The Globe and Mail

Go to the Globe and Mail homepage

Jump to main navigationJump to main content

Press release from CNW Group

Perseus Mining issues March 2012 Quarterly Activity Report

Tuesday, April 17, 2012

Perseus Mining issues March 2012 Quarterly Activity Report18:15 EDT Tuesday, April 17, 2012/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/PERTH, Western Australia, April 17, 2012 /CNW/ - Perseus Mining Limited (ASX / TSX: PRU) ("Perseus" or the "Company") advises that its Activity Report for the quarter ended March 31, 2012 has been issued under the rules of the Australian Securities Exchange ("ASX"). Highlights of the Activity Report are set out below, and the full text of the report is available on the Company's website and under the Company's profile at www.sedar.comand also at - Edikan Gold Mine, Ghana    Key Operating MetricsUnitsMarch 2012 QuarterDec 2011 Qtr Actuals  ActualsGuidance     Recovered goldoz38,79635 - 40,00035,801     Cash costs (1)US$/oz723950n/aCash costs including royaltiesUS$/oz830-n/a     Average gold sales priceUS$/oz1,513(2)-1,6671)     Cash costs are C1 cash costs as per Brook Hunt definition, and include direct operating costs after adjusting for US$9.8M of costs of deferred waste stripping and ore inventory movements. 2)    Includes both spot and forward sales of gold.Strong mill performance following the scheduled maintenance shutdown in February 2012.  March monthly production totalled 19,026oz of gold from 435,575t of ore at an adjusted cash cost of US$576/oz, including mining costs of $2.80/t mined and processing costs of $7.15/t milled.Given production rates and costs in March and April 2012, the June 2012 quarter guidance of 50,000oz to 55,000oz at a cash cost of $690/oz remains unchanged.Development - Sissingué Gold Project - Côte d'IvoireRegulatory approval of the Environmental and Social Impact Assessment enabling early development works to proceed on the site of the Sissingué Gold Project.Exploitation Licence approved for issue subject to negotiation of applicable fiscal regime.Tendering process for early development works and detailed plant design work well advanced.Exploration 67,634m of drilling completed including 40,775m in Ghana and 26,859m Côte d'Ivoire.Significant drill intercepts from several new prospects.341,000oz increase in Measured and Indicated (M&I) Mineral Resources at EGM. Before mining depletion, total M&I Mineral Resources increased to 6.8Moz, Inferred Mineral Resources 2.2Moz.CorporateAvailable cash balance of A$117.1M plus 970oz of gold on hand at 31 March 2012.Bank debt reduced from US$85.0M to US$74.0M.Total gold hedging commitments reduced from 230,000oz to 210,000oz at an average price of US$1,253/oz.Mark CalderwoodManaging DirectorCompetent Person Statement: The information in this report that relates to exploration results, mineral resources or ore reserves is based on information compiled by Mr Mark Calderwood, who is a Charted Professional Member of The Australasian Institute of Mining and Metallurgy.  Mr Calderwood is a Director and full-time employee of the Company.  Mr Calderwood has sufficient experience, which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking, to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'") and to qualify as a "Qualified Person" under National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101").  Mr Calderwood consents to the inclusion in this report of the matters based on his information in the form and context in which it appears. For a description of Perseus's data verification process, quality assurance and quality control measures, the effective date of the mineral resource and mineral reserve estimates contained herein, details of the key assumptions, parameters and methods used to estimate the mineral resources and reserves set out in this report and the extent to which the estimate of mineral resources or mineral reserves set out herein may be materially affected by any known environmental, permitting, legal, title, taxation, socio-political, marketing or other relevant issues, readers are directed to the technical report entitled "Technical Report - Central Ashanti Gold Project, Ghana" dated May 30, 2011 and the technical report entitled "Technical Report - Tengrela Gold Project, Ivory Coast" dated December 22, 2010 in respect of the Edikan Gold Mine (formerly the Central Ashanti Gold Project) and the Tengrela Gold Project, respectively.Caution Regarding Forward Looking Information: This report contains forward-looking information which is based on the assumptions, estimates, analysis and opinions of management made in light of its experience and its perception of trends, current conditions and expected developments, as well as other factors that management of the Company believes to be relevant and reasonable in the circumstances at the date that such statements are made, but which may prove to be incorrect. Assumptions have been made by the Company regarding, among other things: the price of gold, continuing commercial production at the Edikan Gold Mine without any major disruption, development of a mine at Tengrela, the receipt of required governmental approvals, the accuracy of capital and operating cost estimates, the ability of the Company to operate in a safe, efficient and effective manner and the ability of the Company to obtain financing as and when required and on reasonable terms. Readers are cautioned that the foregoing list is not exhaustive of all factors and assumptions which may have been used by the Company. Although management believes that the assumptions made by the Company and the expectations represented by such information are reasonable, there can be no assurance that the forward-looking information will prove to be accurate. Forward-looking information involves known and unknown risks, uncertainties, and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any anticipated future results, performance or achievements expressed or implied by such forward-looking information. Such factors include, among others, the actual market price of gold, the actual results of current exploration, the actual results of future exploration,  changes in project parameters as plans continue to be evaluated, as well as those factors disclosed in the Company's publicly filed documents. The Company believes that the assumptions and expectations reflected in the forward-looking information are reasonable.  Assumptions have been made regarding, among other things, the Company's ability to carry on its exploration and development activities, the timely receipt of required approvals, the price of gold, the ability of the Company to operate in a safe, efficient and effective manner and the ability of the Company to obtain financing as and when required and on reasonable terms.  Readers should not place undue reliance on forward-looking information.  Perseus does not undertake to update any forward-looking information, except in accordance with applicable securities laws.PDF with caption: "Mar 2012 Quarterly Activity Report_Final.pdf ". PDF available at: further information: Perseus Mining Limited, ABN 27 106 808 986, 30 Ledgar Road, Balcatta, Western Australia, 6021, PO Box 717, Balcatta, WA, 6914, Telephone: (618) 9240 6344, Facsimile: (618) 9240 2406, Email address:, Website: