TORONTO, June 5, 2015 /CNW/ - Cerro Grande Mining Corporation (the "Company" or "CEG") (CSE:CEG)(OTCQB:CEGMF) reported that the Company's last shipment of gold doré, which amounts to approximately 60% of the Company's revenues, was on May 5, 2015 due to a strike by the employees of Brinks and other armoured car services in Chile. Brinks takes full responsibility for the security of the gold doré on receiving it at the mine site. The gold doré, once it is transported to Santiago by Brinks, is then sent by air to Argor Heraeus, located in Mendrisio, Switzerland which refines the gold doré into 99.9% pure gold bars. The strike was partially terminated on June 1st. This has had a material adverse impact on the Company's revenues and cash flow during the month of May, 2015 and may also have an adverse impact on the Company third fiscal quarter ending on June 30, 2015 if the partial settlement of the strike further impacts our shipments of gold doré.
Cerro Grande Mining Corporation is a minerals producing, exploration and development company with properties and activities currently focused in Chile.
Cautionary Statement on Forward-looking Information:
This news release contains "forward-looking information", which may include, but is not limited to, statements with respect to the future financial or operating performance of CEG. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or variations (including negative variations) of such words and phrases, or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of CEG to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Forward-looking statements contained herein are made as of the date of this press release based on current expectations and beliefs and CEG disclaims, other than as required by law, any obligation to update any forward-looking statements whether as a result of new information, results, future events, circumstances, or if management's estimates or opinions should change, or otherwise. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, the reader is cautioned not to place undue reliance on forward-looking statements.
SOURCE Cerro Grande Mining Corporation
For further information: Registered Office:ROYAL BANK PLAZA, SOUTH TOWER, 200 BAY STREET, SUITE 3800, TORONTO, ONTARIO M5J 2Z4,CANADA; Santiago Office: AVENIDA SANTA MARIA, 2224 PROVIDENCIA, SANTIAGO, CHILE, Telephone: 56-2-2569 6200; Toronto Office:1 KING STREET WEST, SUITE 4009,TORONTO, ONTARIO M5H 1A1, CANADA; For further information, contact, Stephen W. Houghton, CEO, David R. S. Thomson, EVP, E-Mail: [email protected], Telephone: 56-2-2569 6224, Website: www.cegmining.com