with cash and short-term investments of approximately $34 million, working capital in excess of $115 million, no debt, an un-drawn $70 million credit facility for strategic corporate development opportunities, and nearly all of its capital expenditures at Manantial Espejo and San Vicente completed.
2009 Forecast
In 2009, Pan American is forecasting silver production of 21.5 million ounces (excluding silver production from residual mining at Quiruvilca), an increase of 15% as compared to 2008. With the inclusion of Manantial Espejo, the Company also expects to more than double its gold production to 85,000 ounces in 2009. Cash costs for 2009 are forecast in the range of $6.00 to $6.50 per ounce for the full year, with higher costs expected in the first two quarters, before the lower cost Manantial Espejo mine ramps up to full capacity. To calculate by-product credits which are included in the 2009 estimated cash costs, the Company has used forecasted average zinc and gold prices of $1,150 per tonne and $725 per ounce respectively.
At the current silver price of approximately $11.00 per ounce, the Company expects to generate significant positive net cash flows in 2009, after covering all planned capital expenditures, exploration programs, administrative charges and taxes.
Commenting on today's announcement, Geoff Burns, President & CEO said, "The development of Manantial Espejo has been one of our critical growth projects and after two years of extraordinary effort, it is extremely rewarding to now be pouring silver and gold at our newest and what we expect to be our lowest cost mine." Mr. Burns added, "The second half of 2008 was a very challenging period for the mining industry and for Pan American. We had to make some tough decisions with respect to our assets and our people and the fourth quarter financial results will reflect the implementation of those decisions. However, we achieved a new record for silver production in 2008, our balance sheet remains solid, and we are forecasting an additional 15% production growth in 2009 fueled by the start up of Manantial Espejo. By the end of the 1st quarter of this year we will have completed the task of optimizing our operating plans to generate significant net cash flows at today's prices. We have and will continue to take the necessary steps to remain resilient, and I am very confident that Pan American enters 2009 as a much stronger company, well positioned to reap the rewards of improving silver and gold prices."
About Pan American Silver
Pan American Silver's mission is to be the world's largest and lowest cost primary silver mining company by increasing its low cost silver production and silver reserves. The Company has eight operating mines in Mexico, Peru, Bolivia, and Argentina.
Technical information contained in this news release has been reviewed by Michael Steinmann, P.Geo., Executive Vice President Geology & Exploration, and Martin Wafforn, P.Eng., VP Technical Services, who are the Company's Qualified Persons for the purposes of NI 43-101.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS AND INFORMATION
THIS NEWS RELEASE CONTAINS "FORWARD-LOOKING STATEMENTS" WITHIN THE MEANING OF THE UNITED STATES PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 AND "FORWARD-LOOKING INFORMATION" WITHIN THE MEANING OF APPLICABLE CANADIAN SECURITIES LEGISLATION. STATEMENTS CONTAINING FORWARD-LOOKING INFORMATION EXPRESS, AS AT THE DATE OF THIS NEWS RELEASE, THE COMPANY'S PLANS, ESTIMATES, FORECASTS, PROJECTIONS, EXPECTATIONS, OR BELIEFS AS TO FUTURE EVENTS OR RESULTS AND THE COMPANY DOES NOT INTEND, AND DOES NOT ASSUME ANY OBLIGATION TO, UPDATE SUCH STATEMENTS CONTAINING THE FORWARD-LOOKING INFORMATION. GENERALLY, FORWARD-LOOKING INFORMATION CAN BE IDENTIFIED BY THE USE OF FORWARD-LOOKING TERMINOLOGY SUCH AS "PLANS", "PROJECTS" OR "PROJECTED", "EXPECTS" OR "DOES NOT EXPECT", "IS EXPECTED", "ESTIMATES", "FORECASTS", "SCHEDULED", "INTENDS", "ANTICIPATES" OR "DOES NOT ANTICIPATE", OR "BELIEVES", OR VARIATIONS OF SUCH WORDS AND PHRASES, OR STATEMENTS THAT CERTAIN ACTIONS, EVENTS OR RESULTS "MAY", "CAN", "COULD", "WOULD", "MIGHT" OR "WILL BE TAKEN", "OCCUR" OR "BE ACHIEVED". SUCH FORWARD-LOOKING STATEMENTS AND INFORMATION INCLUDE, BUT ARE NOT LIMITED TO STATEMENTS AS TO: THE POURING OF DORE AT MANANTIAL ESPEJO FROM SILVER AND GOLD IN PRECIPITATE; THE ESTIMATED DATE FOR COMPLETION OF THE COMMISSIONING AND RAMP-UP OF THE PROCESSING CIRCUIT AT MANANTIAL ESPEJO TO DESIGN CAPACITY; ESTIMATED ANNUAL SILVER AND GOLD PRODUCTION AND CASH COSTS AT MANANTIAL ESPEJO; PAN AMERICAN'S ESTIMATED ANNUAL AND FOURTH QUARTER CASH COSTS FOR 2008; THE ESTIMATED DATE TO BEGIN COMMISSIONING ACTIVITIES AT SAN VICENTE; ESTIMATED ANNUAL PRODUCTION AT SAN VICENTE; THE ESTIMATED TIME NECESSARY TO PREPARE QUIRUVILCA FOR A PERIOD OF CARE AND MAINTENANCE; THE ESTIMATED WRITE DOWN OF QUIRUVILCA'S CARRYING VALUE AND OTHER EXTRAORDINARY 2008 FOURTH QUARTER CHARGES; PAN AMERICAN'S ESTIMATED CASH, SHORT TERM INVESTMENTS, WORKING.CAPITAL, DEBT AND REMAINING CAPITAL EXPENDITURES AT MANANTIAL ESPEJO AND SAN VICENTE AS AT THE END OF 2008; PAN AMERICAN'S 2009 FORECAST ANNUAL SILVER AND GOLD PRODUCTION, CASH COSTS AND POSITIVE NET CASH FLOW: AND FORECAST AVERAGE ZINC AND GOLD PRICES FOR 2009. THE COMPANY DOES NOT INTEND, AND DOES NOT ASSUME ANY OBLIGATION TO, UPDATE SUCH FORWARD-LOOKING STATEMENTS OR INFORMATION, OTHER THAN AS REQUIRED BY APPLICABLE LAW.
