Third Ball Mill Commissioned
- Processing capacity at Turk Mine increased to 580 tonnes per day, a
45% increase from previous processing capacity of 400 tonnes per day
- Expansion of processing plant at Turk Mine fully funded from
operating cash flows
- Installed production capacity at Turk Mine now at 22,000 to 23,000
ounces of gold per annum
TORONTO, Nov. 18 /CNW/ - New Dawn Mining Corp. (TSX: ND) reported that it has completed the commissioning of a third ball mill at its Turk Mine in Zimbabwe. The completion of the expansion of the processing plant at the Turk Mine was within the timeline New Dawn previously established to support its planned increases in gold production at the Turk Mine. Construction of the third ball mill was fully funded out of operating cash flow from the Turk Mine.
The addition of the third ball mill provides additional production capacity of 180 tonnes per day at the Turk Mine, bringing total production capacity to 580 tonnes per day, or 17,500 tonnes of ore per month, an increase of 45%. Previously, the Turk Mine had the capacity to process up to 400 tonnes per day or approximately 12,000 tonnes of ore per month.
The increase in production capacity at the Turk Mine to 580 tonnes per day was the first part of a two-phase expansion program designed to increase gold production at the Turk Mine to approximately 35,000 to 50,000 ounces of gold per annum within four years, while at the same time reduce cash operating costs.
"We designed and implemented a two-phase plant expansion program at the Turk Mine in order to reach what we believe to be the maximum sustainable output at the Turk Mine. I am pleased to report phase one is now complete, as a result of which we now expect to see a steady increase in production with a steady decrease in cash costs per ounce of gold produced," commented Ian Saunders, President and CEO. "Increasing gold production is one of three growth strategies that we are pursuing in Zimbabwe. We are also continuing exploration activities on our former gold producing properties in Zimbabwe, as well as continuing to evaluate potential value-accretive acquisitions in Zimbabwe."
About New Dawn ...
New Dawn is a Zimbabwe-focused junior gold company currently increasing gold production at its Turk and Angelus Mines, exploring for gold, and identifying and pursuing other development projects, as well as actively assessing other value accretive acquisition opportunities in Zimbabwe.
New Dawn owns and operates the Turk and Angelus Mines in the upper southwest area of Zimbabwe that have the potential, once fully developed, to produce an estimated 35,000 to 50,000 ounces of gold per annum.
A production facility capable of processing up to 580 tonnes per day or 17,500 tonnes per month is in place and operational at the Turk Mine. The Company maintains a highly experienced work force at Turk Mine of over 800 people.
At New Dawn's Turk and Angelus Mines, the most recent NI 43-101 report documented an aggregate of 959,900 ounces of gold resource grading between 3.8 - 6.1 g/t, with additional inferred mineral resources of 347,600 ounces of gold grading 5.16 - 5.91 g/t. Reserves and Resources are based upon a 2.45 g/t cut-off and US$875/oz gold price at the Turk and Angelus Mines.
Additionally, the Company has a portfolio of exploration properties in Zimbabwe that includes the Consolidated Bubi Gold Fields, Consolidated Midlands Gold Fields and Consolidated Shurugwi Gold Fields properties.
For further information on New Dawn's gold reserves and resources, visit the Company's website at www.newdawnmining.com or the Company's filings on SEDAR at www.sedar.com.
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.
Investors are invited to visit the New Dawn Mining Corp. IR Hub at AGORACOM: http://www.agoracom.com/ir/NewDawn where they can post questions and receive answers or review questions and answers already posted by other investors. Alternatively, investors are able to e-mail all questions and correspondence to: ND@agoracom.com where they can also request to be added to the investor e-mail list to receive all future press releases and updates in real time.
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 - 2008. 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.
SOURCE New Dawn Mining Corp.
For further information: For further information: Investor Relations Contact: Richard Buzbuzian, (416) 585-7890; President and Chief Executive Officer: Ian R. Saunders, (416) 585-7890; Visit us on the internet: http://www.newdawnmining.com or Email us at: email@example.com