New Dawn Mining Corp. Reports Financial Results and Major Developments for
the Quarter Ended June 30, 2010

    
       $3.55 Million in Revenue from the Sale of 2,974 Ounces of Gold
                               for the Quarter

    Closes Investment in June 2010 to Acquire an 89% Controlling Interest
                   in AIM-listed Central African Gold Plc

    Q3 Fiscal 2010 - Quarter Ended June 30, 2010 Highlights
    -------------------------------------------------------
    (All amounts are in US dollars)

    -   $3,549,786 in revenue from gold sales from Turk Mine for the quarter
        ended June 30, 2010, as compared to $3,801,780 of revenue from gold
        sales for the quarter ended March 31, 2010

    -   New Dawn makes a major investment to acquire an 89% controlling
        interest in AIM-listed Central African Gold Plc ("CAG"), which owns
        an extensive portfolio of gold mining properties in Zimbabwe

        -   Property, plant and equipment increases by $22 Million

        -   Now targeting 50,000 to 60,000 ounces of consolidated annualized
            gold production within 18 to 24 months

    -   $4,949,542 of cash at June 30, 2010, as compared to $4,527,033 of
        cash at March 31, 2010

    -   Diesel Generators to be installed and operational at Turk Mine in
        September 2010
    

TORONTO, Aug. 16 /CNW/ - New Dawn Mining Corp. (TSX: ND) ("New Dawn" or the "Company") announced that its financial results and corresponding Management's Discussion and Analysis for the quarter ended June 30, 2010 have now been filed on SEDAR and are also available to view on the Company's website at www.newdawnmining.com.

The Company prepares its consolidated financial statements in U.S. Dollars and in accordance with Canadian Generally Accepted Accounting Principles.

HIGHLIGHTS OF Q3 FISCAL 2010 FINANCIAL RESULTS

Selected unaudited quarterly financial information is presented below.

    
    -------------------------------------------------------------------------
    Fiscal 2010                                   Quarters Ended
    -------------------------------------------------------------------------
                                       June 30,      March 31,   December 31,
                                         2010          2010          2009
    -------------------------------------------------------------------------
    Operations
    -------------------------------------------------------------------------
      Revenue                         $3,549,786    $3,801,780    $3,969,038
    -------------------------------------------------------------------------
      Net income (loss) for the
       period                           (150,969)     (461,372)     $927,494
    -------------------------------------------------------------------------
      Basic and diluted earnings
       (loss) per share                    (0.00)       ($0.02)        $0.03
    -------------------------------------------------------------------------

    -------------------------------------------------------------------------
    Balance sheet
    -------------------------------------------------------------------------
      Total assets                   $43,493,749   $19,620,871   $18,628,285
    -------------------------------------------------------------------------
      Total liabilities               16,813,687     5,302,744    $3,971,871
    -------------------------------------------------------------------------

    -------------------------------------------------------------------------
    Cash dividends per share                 Nil           Nil           Nil
    -------------------------------------------------------------------------

    -------------------------------------------------------------------------
    Other measures
    -------------------------------------------------------------------------
      Quantity of gold produced (oz)       3,243         3,395         3,239
    -------------------------------------------------------------------------
      Quantity of gold sold (oz)           2,974         3,427         3,604
    -------------------------------------------------------------------------
      Intercompany loan repayments
       from Zimbabwe                           -      $436,455    $2,500,000
    -------------------------------------------------------------------------
      Cash cost per oz(1)                   $747          $653          $580
    -------------------------------------------------------------------------
      Adjusted EBITDA(2)                $380,702    $1,063,935    $1,439,065
    -------------------------------------------------------------------------
    (1) Cash cost per ounce is a non-GAAP measure as more fully described in
        the discussion at the end of  MD&A entitled Non-GAAP Measures.
    (2) Adjusted EBITDA is a non-GAAP measure as more fully described in the
        discussion at the end of MD&A entitled Non-GAAP Measures.
    

Three Months Ended June 30, 2010

Operating comparisons presented above are for the quarter ended June 30, 2010, as compared to the quarter ended March 31, 2010.

REVENUE

During the quarter ended June 30, 2010, the Company reported revenue of $3,549,786 from the sale of 2,974 ounces of gold, as compared to revenue of $3,801,480 from the sale of 3,427 ounces of gold for the quarter ended March 31, 2010.

All gold sales were received in US Dollars and all gold sold was produced from the Company's Turk Mine in Zimbabwe.

The Company received an average of $1,194 per ounce of gold sold during the quarter ended June 30, 2010, as compared to $1,109 per ounce of gold sold during the quarter ended March 31, 2010.