FORWARD-LOOKING STATEMENTS OR INFORMATION INVOLVE KNOWN AND UNKNOWN RISKS, UNCERTAINTIES AND OTHER FACTORS THAT MAY CAUSE THE ACTUAL RESULTS, LEVEL OF ACTIVITY, PERFORMANCE OR ACHIEVEMENTS OF PAN AMERICAN AND ITS OPERATIONS TO BE MATERIALLY DIFFERENT FROM THOSE EXPRESSED OR IMPLIED BY SUCH STATEMENTS. SUCH FACTORS INCLUDE, AMONG OTHERS: FLUCTUATIONS IN THE SPOT AND FORWARD PRICE OF SILVER, GOLD, BASE METALS OR CERTAIN OTHER COMMODITIES (SUCH AS NATURAL GAS, FUEL OIL AND ELECTRICITY); FLUCTUATIONS IN THE CURRENCY MARKETS (SUCH AS THE PERUVIAN SOLE AND MEXICAN PESO VERSUS THE U.S. DOLLAR); CHANGES IN NATIONAL AND LOCAL GOVERNMENT, LEGISLATION, TAXATION, CONTROLS, REGULATIONS AND POLITICAL OR ECONOMIC DEVELOPMENTS IN CANADA, PERU, MEXICO, ARGENTINA, BOLIVIA, THE UNITED STATES OR OTHER COUNTRIES IN WHICH THE COMPANY MAY CARRY ON BUSINESS IN THE FUTURE; OPERATING OR TECHNICAL DIFFICULTIES IN CONNECTION WITH MINING OR DEVELOPMENT ACTIVITIES; RISKS AND HAZARDS ASSOCIATED WITH THE BUSINESS OF MINERAL EXPLORATION, DEVELOPMENT AND MINING (INCLUDING ENVIRONMENTAL HAZARDS, INDUSTRIAL ACCIDENTS, UNUSUAL OR UNEXPECTED FORMATIONS, PRESSURES, CAVE-INS AND FLOODING); INADEQUATE INSURANCE, OR INABILITY TO OBTAIN INSURANCE, TO COVER THESE RISKS AND HAZARDS; EMPLOYEE RELATIONS; AVAILABILITY AND INCREASING COSTS ASSOCIATED WITH MINING INPUTS AND LABOR; THE SPECULATIVE NATURE OF MINERAL EXPLORATION AND DEVELOPMENT, INCLUDING THE RISKS OF OBTAINING NECESSARY LICENSES AND PERMITS; DIMINISHING QUANTITIES OR GRADES OF MINERAL RESERVES AS PROPERTIES ARE MINED; BUSINESS OPPORTUNITIES THAT MAY BE PRESENTED TO, OR PURSUED BY, THE COMPANY; THE COMPANY'S ABILITY TO SUCCESSFULLY INTEGRATE ACQUISITIONS; AND CHALLENGES TO THE COMPANY'S TITLE TO PROPERTIES; AS WELL AS THOSE FACTORS DESCRIBED IN THE SECTION "RISK RELATED TO PAN AMERICAN'S BUSINESS" CONTAINED IN THE COMPANY'S MOST RECENT FORM 40F/ANNUAL INFORMATION FORM FILED WITH THE SEC AND CANADIAN PROVINCIAL SECURITIES REGULATORY AUTHORITIES. ALTHOUGH THE COMPANY HAS ATTEMPTED TO IDENTIFY IMPORTANT FACTORS THAT COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY FROM THOSE CONTAINED IN FORWARD-LOOKING STATEMENTS OR INFORMATION, THERE MAY BE OTHER FACTORS THAT CAUSE RESULTS TO BE MATERIALLY DIFFERENT FROM THOSE ANTICIPATED, DESCRIBED, ESTIMATED, ASSESSED OR INTENDED. THERE CAN BE NO ASSURANCE THAT ANY FORWARD-LOOKING STATEMENTS OR INFORMATION WILL PROVE TO BE ACCURATE AS ACTUAL RESULTS AND FUTURE EVENTS COULD DIFFER MATERIALLY FROM THOSE ANTICIPATED IN SUCH STATEMENTS OR INFORMATION. ACCORDINGLY, READERS SHOULD NOT PLACE UNDUE RELIANCE ON FORWARD-LOOKING STATEMENTS OR INFORMATION.
Contacts:
Pan American Silver Corp.
Kettina Cordero
Coordinator, Investor Relations
(604) 684-1175
(604) 684-0147 (FAX)
Email: info@panamericansilver.com
Website: www.panamericansilver.com
© MarketWire 2009
Pan American Silver Corp. (TSX: PAA)(NASDAQ: PAAS) is pleased to announce that its new Manantial Espejo silver and gold mine in Argentina began pouring dore on December 29, 2008.
Construction at Manantial Espejo, the Company's eighth silver mine is substantially complete and the mill start-up activities, which began in late November, are in full swing, including achievement of the first production of silver and gold dore. Open pit and underground mining continue and previously stockpiled ore is currently being fed into the processing circuit.
As of December 31, 2008, approximately 10,000 ounces of silver and 230 ounces of gold had been poured. Another 65,000 ounces of silver and 1,200 ounces of gold remained in precipitate and will be poured into dore and shipped by mid-January. The initial commissioning and ramp-up of the plant is progressing well and management expects to reach design capacity of 2,000 tonnes per day by the end of the first quarter of 2009. At feasibility study levels, Manantial Espejo is expected to produce an average of 4 million ounces of silver and 60,000 ounces of gold annually and should be the Company's lowest cost mine.
