The Globe and Mail

Go to the Globe and Mail homepage

Jump to main navigationJump to main content

Press release from CNW Group

Anaconda's Pine Cove mine has record fiscal Q3 2012: 3,277 ounces of gold sold and nearly $5.6M in revenue

Wednesday, March 21, 2012

Anaconda's Pine Cove mine has record fiscal Q3 2012: 3,277 ounces of gold sold and nearly $5.6M in revenue07:00 EDT Wednesday, March 21, 2012TORONTO, March 21, 2012 /CNW/ - Anaconda Mining Inc. ("Anaconda" or "the Company") - (TSX: ANX) is pleased to announce certain financial and operating results from the fiscal third quarter ended February 29, 2012.  The Company sold 3,277 ounces of gold and generated $5,558,524 in revenue at an average sales price of $1,696 per ounce. The third quarter sales volume and revenue were approximately 51% and 47% greater than the second quarter sales volume and revenue, respectively.President and CEO, Dustin Angelo, stated, "The third quarter was another record quarter and demonstrates our continuous operational improvement. The ramp-up from the previous quarter wherein we made modifications to the mill had an immediate impact on production during this quarter. Operator experience and other tweaks in the mill have also made production more consistent, resulting in a steady improvement in gold recovery. By February, overall mill recovery was up from historical averages of around 80% to 83%, and sales volume was 1,252 ounces, the largest single month output for Pine Cove."FY Q3 2012 Mill Operations Overview:The Pine Cove mill operated for 79.5 days during the third quarter. Mill availability was normal for the first two months of the quarter and then crusher maintenance and a heavy snowfall caused significant downtime in February. The mill processed 72,500 dry tonnes of ore (912 tonnes per operating day) at an average head grade of 2.01 grams per tonne, which was nearly the same as the previous quarter and in line with life of mine expectations. Overall mill recovery averaged 81% for the quarter and reached a high of 83% in February. The following table summarizes the key operating statistics by month for the third quarter ended February 29, 2012. Dec '11Jan '12Feb '12Total/AvgOPERATING STATISTICS:    Calendar days31312991Operating days292921.579.5Availability93%93%74%87%Dry tonnes processed26,90124,22821,37172,500Tonnes per 24-hour day928835994912Grade (grams per tonne)1.941.752.342.01Overall mill recovery78%82%83%81%     Gold sales volume (troy oz.)1,0289971,2523,277ABOUT ANACONDAHeadquartered in Toronto, Canada, Anaconda is a growth oriented, gold mining and exploration company with a producing asset located on the Baie Verte Peninsula in Newfoundland, Canada called the Pine Cove mine.FORWARD LOOKING STATEMENTSThis document contains or refers to forward-looking information. Such forward-looking information includes, among other things, statements regarding targets, estimates and/or assumptions in respect of future production, mine development costs, unit costs, capital costs, timing of commencement of operations and future economic, market and other conditions, and is based on current expectations that involve a number of business risks and uncertainties. Factors that could cause actual results to differ materially from any forward-looking statement include, but are not limited to: the final approval of the private placement by the Toronto Stock Exchange; the grade and recovery of ore which is mined varying from estimates; capital and operating costs varying significantly from estimates; inflation; changes in exchange rates; fluctuations in commodity prices; delays in the development of the any project caused by unavailability of equipment, labour or supplies, climatic conditions or otherwise; termination or revision of any debt financing; failure to raise additional funds required to finance the completion of a project; and other factors. Additionally, forward-looking statements look into the future and provide an opinion as to the effect of certain events and trends on the business. Forward-looking statements may include words such as "plans," "may," "estimates," "expects," "indicates," "targeting," "potential" and similar expressions. These forward-looking statements, including statements regarding Anaconda's beliefs in the potential mineralization, are based on current expectations and entail various risks and uncertainties. Forward-looking statements are subject to significant risks and uncertainties and other factors that could cause actual results to differ materially from expected results. Readers should not place undue reliance on forward-looking statements. These forward-looking statements are made as of the date hereof and we assume no responsibility to update them or revise them to reflect new events or circumstances, except as required by law.For further information: Anaconda Mining Inc. Dustin AngeloPresident and CEO (647) 260-1248  Email: dangelo@anacondamining.comorTerre PartnersJoanna LongoInvestor Relations(416) 775-8771Email: jlongo@terrepartners.com Company website: www.anacondamining.com