The Daily Press is the city of Timmins broadsheet newspaper.
TIMMINS – Preliminary year-end numbers released by Lake Shore Gold indicate that the corporation’s Timmins West Mine has met forecasted expectations for 2012. In addition to meeting expectations, the release indicates the mine and its milling operations are on track to meet predicted 2013 growth.
“We finished 2012 strong with higher production and improved grades during the fourth quarter,” said Lake Shore president and chief executive Tony Makuch in a corporate release. “For the full year, we achieved our production guidance, producing 85,782 ounces and pouring 85,184 ounces.”
Of those total 2012 ounces, 23,738 ounces were extracted from the mine in the fourth quarter, accounting for 24,041 of the ounces poured in 2012.
“Equally important, we met our key mine development and milling expansion objectives, including increasing both our mining and milling capacity by 25% to 2,500 tonnes per day. We remain on track to increase production capacity to 3,000 tonnes per day during the second quarter of this year.”
The original indicators that showed gold quality at 3.9 grams per tonne was increased to 4.4 grams per tonne in the fourth quarter of 2012. “The progress we achieved in 2012 has positioned us for significantly higher production, reduced spending and improved cash operating costs in 2013,” said Makuch. “Production for the year is targeted at between 120,000 and 135,000 ounces of gold.”
Project spending for 2013 is slated at $80 million, with another $10 million set aside for exploration, production accomplishments for 2012 left the corporation with a cash and bullion inventory of $61 million.
“Capital spending on mine development and mill expansion is on track,” said Makuch. “Our exploration costs will be largely targeted on in-mine drilling and cash operating costs in 2013 are targeted at between $800 and $875 (US) per ounce including royalties.”
For the original version of this article, please go to the Timmins Daily Press website: http://www.timminspress.com/2013/01/14/lake-shore-expects-continued-growth-in-2013