Mining Operations and Development Projects Update
Pan American achieved a new annual silver production record of 18.7 million ounces in 2008. This represents silver production growth of 9% as compared to 2007 and is within 1% of the Company's 2008 forecast. Cash costs for the year are estimated to be in the range of $5.75 to $6.10 per ounce of silver produced, net of by-product credits. During the fourth quarter of 2008, the Company produced approximately 4.6 million ounces of silver at an estimated cash cost in the range of $7.75 to $8.25 per ounce, net of by-product credits. Cash costs in the fourth quarter were adversely affected by significantly reduced by-product metal prices; costs escalation, particularly in connection with energy and labour; and severance and related employee redundancy costs. Pan American expects the trend in rising cash costs to begin to reverse commencing late in the first quarter of 2009 in response to actions the Company initiated in November of last year with respect to its mine operating plans and reduction in employment levels.
The Company's San Vicente expansion project in Bolivia is also nearing mechanical completion with the commissioning team in place. Efforts are now focused on finishing the installation of the SAG and ball mills, the electrical and instrumentation, and the main water supply pumping system. The tailings dam, the crushing plant, the flotation circuits, and the thickening and filtration circuits are essentially complete. Expansion of the underground mine is also progressing on schedule with the development of the new mechanized zone in the Litoral vein well advanced. Management expects commissioning activities to begin in late January 2009 with the first ore expected to be fed to the plant in February 2009. At feasibility study levels, San Vicente is expected to contribute an average of 2.9 million ounces of silver annually.
After a detailed review of all its mines, the Company has decided to initiate the process necessary to suspend operations at its Quiruvilca mine in Peru during 2009. Quiruvilca has been in operation for over 80 years and more recently has become increasingly reliant on base metal production, particularly zinc. Declining base metal prices have rendered current reserves uneconomic.
Quiruvilca contributed less than 8% to the Company's total silver production in 2008 and was expected to contribute even less, on a percentage basis, in 2009. The Company intends to significantly reduce underground development, maximize existing developed ore and prioritize the most cost efficient areas of the mine while methodically preparing the mine for a period of care and maintenance. These activities could take approximately 6 to 8 months to complete. As a result of this decision, the Company expects to write-down the remaining carrying value of the mine of approximately $ 12.4 million in the fourth quarter of 2008.
Financial Update
Pan American anticipates that its fourth quarter and 2008 year end financial results, which will be released in mid-February, will be negatively impacted by several atypical charges which will likely include: 1) an estimated $12.4 million charge for the write-down of Quiruvilca's carrying value, 2) negative provisional pricing adjustments of approximately $8.8 million for concentrate shipments made in the third quarter but where final pricing had not yet been settled, 3) a foreign currency loss of approximately $8.6 million, primarily due to holding Canadian dollar cash balances while the US dollar strengthened, 4) a mark to market and realized loss of $12.1 million on the Company's foreign exchange forward positions for Peruvian Soles and Mexican Pesos which are used to pay local in-country operating expenses, partially offset by a mark to market and realized gain of $6.4 million on the Company's zinc and lead forward sales positions, and 5) an estimated $1.1 million charge for employee reduction programs. It should be noted that all of the above charges are current estimates and are subject to further adjustments during the upcoming 2008 year end accounting close, which will include the usual assessment of the carrying values of all the Company's assets.
After absorbing these anticipated expenses, the Company's balance sheet remains solid. Pan American expects to end 2008 with cash and short-term investments of approximately $34 million, working capital in excess of $115 million, no debt, an un-drawn $70 million credit facility for strategic corporate development opportunities, and nearly all of its capital expenditures at Manantial Espejo and San Vicente completed.
2009 Forecast
In 2009, Pan American is forecasting silver production of 21.5 million ounces (excluding silver production from residual mining at Quiruvilca), an increase of 15% as compared to 2008. With the inclusion of Manantial Espejo, the Company also expects to more than double its gold production to 85,000 ounces in 2009. Cash costs for 2009 are forecast in the range of $6.00 to $6.50 per ounce for the full year, with higher costs expected in the first two quarters, before the lower cost Manantial Espejo mine ramps up to full capacity. To calculate by-product credits which are included in the 2009 estimated cash costs, the Company has used forecasted average zinc and gold prices of $1,150 per tonne and $725 per ounce respectively.
At the current silver price of approximately $11.00 per ounce, the Company expects to generate significant positive net cash flows in 2009, after covering all planned capital expenditures, exploration programs, administrative charges and taxes.
Commenting on today's announcement, Geoff Burns, President & CEO said, "The development of Manantial Espejo has been one of our critical growth projects and after two years of extraordinary effort, it is extremely rewarding to now be pouring silver and gold at our newest and what we expect to be our lowest cost mine." Mr. Burns added, "The second half of 2008 was a very challenging period for the mining industry and for Pan American. We had to make some tough decisions with respect to our assets and our people and the fourth quarter financial results will reflect the implementation of those decisions. However, we achieved a new record for silver production in 2008, our balance sheet remains solid, and we are forecasting an additional 15% production growth in 2009 fueled by the start up of Manantial Espejo. By the end of the 1st quarter of this year we will have completed the task of optimizing our operating plans to generate significant net cash flows at today's prices. We have and will continue to take the necessary steps to remain resilient, and I am very confident that Pan American enters 2009 as a much stronger company, well positioned to reap the rewards of improving silver and gold prices."
About Pan American Silver
Pan American Silver's mission is to be the world's largest and lowest cost primary silver mining company by increasing its low cost silver production and silver reserves. The Company has eight operating mines in Mexico, Peru, Bolivia, and Argentina.
