Dynacor reports net earnings of $0.6M for Q2 2009



    
    Symbol: DNG
    Toronto Stock Exchange (TSX)
    

    MONTREAL, Aug. 12 /CNW Telbec/ - Dynacor is pleased to report its
financial results for its second quarter ended 30 June 2009. The consolidated
financial statements (all currency figures appear in Canadian dollars unless
otherwise specified) along with management's discussion and analysis are
available on the Company's website www.dynacorgold.com and the documents have
been filed electronically on SEDAR at www.sedar.com.

    
    Q2 2009 HIGHLIGHTS

    - Net earnings of $0.6M ($0.00M in Q2 2008) equal to $0.02 per share
      ($0.00 in Q2 2008)

    - Gold sales of 5,828 ounces (8,710 ounces in Q2 2008), a decrease of 33%
      compared to Q2 2008

    - Gross margin before amortization of $285 per ounce compared to $138 per
      ounce for the corresponding period in 2008

    - Cash, and cash equivalents and short term investments of $1.6M

    - Cash flow generated from operating activities before change in non-cash
      working capital items of $0.8M ($0.3M in Q2 2008)
    

    Jean Martineau, Dynacor's President and CEO, recently stated: "During Q2
2009, despite the reduction in the volume of ore purchased by the Company for
custom milling purposes - forced by the withholding of receivable sales taxes
by the Peruvian authorities which has impacted Dynacor's available cash flow -
the Company's milling operations generated net earnings of $0.6M. Over the
last 12 months the Company net earnings per share reached $0.09, and during Q2
2009 Dynacor generated a cash flow from operating activities before change in
non-cash working capital items of nearly 1.0M dollars. The Company's custom
milling operations are running below their capacity but are nevertheless
generating a profit".

    EXPLORATION ACTIVITIES

    Upcoming exploration activities on the Tumipampa property will include
geological and detailed geophysical studies followed by systematic surface
sampling in order to optimally locate drilling targets, estimate the
dimensions of the skarn and further the exploration of the property.

    ABOUT DYNACOR GOLD MINES INC.

    Dynacor is a gold exploration and mining company, that has been active in
Peru through its subsidiaries since 1996. The Company's assets include the
Acari, Casaden and Tumipampa exploration properties. The Acari mill produces
gold by custom milling. Dynacor's strength and competitive advantage comes
with the experience and knowledge the Company has developed while working in
Peru. Its pride remains in maintaining respect and positive work ethics toward
its employees, partners and local communities.




For further information:

For further information: Jean Martineau, President & CEO, Dynacor Gold
Mines Inc., (514) 288-3224

Organization Profile

DYNACOR GOLD MINES INC.

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