GOLD PRODUCTION

During the quarter ended June 30, 2010, New Dawn produced 3,243 ounces of gold, as compared to 3,395 ounces of gold produced during the quarter ended March 31, 2010.

During the quarter ended June 30, 2010, gold production was reduced over the base production rate as a result of five statutory holidays during April 2010, a five day strike in May 2010, major repairs to equipment, and the ongoing unscheduled power cuts during the quarter. Had these impediments not occurred, gold production would have increased quarter over quarter.

The power situation at Turk Mine will be stabilized with the installation of diesel generators expected to be installed and operational in September 2010.

At June 30, 2010 quarter end, an additional 836 ounces or 26 kg's of gold awaited export documentation for sale in South Africa, and were included in July 2010 sales.

With New Dawn having acquired a controlling interest in CAG on June 16, 2010, New Dawn is now targeting 50,000 to 60,000 ounces of consolidated annualized gold production within 18 to 24 months.

CASH COSTS

The cash cost per ounce of gold produced at the Turk Mine during the quarter ended June 30, 2010 was US$747 per ounce, as compared to $653 per ounce for the quarter ended March 31, 2010. The continued unreliable power supply negatively affected cash costs per ounce during the most recent quarter, as economies of scale are lost given the significant amount of fixed costs. Additionally, in the near term, power supply uncertainties may cause gold production output to vary monthly.

Additional factors that negatively impacted cash costs were five statutory holidays during April 2010, a five day strike in May 2010, and major repairs to equipment.

As production levels increase, cash costs are expected to decrease to historical normalized levels. Previously normalized cash cost were less than $600 per ounce of gold produced.

OTHER OPERATING EXPENSES

Corporate and administrative overhead for the quarter ended June 30, 2010 remained relatively consistent with the quarter ended March 31, 2010 on an aggregate basis. Corporate and administrative overhead increased in the quarter ended June 30, 2010, as compared to the quarter ended June 30, 2009, primarily as a result of the expansion of the comprehensive investor relations/public relations program that the Company initiated in January 2009 and stock-based compensation costs relating to stock options granted in October 2009.

With the acquisition of the Company's controlling interest in CAG during the quarter ended June 30, 2010, the Company's portfolio of gold mining assets in Zimbabwe now includes CAG's mining properties, all of which were on care and maintenance at June 30, 2010. Operating expenses for the quarter ended June 30, 2010 included significant non-recurring expenses related to the CAG transaction aggregating $481,048. Subsequent to June 30, 2010, two of CAG's mines resumed limited production.

EARNINGS

Net loss for the quarter ended June 30, 2010 was $150,969 or $0.00 per share, as compared to a loss for the quarter ended March 31, 2010 of $461,372 or $0.02 per share.

Net loss for the comparative quarter ended June 30, 2009 was $2,054,054 or $0.07 per share, including a charge of $2,559,260 or $0.09 per share related to the write-down of the Blue Dot project in South Africa.

INSTALLATION OF DIESEL GENERATORS

As previously announced, the power situation at Turk Mine is being stabilized with the installation of diesel generators. Generators with a capacity of 3MVA are being installed and are expected to provide electrical capacity sufficient for New Dawn to be able to reach and maintain its next production target at Turk Mine of 22,000 to 23,000 ounces of annualized gold production. Installation of the generators is expected to be completed during September 2010.

CASH RESOURCES and LIQUIDITY

At June 30, 2010, cash and cash equivalents were $4,949,542, as compared to $4,506,446 at March 31, 2010.

At June 30, 2010, the Company has working capital of $3,349,406, as compared to $6,864,288 at March 31, 2010.

INVESTMENT IN CENTRAL AFRICAN GOLD Plc

On June 16, 2010, New Dawn made an investment resulting in the acquisition of an approximate 89% controlling interest in Central African Gold Plc ("CAG"). CAG is a gold mining company with operations in Zimbabwe, the shares of which are admitted to AIM, a market operated by the London Stock Exchange plc.

The Company has commenced a strategic review of all aspects of CAG's assets and operations, including reserves/resources, operations, management, control structures and systems, listing status, capital structure and future capital requirements. In particular, the Company is evaluating CAG's short-term and long-term working capital requirements to fund the development and operations of CAG's gold mining assets, which the Company contemplates will be addressed through a combination of internally generated funds and new debt and/or equity. In this regard, during August 2010, the Company entered into an agreement with CAG to provide a demand loan facility in the amount of $2,000,000, and CAG has provided a similar loan facility to its Zimbabwe subsidiaries.