Technical information contained in this news release has been reviewed by Michael Steinmann, P.Geo., Executive Vice President Geology & Exploration, and Martin Wafforn, P.Eng., VP Technical Services, who are the Company's Qualified Persons for the purposes of NI 43-101.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS AND INFORMATION
THIS NEWS RELEASE CONTAINS "FORWARD-LOOKING STATEMENTS" WITHIN THE MEANING OF THE UNITED STATES PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 AND "FORWARD-LOOKING INFORMATION" WITHIN THE MEANING OF APPLICABLE CANADIAN SECURITIES LEGISLATION. STATEMENTS CONTAINING FORWARD-LOOKING INFORMATION EXPRESS, AS AT THE DATE OF THIS NEWS RELEASE, THE COMPANY'S PLANS, ESTIMATES, FORECASTS, PROJECTIONS, EXPECTATIONS, OR BELIEFS AS TO FUTURE EVENTS OR RESULTS AND THE COMPANY DOES NOT INTEND, AND DOES NOT ASSUME ANY OBLIGATION TO, UPDATE SUCH STATEMENTS CONTAINING THE FORWARD-LOOKING INFORMATION. GENERALLY, FORWARD-LOOKING INFORMATION CAN BE IDENTIFIED BY THE USE OF FORWARD-LOOKING TERMINOLOGY SUCH AS "PLANS", "PROJECTS" OR "PROJECTED", "EXPECTS" OR "DOES NOT EXPECT", "IS EXPECTED", "ESTIMATES", "FORECASTS", "SCHEDULED", "INTENDS", "ANTICIPATES" OR "DOES NOT ANTICIPATE", OR "BELIEVES", OR VARIATIONS OF SUCH WORDS AND PHRASES, OR STATEMENTS THAT CERTAIN ACTIONS, EVENTS OR RESULTS "MAY", "CAN", "COULD", "WOULD", "MIGHT" OR "WILL BE TAKEN", "OCCUR" OR "BE ACHIEVED". SUCH FORWARD-LOOKING STATEMENTS AND INFORMATION INCLUDE, BUT ARE NOT LIMITED TO STATEMENTS AS TO: THE POURING OF DORE AT MANANTIAL ESPEJO FROM SILVER AND GOLD IN PRECIPITATE; THE ESTIMATED DATE FOR COMPLETION OF THE COMMISSIONING AND RAMP-UP OF THE PROCESSING CIRCUIT AT MANANTIAL ESPEJO TO DESIGN CAPACITY; ESTIMATED ANNUAL SILVER AND GOLD PRODUCTION AND CASH COSTS AT MANANTIAL ESPEJO; PAN AMERICAN'S ESTIMATED ANNUAL AND FOURTH QUARTER CASH COSTS FOR 2008; THE ESTIMATED DATE TO BEGIN COMMISSIONING ACTIVITIES AT SAN VICENTE; ESTIMATED ANNUAL PRODUCTION AT SAN VICENTE; THE ESTIMATED TIME NECESSARY TO PREPARE QUIRUVILCA FOR A PERIOD OF CARE AND MAINTENANCE; THE ESTIMATED WRITE DOWN OF QUIRUVILCA'S CARRYING VALUE AND OTHER EXTRAORDINARY 2008 FOURTH QUARTER CHARGES; PAN AMERICAN'S ESTIMATED CASH, SHORT TERM INVESTMENTS, WORKING.CAPITAL, DEBT AND REMAINING CAPITAL EXPENDITURES AT MANANTIAL ESPEJO AND SAN VICENTE AS AT THE END OF 2008; PAN AMERICAN'S 2009 FORECAST ANNUAL SILVER AND GOLD PRODUCTION, CASH COSTS AND POSITIVE NET CASH FLOW: AND FORECAST AVERAGE ZINC AND GOLD PRICES FOR 2009. THE COMPANY DOES NOT INTEND, AND DOES NOT ASSUME ANY OBLIGATION TO, UPDATE SUCH FORWARD-LOOKING STATEMENTS OR INFORMATION, OTHER THAN AS REQUIRED BY APPLICABLE LAW.
FORWARD-LOOKING STATEMENTS OR INFORMATION INVOLVE KNOWN AND UNKNOWN RISKS, UNCERTAINTIES AND OTHER FACTORS THAT MAY CAUSE THE ACTUAL RESULTS, LEVEL OF ACTIVITY, PERFORMANCE OR ACHIEVEMENTS OF PAN AMERICAN AND ITS OPERATIONS TO BE MATERIALLY DIFFERENT FROM THOSE EXPRESSED OR IMPLIED BY SUCH STATEMENTS. SUCH FACTORS INCLUDE, AMONG OTHERS: FLUCTUATIONS IN THE SPOT AND FORWARD PRICE OF SILVER, GOLD, BASE METALS OR CERTAIN OTHER COMMODITIES (SUCH AS NATURAL GAS, FUEL OIL AND ELECTRICITY); FLUCTUATIONS IN THE CURRENCY MARKETS (SUCH AS THE PERUVIAN SOLE AND MEXICAN PESO VERSUS THE U.S. DOLLAR); CHANGES IN NATIONAL AND LOCAL GOVERNMENT, LEGISLATION, TAXATION, CONTROLS, REGULATIONS AND POLITICAL OR ECONOMIC DEVELOPMENTS IN CANADA, PERU, MEXICO, ARGENTINA, BOLIVIA, THE UNITED STATES OR OTHER COUNTRIES IN WHICH THE COMPANY MAY CARRY ON BUSINESS IN THE FUTURE; OPERATING OR TECHNICAL DIFFICULTIES IN CONNECTION WITH MINING OR DEVELOPMENT ACTIVITIES; RISKS AND HAZARDS ASSOCIATED WITH THE BUSINESS OF MINERAL EXPLORATION, DEVELOPMENT AND MINING (INCLUDING ENVIRONMENTAL HAZARDS, INDUSTRIAL ACCIDENTS, UNUSUAL OR UNEXPECTED FORMATIONS, PRESSURES, CAVE-INS AND FLOODING); INADEQUATE INSURANCE, OR INABILITY TO OBTAIN INSURANCE, TO COVER THESE RISKS AND HAZARDS; EMPLOYEE RELATIONS; AVAILABILITY AND INCREASING COSTS ASSOCIATED WITH MINING INPUTS AND LABOR; THE SPECULATIVE NATURE OF MINERAL EXPLORATION AND DEVELOPMENT, INCLUDING THE RISKS OF OBTAINING NECESSARY LICENSES AND PERMITS; DIMINISHING QUANTITIES OR GRADES OF MINERAL RESERVES AS PROPERTIES ARE MINED; BUSINESS OPPORTUNITIES THAT MAY BE PRESENTED TO, OR PURSUED BY, THE COMPANY; THE COMPANY'S ABILITY TO SUCCESSFULLY INTEGRATE ACQUISITIONS; AND CHALLENGES TO THE COMPANY'S TITLE TO PROPERTIES; AS WELL AS THOSE FACTORS DESCRIBED IN THE SECTION "RISK RELATED TO PAN AMERICAN'S BUSINESS" CONTAINED IN THE COMPANY'S MOST RECENT FORM 40F/ANNUAL INFORMATION FORM FILED WITH THE SEC AND CANADIAN PROVINCIAL SECURITIES REGULATORY AUTHORITIES. ALTHOUGH THE COMPANY HAS ATTEMPTED TO IDENTIFY IMPORTANT FACTORS THAT COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY FROM THOSE CONTAINED IN FORWARD-LOOKING STATEMENTS OR INFORMATION, THERE MAY BE OTHER FACTORS THAT CAUSE RESULTS TO BE MATERIALLY DIFFERENT FROM THOSE ANTICIPATED, DESCRIBED, ESTIMATED, ASSESSED OR INTENDED. THERE CAN BE NO ASSURANCE THAT ANY FORWARD-LOOKING STATEMENTS OR INFORMATION WILL PROVE TO BE ACCURATE AS ACTUAL RESULTS AND FUTURE EVENTS COULD DIFFER MATERIALLY FROM THOSE ANTICIPATED IN SUCH STATEMENTS OR INFORMATION. ACCORDINGLY, READERS SHOULD NOT PLACE UNDUE RELIANCE ON FORWARD-LOOKING STATEMENTS OR INFORMATION.
