Endomines Q2/2013 gold production and exploration activities update as well as revised full year guidance
- Pampalo Q2/2013 gold production 168.1 kg
- 2013 full year production guidance revised to 800 – 900 kg
- Exploration program on-going according to plan
- Pampalo process plant increased design capacity achieved
Endomines AB publishes its second quarter 2013 (ending June 30, 2013) production results for its Pampalo Gold Mine in Eastern Finland. The mine produced 168.1 kg or 5,228 oz of gold during the second quarter.
Pampalo Q2/2013 Production Results [1]:
Key production data
| Q2 | H1 | |||||
| 2013 | 2012 | change | 2013 | 2012 | change | |
| Mined ore (tonnes) | 103,579 | 57,718 | 45,861 | 193,965 | 118,852 | 75,113 |
| Milled ore (tonnes) | 80,939 | 64,730 | 16,209 | 139,795 | 126,326 | 13,469 |
| Head grade (Au gram/tonne) | 2.3 | 4.4 | -2.1 | 2.8 | 3.8 | -1.0 |
| Gold recovery (%) | 86.7 | 86.6 | 0.1 | 87.5 | 86.1 | 1.4 |
| Hourly utilization (%) | 92.7 | 94.2 | -1.5 | 90.7 | 90.0 | 0.7 |
| Gold production (kg) | 168.1 | 244.5 | -76.4 | 348.5 | 413.3 | -64.8 |
| Gold production (oz) | 5,228 | 7,862 | -2,634 | 11,028 | 13,289 | -2,261 |
Quarterly production figures and rolling 12 months
[1] Production figures for Q2/2013 are based on company own assaying and not confirmed by any external laboratory. Figures are individually rounded.
[2] LTIFR = The Lost Time Injury Frequency Rate is based on reported lost time injuries on a rolling 12-month bases resulting in one day/shift or more off work per 1,000,000 hours worked. LTIFR has been calculated for the whole company including exploration.
Production during the quarter was lower than target due to mining mainly from low grade areas in the underground mine and low grade upper levels of the Pampalo East open pit. The gold production for the first six months 2013 was 348.5 kg.
2013 full year production guidance is revised to 800 – 900 kg gold from previous 900-1,000 kg.
Exploration financing is secured for at least the coming two years. The exploration program that is aiming to increase life-of-operations significantly is on-going according to plan. Totally three diamond core drilling rigs have been utilized to drill at Korvilansuo, Hosko and Rämepuro deposits. So far 5,800 m (67 holes) have been drilled.
Overburden removal at Rämepuro satellite mine is on-going and industrial scale test mining of ore has commenced. The ore will be trucked and processed at the Pampalo processing plant during the coming quarters. Full scale mining is expected to start early 2014.
The Pampalo processing plant capacity expansion project has now been completed and the design capacity 52 tonnes/hour equalling an annual capacity of 420 000 tonnes has been achieved. Endomines expects to operate the plant at an annual capacity utilization of up to 380,000 tonnes per annum in accordance with the current environmental permit.
For further information, please contact:
Markus Ekberg
CEO of Endomines AB
tel. +358 40 706 48 50
or visit the Company´s home page: www.endomines.com
About Endomines AB
Endomines AB is a Nordic mining and exploration company with its first operating gold mine in production since February 2011. The mine is located in Eastern Finland, on the Karelian Gold Line, a 40 km long gold critical belt, where Endomines controls all currently known gold deposits.
The company’s business practices and mining operations are based on sustainable principles and on minimizing the impact on the environment.
Endomines applies SveMin's & FinnMin's respective rules for reporting (public mining & exploration companies). It has chosen to report mineral resources and ore reserves according to the JORC-code, which is the internationally accepted Australasian code for reporting ore reserves and mineral resources.
The shares of Endomines AB are quoted on NASDAQ OMX Stockholm under ticker ENDO and on NASDAQ OMX Helsinki under ticker ENDOM. Pareto Öhman acts as Liquidity Provider.
This news release may contain forward-looking statements, which address future events and conditions, which are subject to various risks and uncertainties. The Company's actual results, programs and financial position could differ materially from those anticipated in such forward-looking statements as a result of numerous factors, some of which may be beyond the Company's control. These factors include: the availability of funds; the timing and content of work programs; results of exploration activities and development of mineral properties, the interpretation of drilling results and other geological data, the uncertainties of resource and reserve estimations, receipt and security of mineral property titles; project cost overruns or unanticipated costs and expenses, fluctuations in metal prices; currency fluctuations; and general market and industry conditions.
Forward-looking statements 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.
Endomines AB discloses the information provided herein pursuant to the Swedish Securities Markets Act and/or the Swedish Financial Instruments Trading Act. The information was submitted for publication at 08:45 CET on July 5th, 2013.