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Press release from Newsfile Corp

Mackie Research Increases Target Price for Primero Mining - Video Summary on

Tuesday, April 02, 2013

Mackie Research Increases Target Price for Primero Mining - Video Summary on

11:32 EDT Tuesday, April 02, 2013

Vancouver, British Columbia--(Newsfile Corp. - April 2, 2013) - Investment firm Mackie Research has updated its coverage on Primero Mining (TSX: P) (NYSE: PPP). Following the release of year-end gold mineral reserves and resources, analyst Barry Allan reiterated his buy recommendation, increasing his 12-month target to $9.50, from $9.00, giving a projected return of 47% from the $6.47 price the day the report was issued. has produced a "video news alert" which provides a brief overview of Primero Mining, based on the research report. If this link is not enabled, please visit and enter "Primero" in the search box.

If you cannot view the video above, please visit:

The company reported that Probable Gold Mineral Reserves increased 31% over year-end 2011, to 660,400 ounces, or 19% on a per share basis and that Indicated Gold Resources increased 35% over year- end 2011 to 779,600 ounces, inclusive of Mineral Reserves, at the San Dimas mine.

The San Dimas mine, which the company acquired in 2010, is located on the border of the States of Sinaloa and Durango, some 125 kilometres northeast of Mazatlan in central west Mexico. San Dimas is historically one of the richest precious metals deposits in Mexico, being located in the central part of the Sierra Madre Occidental. The mine has already produced approximately 11 million ounces of gold and 580 million ounces of silver.

Joseph F. Conway, President & CEO stated, "Our exploration team was very successful at discovering new ounces in 2012, adding value per share for shareholders and demonstrating the high quality of the San Dimas asset. We increased the contained gold and silver ounces in Mineral Reserves and Mineral Resources, replacing the 12 month gold depletion by a significant 269%."

Primero continues to expand the San Dimas mill, which achieved throughput of 2,066 tonnes per day in the fourth quarter of 2012, up from 1,738 tonnes per day in the fourth quarter of 2011. The company remains on track to reach the 2,150 tonnes per day level by the end of the first quarter in 2013, with a final target of 2,500 tonnes per day to be reached in the first quarter of 2014.

Given throughput increases over the course of the year, Primero expects to produce 120,000 to 130,000 ounces of gold equivalent in 2013 at cash costs of $620 to $640 per ounce, based on a $1,700 price for gold and a $30 price for silver.

The company has planned a $15.4 million expansion program for 2013 that aims to again increase reserves and resources and define higher-grade underground mineralization.

Analyst Barry Allan stated, "We have not yet factored in the additional upside of a mill expansion to 3,000 tonnes per day given that a decision has not yet been officially announced by the company. With a historical resource to reserve conversion rate of over 90%, and the discovery of over 120 veins since 1928, there is a good probability that an expansion to 3,000 tonnes per day may be in the cards."

The shares are currently trading at $6.70, and with approximately 106 million shares outstanding, the company is capitalized at $710 million.

For more information, please visit the company's website or contact Tamara Brown, VP Investor Relations 416-814-3168 or email .

For more information about Mackie Research or to obtain the report on Primero Mining, contact your nearest Mackie Research office. Their branches are listed on their website at .

About InvestmentPitch, a multimedia company that provides a combined solution for creating and hosting financial video content, and distributing it across multiple platforms to investors and financial professionals, specializes in producing short three minute videos based on significant news releases and research reports.

Barry Morgan, CFO

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