Contacts:
Pan American Silver Corp.
Kettina Cordero
Coordinator, Investor Relations
(604) 684-1175
(604) 684-0147 (FAX)
Email: info@panamericansilver.com
Website: www.panamericansilver.com
© MarketWire 2009
Wednesday, January 7, 2009
SNS Silver Provides 2008 Summary Report and Proposes New Board Members
VANCOUVER, BRITISH COLUMBIA - SNS Silver Corporation ("SNS" or the "Company") (TSX VENTURE: SNS) provides a summary of the developments at the Crescent Mine during the 2008 year and is proposing a new slate of directors at the annual general meeting.
2008 Summary
Significant progress was made on the Crescent Mine in 2008 with exploration drilling, infrastructure development and modification.
Exploration drilling
Surface exploration was completed in 2008 with an additional 27,026 feet of drilling on the South Vein and Upper Alhambra structures for a total of 68,100 feet. Underground drilling within the Crescent Mine began in late Dec. 2007 and continued thru Dec. 10th of 2008. A total of 43,240 feet of underground exploration drilling was completed on the Hooper level (main haulage level) with drill stations positioned 1,000 feet apart ranging from East to West. The grand total of drilling on the Crescent property by SNS is 111,347 feet. Drill data is currently being logged and interpreted by SNS geologists and a resource estimate by SRK will be available in early 2009.
Development
Development drifting at the Crescent Mine began in January 2008, directly after the completion of the 2007 Hooper level rehabilitation project. Drifting was done along the Alhambra Vein structure to the West for approximately 1,000 feet. This drift was to provide an additional drill platform for South Vein exploration as well as to evaluate the Alhambra structure. At approximately 900 feet west of the Hooper Raise, a drift was driven 250 feet to the South to provide a drill platform for the Alhambra structure that shows several areas of potential mine grade mineralization. A second drift was driven to the South at the 3,500 foot area of the Hooper level. This drift was completed in August 2008 to provide a drill platform for the upper extension of the East Footwall Vein and was the final piece of excavation needed to complete the 2008 drill program.
The Rehabilitation project on the Big Creek #4 / Alhambra level continued through August 2008 with considerable progress made toward the West side of the property. Over 2,000 feet of 1920's era drift was modified and rehabilitated. This rehabilitation work continued westward beyond the Hooper Raise and towards the historical Taylor Stope. New haulage rail and utilities were installed to provide equipment access to the Alhambra level for exploration and new mine development. Rehabilitation work was put on hold in late August while an evaluation of the property is being conducted. The objective of the Big Creek #4 / Alhambra rehabilitation is to provide an excellent drill platform for further South Vein exploration to the west of the property. This will also provide a secondary escape way and ventilation improvements throughout the upper Crescent. Should rehabilitation continue through to the Alhambra portal, access and ventilation options would be significantly increased for South Vein development.
The Crescent Mine haulage capabilities and efficiency were greatly increased with the purchase of 13 Granby style cars and the installation of two new automated dump stations for the ore cars. The ore car capacities were increased by 30% and the dump time decreased by 80% from the old style side dump cars used in the past. A new Atlas Copco GA200 mine compressor was purchased in the second quarter of 2008 and has worked flawlessly since installation which is saving us thousands of dollars in fuel and maintenance.
In late spring of 2008 a decision was made to install a new Hooper level intake fan and ventilation doors to increase and control the ventilation within the Crescent Mine. Ventilation is now being forced into the Hooper Tunnel and up through the Hooper Raise and out the Big Creek #4 Adit. This provides a positive pressure and flow in one direction to prevent any interior circulation of exhausts, smoke and other gases. The excavation was done by SNS employees and the ventilation doors and fan were installed by KCM Contract Mining. The 50hp main ventilation fan is powered by an ultra-efficient Variable Frequency Drive controller which allows us to adjust fan speed from 0 rpm - 4,300 rpm in seconds. This adjustability is state of the art and allows us to control our ventilation for optimum efficiency.
New rail equipment was purchased including a 12B track mucker and 2 Mancha 1.5 ton electric motors. One Mancha is to be used for hauling supplies on the Hooper level while the other Mancha and 12B are to be used on the Alhambra level. The purchase of a 1993 Flatbed Ford gives us the ability to haul supplies to and from the Big Creek #4 as well.
Water lines were installed this summer to the Core Building and the Geology building as well as both shops on the South side of the property. Gas heating was installed in all the shops on the property as well.
