Shares Issued: 201,530,687
THUNDERBAY, ON, April 18, 2017
/CNW/ - PREMIER GOLD MINES LIMITED ("Premier" or "The Company")
(TSX:PG) is pleased to announce its first quarter production
results for 2017 that underscore a continuation of strong
performance being realized from the Company's 40% ownership in the
South Arturo Mine located in Carlin,
Nevada and its 100% owned Mercedes Mine located in
Mexico. South Arturo is a joint venture between Premier and
Barrick Gold Corporation's wholly-owned subsidiary Barrick
Gold Exploration Inc. ("Barrick") which achieved commercial
production on August 1, 2016.
Operational Highlights Attributable to Premier
Include:
- Total gold production of 50,979 ounces
- Total silver production of 88,572 ounces
- Total gold Sales of 51,593 ounces
- Average realized gold sale price of USD$1,224 per ounce
Table 1 below provides a breakdown of the production results by
mine site.
These first quarter results demonstrate the Company's (and its
partner's) focus on operating productivity and performance and
reconfirm the 2017 production guidance of 125,000 to 135,000 ounces
of gold and 325,000 to 350,000 ounces of silver.
Table 1: Q1- 2017
Production results
|
|
|
Mine
|
Q1 2017 Gold
Production
(ounces)
|
Q1 2017 Silver
Production
(ounces)
|
South Arturo Mine,
Nevada
|
28,815
|
-
|
Mercedes Mine,
Mexico
|
22,164
|
88,572
|
|
|
|
Consolidated
|
50,979
|
88,572
|
"We are extremely pleased with the continued strong performance
at both sites during the quarter, especially at Mercedes where we
have recognized a seamless transition from the previous operators,"
stated Ewan Downie, President and
CEO of Premier, in the company's C-Suite Blog
https://www.premiergoldmines.com/news/c-suite-blog/all, "Numerous
initiatives at Mercedes have resulted in increased throughput,
particularly beginning late in the quarter, and production from
South Arturo continues to surpass expectations. We are on
track to meet the top end of our 2017 production guidance and
remain focused on further operational initiatives to ensure
long-term production from both mines.
South Arturo Mine, Nevada
The South Arturo Mine, operated by Barrick Gold, has delivered exceptional
performance results since achieving commercial production in August
2016. Higher than forecasted grades in the mine and revised
pit wall slopes are expected to result in production levels above
guidance.
The joint venture continues to advance three additional mining
opportunities on the property; the El Nino underground project and
two potential open pit projects (Phases 1&3). A Plan of
Operations for the construction of a ramp at El Nino to access
high-grade mineralization down-dip of the current pit has been
submitted for approval with Nevada
regulatory authorities. Upon receipt of the required permits,
the partnership plans to develop underground access to complete
further definition drilling and mine planning to verify the
potential for future production.
Mercedes Mine, Mexico
The Mercedes Mine has delivered solid performance results since
it was acquired from Yamana Gold in 2016. Our operations team
continues to identify and implement measures intended to increase
productivity and reduce costs. During the first quarter,
development crews achieved underground access to the Diluvio
deposit, located immediately east of the Lupita mine workings,
which has resulted in ore from the additional working faces and the
potential to increase future gold production from this
deposit. Production efficiencies currently being implemented,
including reduced dilution and improved gold and silver recoveries,
are expected to reduce the overall operating costs.
Exploration and resource definition drilling are a priority in
2017. Surface and underground drilling activity significantly
increased in the last month of this quarter with a total of six
drills being active.
Other Developments
Premier remains focused on achieving mid-tier producer status
through its two producing gold mines; South Arturo and Mercedes,
and through future mine development at McCoy-Cove in Nevada and Hardrock in Ontario (Greenstone Gold JV) where permitting
and development initiatives are ongoing.
Other Q1-2017 Highlights
- Released maiden resource for the Hasaga Property in
Red Lake, Ontario
- Released updated resource for the McCoy-Cove Property in
Battle Mountain, Nevada
Financial results for the three months ended March 31, 2017 will be released before market
open on May 12, 2017. A webcast
and conference call to present Q1 Financial Results will be held by
senior management at 10:00 a.m. EST
that same day.
Details regarding how to access the webcast and conference call
will be accessible on the Company's website.
Premier Gold Mines Limited is a gold producer and
respected exploration and development company with a high-quality
pipeline of precious metal projects in proven, accessible and safe
mining jurisdictions in Canada,
the United States, and
Mexico.
This Press Release contains certain information that may
constitute "forward-looking information" under applicable Canadian
securities legislation. Forward-looking information includes, but
is not limited to, statements about strategic plans, including
future operations, future work programs, capital expenditures,
discovery and production of minerals, price of gold and currency
exchange rates, timing of geological reports and corporate and
technical objectives... Forward-looking information is necessarily
based upon a number of assumptions that, while considered
reasonable, are subject to known and unknown risks, uncertainties,
and other factors which may cause the actual results and future
events to differ materially from those expressed or implied by such
forward-looking information, including the risks inherent to the
mining industry, adverse economic and market developments and the
risks identified in Premier's annual information form under the
heading "Risk Factors". There can be no assurance that such
information will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such
information. Accordingly, readers should not place undue
reliance on forward-looking information. All forward-looking
information contained in this press release is given as of the date
hereof and is based upon the opinions and estimates of management
and information available to management as at the date
hereof. Premier disclaims any intention or obligation to
update or revise any forward-looking information, whether as a
result of new information, future events or otherwise, except as
required by law.
SOURCE Premier Gold Mines Limited