Limited Gold Mining Operations Resumed
TORONTO, Jan. 29, 2013 /CNW/ - New Dawn Mining Corp. (TSX: ND) ("New Dawn" or the "Company") announced that the illegal and unprotected work stoppage at its Dalny Mine in Zimbabwe, as previously reported on January 16, 2013, has ended.
The illegal work stoppage ended as a result of a Disposal Order issued in the Labour Court of Zimbabwe on January 25, 2013, which order declared, among other things, that the collective job action was unlawful, and that it be terminated forthwith and that employees should report for work immediately. As a result of the issuance of the Disposal Order, the employees returned to work, allowing the Company to resume limited gold mining operations at Dalny Mine. In accordance with the Disposal Order and applicable regulations, the Company implemented its standard internal processes as a result of this work stoppage.
Subsequent to the resumption of limited mining operations, Dalny Mine has been subject to disruptive actions by people who are not employees. These actions have impacted the continued resumption of operations at the mine and the Company's efforts to restore mine operations to economically viable levels.
Although mining operations had recently resumed at Dalny Mine, gold production had not reached the levels achieved prior to the work stoppage. Management is continuing to work on a mine recovery plan that it expects will incorporate changes to the Dalny Mine operating plan. The loss of gold production during the work stoppage, combined with the previously reported power issues at Dalny Mine, have further exacerbated the stresses on the Company's operations and working capital. As a result, the Company is reviewing and revising its business strategies to recognise changing operating and financial parameters.
The Company will provide further updates to shareholders as appropriate.
About New Dawn:
New Dawn is a junior gold company listed on the Toronto Stock Exchange that is focused on its gold mining assets and operations in Zimbabwe. New Dawn owns 100% of the Turk and Angelus, Old Nic and Camperdown Mines. In addition, through its Falcon Gold Zimbabwe Limited subsidiary, New Dawn currently owns 84.7% of the Dalny, Golden Quarry and Venice Mines, and a portfolio of prospective exploration acreage in Zimbabwe. With the exception of the Venice Mine, all of these mines are currently operational, and they are geographically divided into three major gold camps.
The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or the accuracy of this release.
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 Management's Discussion and Analysis - 2012. 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:
Investor Relations Contact: Richard Buzbuzian +1 416.585.7890
Visit New Dawn on the internet: www.newdawnmining.com
E-mail New Dawn at: [email protected]