2009 Outlook
Management recognizes that current market conditions are extremely challenging for junior exploration and resource companies. As a result, management is committed to significantly reducing overhead costs and mine development and drilling expenditures in fiscal 2009, anticipating improved metal prices and more favourable equity markets by the end of calendar 2009. Once the Company has completed the anticipated National Instrument 43-101 report for the Crescent, expected in early calendar 2009 from SRK Consulting, management will assess the results and evaluate the Crescent's potential for development. In addition, the Company continues to evaluate and pursue other strategic mineral opportunities through mergers, acquisitions or joint ventures.
Management is putting forward a new slate of directors to the Board. The new Board proposed will consist of: David Greenway, John Ryan, Del Steiner, and Ralph Kettell. Management believes each of the new Board members brings diverse financial and operating experience, and industry contacts to the Company, which will allow the Company to aggressively pursue opportunities in this challenging market.
Details of the new Board members
John P. Ryan has extensive experience with development-stage companies, most recently as the Chairman of U.S. Silver Corporation since April 2006, also serving as Chief Financial Officer of U.S. Silver Corporation until May 1, 2007. Mr. Ryan served as Secretary and Chief Financial Officer of High Plains Uranium, Inc. (a uranium exploration and production company)("High Plains") from incorporation until September 2006. During the period of 1996 until 2006, he held various positions with Cadence Resources Corporation, a U.S. public natural resources company, including Vice President of Corporate Development (1996-2005), Secretary (1998-2006) and a director (1997-2005). Other companies with which Mr. Ryan holds an officer and/or director position include Bio-Quant, Inc., Nevada-Comstock Mining Company, Great Wall Gold Corporation, Sundance Diamonds Corporation, TN Oil Co. and Dotson Exploration Company. Mr. Ryan attended the University of Idaho where he received a B.S. degree in Mining Engineering, and he also received a Juris Doctor from Boston College. Mr. Ryan is a former U.S. Naval Officer.
Del Steiner began his career in the junior exploration and mining sector in 1980 as an attorney and consultant. He specializes in operations, property contract and negotiation, and environmental mining law and permitting. Currently Mr. Steiner is the President, CEO and Director of Premium Exploration, a TSX-V listed company. He has a B.A. from Lewis Clark State College, Idaho 1968, and a J.D., at the University of Idaho 1974.
Ralph W. Kettell is the founder of Concentric Energy Corp., a privately held uranium company, the principal asset being the Anderson uranium property in Arizona. He is also a Founding Partner of Nevada Sunrise, LLC, a private gold exploration company that controls 20 gold, silver and copper properties, primarily in Nevada, most of which host known mineral resources. Finally, he is a Founder of AuEx, Inc., a Nevada gold and silver exploration company, and a Founder of North Range Resources Ltd., a mineral exploration company with a number of gold and base metals properties in Newfoundland. Mr. Kettell was formerly the Marketing Director of 321gold.com, a leading precious metals website. Mr. Kettell holds a BS degree and also an MS degree in Electrical Engineering from Lehigh University, and is a registered Professional Engineer.
David Greenway, President and CEO, commented, "I have proposed the new board of John Ryan, Del Steiner, and Ralph Kettell as these three individuals bring a wealth of mining and venture development experience though diverse backgrounds. I believe our new Board will be instrumental in guiding the Company through these challenging market conditions, and allow us to capitalize on the significant opportunities that are currently being presented. I'd like to thank our incumbent directors, Mike Kuta and Ishiung Wu for their service, and look forward to their guidance on our advisory board."
SNS Silver Corporation (TSX VENTURE: SNS) is an exploration mining company, whose primary asset is the 100% owned Crescent Mine located in Kellogg, Idaho - one of the largest silver districts in North America with over one billion ounces of silver produced. The property consists of 24 patented mining claims over approximately 350 acres, alongside 40 acres of surface rights. The Company currently has a comprehensive and well-funded drill program underway. Their main focus is on upper country surface drilling and underground drilling on the Alhambra and South Veins, as well as restoration of the Hooper Tunnel, drifting and cross-cutting. Silver Wheaton currently owns approximately 12%. The Company has approximately $3.5 million in cash in addition to the outstanding $2.0 million receivable from Andover Ventures.
Historical resource estimates quoted herein are based on data and reports obtained and prepared by previous operators. The Company has not completed the work necessary to independently verify the classification of the mineral resource estimates and is not treating the mineral resource estimates as National Instrument 43-101 defined resources verified by a qualified person. The historical estimates should not be relied upon. The Crescent Mine will require considerable further evaluation, which the Company's management and consultants are in the process of completing. The TSX Venture Exchange has not reviewed and does not accept the responsibility for the adequacy or accuracy of this news release.
Contacts:
SNS Silver Corp.
David Greenway
President/CEO
(604) 689-0896 or Toll Free: 1-800-663-4567
Email: dg@snssilver.com
Website: www.snssilver.com
© MarketWire 2009
2008 Summary
Significant progress was made on the Crescent Mine in 2008 with exploration drilling, infrastructure development and modification.
Exploration drilling
Surface exploration was completed in 2008 with an additional 27,026 feet of drilling on the South Vein and Upper Alhambra structures for a total of 68,100 feet. Underground drilling within the Crescent Mine began in late Dec. 2007 and continued thru Dec. 10th of 2008. A total of 43,240 feet of underground exploration drilling was completed on the Hooper level (main haulage level) with drill stations positioned 1,000 feet apart ranging from East to West. The grand total of drilling on the Crescent property by SNS is 111,347 feet. Drill data is currently being logged and interpreted by SNS geologists and a resource estimate by SRK will be available in early 2009.
Development
Development drifting at the Crescent Mine began in January 2008, directly after the completion of the 2007 Hooper level rehabilitation project. Drifting was done along the Alhambra Vein structure to the West for approximately 1,000 feet. This drift was to provide an additional drill platform for South Vein exploration as well as to evaluate the Alhambra structure. At approximately 900 feet west of the Hooper Raise, a drift was driven 250 feet to the South to provide a drill platform for the Alhambra structure that shows several areas of potential mine grade mineralization. A second drift was driven to the South at the 3,500 foot area of the Hooper level. This drift was completed in August 2008 to provide a drill platform for the upper extension of the East Footwall Vein and was the final piece of excavation needed to complete the 2008 drill program.