The acquisition is consistent with New Dawn's stated business objective to become a mid-tier gold producer and the 'in-country consolidator' of gold mining assets in Zimbabwe. With this investment in CAG, New Dawn has taken a major step towards realizing this objective. Through this transaction, New Dawn is increasing its gold resource base and associated mining capability to support a consolidated annualized production of 50,000 to 60,000 ounces of gold within the next 18 to 24 months, followed by an increase to 100,000 ounces of gold within four to five years, with the ultimate goal of reaching a consolidated annualized production target of 200,000 to 250,000 ounces of gold.

About New Dawn Mining ...

New Dawn is a Zimbabwe-focused junior gold company currently expanding gold production at its Turk and Angelus Mines, exploring for gold, and identifying and pursuing other development projects in Zimbabwe.

New Dawn owns and operates the Turk and Angelus Mines in the upper southwest area of Zimbabwe that has the potential to produce an estimated 35,000 to 50,000 ounces of gold per annum. New Dawn owns the property outright on which these mines are located.

New Dawn is currently developing a revised and updated strategic business plan in light of its acquisition of a controlling interest in CAG, with a view towards reaching consolidated annualized gold production of 50,000 to 60,000 ounces within the next 18 to 24 months, increasing to 100,000 ounces within four to five years, and then ultimately to 200,000 to 250,000 ounces.

Additionally, the Company is reviewing and assessing CAG's extensive portfolio of exploration properties in Zimbabwe for future investment and development.

New Dawn's plans with respect to CAG's assets and operations will be developed and implemented taking into account New Dawn's ongoing discussions with and submissions to the Zimbabwe authorities.

Further information on New Dawn can be obtained at the Company's website at www.newdawnmining.com or in the Company's filings on SEDAR at www.sedar.com.

About Central African Gold ...

Central African Gold Plc is a gold mining company with a portfolio of production, development and exploration assets in Zimbabwe which operates through two subsidiaries, Falcon Gold Zimbabwe Limited (84.7% owned) and Olympus Gold Mines Limited (100% owned). Through these subsidiaries, CAG has four main gold properties, the Dalny, Old Nic, Golden Quarry and Camperdown mines, which are located in the highly prospective Kadoma, Shurugwi and Bulawayo gold regions in Zimbabwe.

The TSX has not reviewed and does not accept responsibility for the adequacy or the accuracy of this release. Statements in this press release regarding the Company's business which are not historical facts are "forward-looking statements" that involve risks and uncertainties, such as estimates and statements that describe the Company's future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in such statements.

The contents of this news release were supervised and reviewed by Ian R. Saunders, B.Sc., who is President, Chief Executive Officer, and a Director of New Dawn Mining Corp., and who is a Qualified Person within the meaning of NI 43-101.

Special Note Regarding Forward-Looking Statements: Certain statements included or incorporated by reference in this news release, including information as to the future financial or operating performance of the Company, its subsidiaries and its projects, constitute forward-looking statements. The words "believe," "expect," "anticipate," "contemplate," "target," "plan," "intends," "continue," "budget," "estimate," "may," "schedule" and similar expressions identify forward-looking statements. Forward-looking statements include, among other things, statements regarding targets, estimates and assumptions in respect of gold production and prices, operating costs, results and capital expenditures, mineral reserves and mineral resources and anticipated grades and recovery rates. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by the Company, are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Many factors could cause the Company's actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, the Company. Such factors include, among others, risks relating to reserve and resource estimates, gold prices, exploration, development and operating risks, political and foreign risk, uninsurable risks, competition, limited mining operations, production risks, environmental regulation and liability, government regulation, currency fluctuations, recent losses and write-downs and dependence on key employees. See "Risk Factors" in the Company's Annual Information Form - 2009. Due to risks and uncertainties, including the risks and uncertainties identified above, actual events may differ materially from current expectations. Investors are cautioned that forward-looking statements are not guarantees of future performance and, accordingly, investors are cautioned not to put undue reliance on forward-looking statements due to the inherent uncertainty therein. Forward-looking statements are made as of the date of this press release and the Company disclaims any intent or obligation to update publicly such forward-looking statements, whether as a result of new information, future events or results or otherwise.

%SEDAR: 00026497E

For further information: For further information: Investor Relations Contact: Richard Buzbuzian, +1 416.585.7890; President and Chief Executive Officer: Ian R. Saunders, +1 416.585.7890; Visit us on the internet: http://www.newdawnmining.com, or E-mail us at: info@newdawnmining.com

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New Dawn Mining Corp.

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