The Rehabilitation project on the Big Creek #4 / Alhambra level continued through August 2008 with considerable progress made toward the West side of the property. Over 2,000 feet of 1920's era drift was modified and rehabilitated. This rehabilitation work continued westward beyond the Hooper Raise and towards the historical Taylor Stope. New haulage rail and utilities were installed to provide equipment access to the Alhambra level for exploration and new mine development. Rehabilitation work was put on hold in late August while an evaluation of the property is being conducted. The objective of the Big Creek #4 / Alhambra rehabilitation is to provide an excellent drill platform for further South Vein exploration to the west of the property. This will also provide a secondary escape way and ventilation improvements throughout the upper Crescent. Should rehabilitation continue through to the Alhambra portal, access and ventilation options would be significantly increased for South Vein development.
The Crescent Mine haulage capabilities and efficiency were greatly increased with the purchase of 13 Granby style cars and the installation of two new automated dump stations for the ore cars. The ore car capacities were increased by 30% and the dump time decreased by 80% from the old style side dump cars used in the past. A new Atlas Copco GA200 mine compressor was purchased in the second quarter of 2008 and has worked flawlessly since installation which is saving us thousands of dollars in fuel and maintenance.
In late spring of 2008 a decision was made to install a new Hooper level intake fan and ventilation doors to increase and control the ventilation within the Crescent Mine. Ventilation is now being forced into the Hooper Tunnel and up through the Hooper Raise and out the Big Creek #4 Adit. This provides a positive pressure and flow in one direction to prevent any interior circulation of exhausts, smoke and other gases. The excavation was done by SNS employees and the ventilation doors and fan were installed by KCM Contract Mining. The 50hp main ventilation fan is powered by an ultra-efficient Variable Frequency Drive controller which allows us to adjust fan speed from 0 rpm - 4,300 rpm in seconds. This adjustability is state of the art and allows us to control our ventilation for optimum efficiency.
New rail equipment was purchased including a 12B track mucker and 2 Mancha 1.5 ton electric motors. One Mancha is to be used for hauling supplies on the Hooper level while the other Mancha and 12B are to be used on the Alhambra level. The purchase of a 1993 Flatbed Ford gives us the ability to haul supplies to and from the Big Creek #4 as well.
Water lines were installed this summer to the Core Building and the Geology building as well as both shops on the South side of the property. Gas heating was installed in all the shops on the property as well.
2009 Outlook
Management recognizes that current market conditions are extremely challenging for junior exploration and resource companies. As a result, management is committed to significantly reducing overhead costs and mine development and drilling expenditures in fiscal 2009, anticipating improved metal prices and more favourable equity markets by the end of calendar 2009. Once the Company has completed the anticipated National Instrument 43-101 report for the Crescent, expected in early calendar 2009 from SRK Consulting, management will assess the results and evaluate the Crescent's potential for development. In addition, the Company continues to evaluate and pursue other strategic mineral opportunities through mergers, acquisitions or joint ventures.
Management is putting forward a new slate of directors to the Board. The new Board proposed will consist of: David Greenway, John Ryan, Del Steiner, and Ralph Kettell. Management believes each of the new Board members brings diverse financial and operating experience, and industry contacts to the Company, which will allow the Company to aggressively pursue opportunities in this challenging market.
Details of the new Board members
John P. Ryan has extensive experience with development-stage companies, most recently as the Chairman of U.S. Silver Corporation since April 2006, also serving as Chief Financial Officer of U.S. Silver Corporation until May 1, 2007. Mr. Ryan served as Secretary and Chief Financial Officer of High Plains Uranium, Inc. (a uranium exploration and production company)("High Plains") from incorporation until September 2006. During the period of 1996 until 2006, he held various positions with Cadence Resources Corporation, a U.S. public natural resources company, including Vice President of Corporate Development (1996-2005), Secretary (1998-2006) and a director (1997-2005). Other companies with which Mr. Ryan holds an officer and/or director position include Bio-Quant, Inc., Nevada-Comstock Mining Company, Great Wall Gold Corporation, Sundance Diamonds Corporation, TN Oil Co. and Dotson Exploration Company. Mr. Ryan attended the University of Idaho where he received a B.S. degree in Mining Engineering, and he also received a Juris Doctor from Boston College. Mr. Ryan is a former U.S. Naval Officer.
Del Steiner began his career in the junior exploration and mining sector in 1980 as an attorney and consultant. He specializes in operations, property contract and negotiation, and environmental mining law and permitting. Currently Mr. Steiner is the President, CEO and Director of Premium Exploration, a TSX-V listed company. He has a B.A. from Lewis Clark State College, Idaho 1968, and a J.D., at the University of Idaho 1974.
Ralph W. Kettell is the founder of Concentric Energy Corp., a privately held uranium company, the principal asset being the Anderson uranium property in Arizona. He is also a Founding Partner of Nevada Sunrise, LLC, a private gold exploration company that controls 20 gold, silver and copper properties, primarily in Nevada, most of which host known mineral resources. Finally, he is a Founder of AuEx, Inc., a Nevada gold and silver exploration company, and a Founder of North Range Resources Ltd., a mineral exploration company with a number of gold and base metals properties in Newfoundland. Mr. Kettell was formerly the Marketing Director of 321gold.com, a leading precious metals website. Mr. Kettell holds a BS degree and also an MS degree in Electrical Engineering from Lehigh University, and is a registered Professional Engineer.
David Greenway, President and CEO, commented, "I have proposed the new board of John Ryan, Del Steiner, and Ralph Kettell as these three individuals bring a wealth of mining and venture development experience though diverse backgrounds. I believe our new Board will be instrumental in guiding the Company through these challenging market conditions, and allow us to capitalize on the significant opportunities that are currently being presented. I'd like to thank our incumbent directors, Mike Kuta and Ishiung Wu for their service, and look forward to their guidance on our advisory board."
SNS Silver Corporation (TSX VENTURE: SNS) is an exploration mining company, whose primary asset is the 100% owned Crescent Mine located in Kellogg, Idaho - one of the largest silver districts in North America with over one billion ounces of silver produced. The property consists of 24 patented mining claims over approximately 350 acres, alongside 40 acres of surface rights. The Company currently has a comprehensive and well-funded drill program underway. Their main focus is on upper country surface drilling and underground drilling on the Alhambra and South Veins, as well as restoration of the Hooper Tunnel, drifting and cross-cutting. Silver Wheaton currently owns approximately 12%. The Company has approximately $3.5 million in cash in addition to the outstanding $2.0 million receivable from Andover Ventures.
Historical resource estimates quoted herein are based on data and reports obtained and prepared by previous operators. The Company has not completed the work necessary to independently verify the classification of the mineral resource estimates and is not treating the mineral resource estimates as National Instrument 43-101 defined resources verified by a qualified person. The historical estimates should not be relied upon. The Crescent Mine will require considerable further evaluation, which the Company's management and consultants are in the process of completing. The TSX Venture Exchange has not reviewed and does not accept the responsibility for the adequacy or accuracy of this news release.
Contacts:
SNS Silver Corp.
David Greenway
President/CEO
(604) 689-0896 or Toll Free: 1-800-663-4567
Email: dg@snssilver.com
Website: www.snssilver.com
© MarketWire 2009
Monday, January 5, 2009
Silver Standard Resources Ready to Resume Production at Pirquitas Argentine Mine
After being abandoned for 20 years, the Pirquitas mine in Argentina is set to be reopened by Silver Standard Resources Inc., according to an Argentine regulatory agency.
The company has spent north of $231 million to get the mine going again.
Along with silver, the mine is expected to produce lead and zinc.
Production will begin sometime in the first months of 2009, said the Mining Secretariat.
The company has spent north of $231 million to get the mine going again.
Along with silver, the mine is expected to produce lead and zinc.
Production will begin sometime in the first months of 2009, said the Mining Secretariat.
Silver Falcon Mining, Inc. (SFMI) Announces 2009 Business Plan
Silver Falcon Mining, Inc. (PINKSHEETS: SFMI) begins working on its 2009 business plan, approved by its Board of Directors.
War Eagle Mountain is a Gold and Silver rich property where Silver Falcon Mining, Inc. has the developmental and operating rights to 17 deep-shaft mines covering the Mountain's primary epithermal Gold- and Silver-producing veins. At the beginning of the year, the property under contract covers approximately 1,500 acres.
The business plan provides for the following:
1) Working the mill on a double shift schedule and increasing the output tonnage through the addition of a larger ball mill to be installed parallel to the existing one as well as installing a larger Falcon Concentrator to multiply the precious metals output.
2) Bring to the mill sufficient ore from the tailings pile to guarantee the increased production for 24 months production of Gold and Silver.
3) In accordance with our operating contract with GoldCorp Holdings, Co., open up one more shaft on the property and prepare it for further activity.
4) Establish a large permanent mill site at the Sinker Tunnel Entrance thus eliminating present transport and road maintenance cost.
5) Dedicate 15% of the net smelter returns to a buyback plan of its common "A" stock.
6) Start permitting process to do underground mining in the Sinker Tunnel so as to allow year round operation to go on.
7) A core drilling program for an evaluation of reserves on the mountain.
Mr. Pierre Quilliam, President of Silver Falcon Mining, Inc., said, "Again we have laid out an ambitious plan and now that we have a cadre of competent and dedicated associates under contract, we are very excited at the prospects laid out before us. Thanks to the selfless dedication of our employees and contractors, we look forward to a very rewarding year in 2009 both financially and operationally."
Further Information contact Rich Kaiser, Investor Relations 800-631-8127 and www.silverfalconmining.com.
Silver Falcon Mining, Inc. cautions that the statements made in this press release constitute forward-looking statements, and not guarantees of future performance and actual results or developments may differ materially from the projections in the forward-looking statements. Forward-looking statements are based on the estimates and opinions of management at the time the statements are made.
War Eagle Mountain is a Gold and Silver rich property where Silver Falcon Mining, Inc. has the developmental and operating rights to 17 deep-shaft mines covering the Mountain's primary epithermal Gold- and Silver-producing veins. At the beginning of the year, the property under contract covers approximately 1,500 acres.
The business plan provides for the following:
1) Working the mill on a double shift schedule and increasing the output tonnage through the addition of a larger ball mill to be installed parallel to the existing one as well as installing a larger Falcon Concentrator to multiply the precious metals output.
2) Bring to the mill sufficient ore from the tailings pile to guarantee the increased production for 24 months production of Gold and Silver.
3) In accordance with our operating contract with GoldCorp Holdings, Co., open up one more shaft on the property and prepare it for further activity.
4) Establish a large permanent mill site at the Sinker Tunnel Entrance thus eliminating present transport and road maintenance cost.
5) Dedicate 15% of the net smelter returns to a buyback plan of its common "A" stock.
6) Start permitting process to do underground mining in the Sinker Tunnel so as to allow year round operation to go on.
7) A core drilling program for an evaluation of reserves on the mountain.
Mr. Pierre Quilliam, President of Silver Falcon Mining, Inc., said, "Again we have laid out an ambitious plan and now that we have a cadre of competent and dedicated associates under contract, we are very excited at the prospects laid out before us. Thanks to the selfless dedication of our employees and contractors, we look forward to a very rewarding year in 2009 both financially and operationally."
Further Information contact Rich Kaiser, Investor Relations 800-631-8127 and www.silverfalconmining.com.
Silver Falcon Mining, Inc. cautions that the statements made in this press release constitute forward-looking statements, and not guarantees of future performance and actual results or developments may differ materially from the projections in the forward-looking statements. Forward-looking statements are based on the estimates and opinions of management at the time the statements are made.
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