Potential Plant Capacity Increases at Mana


    MONTREAL, Sept. 8 /CNW Telbec/ - Semafo Inc. (TSX: SMF) today announced
that it has completed preliminary engineering studies to increase plant
capacity at its Mana mine in Burkina Faso. The studies confirmed that using
only the large ball mill and current installations, plant capacity can reach
throughput rates of up to 5,000 and 4,000 tonnes per day for saprolite and
bedrock ores respectively.
    "The ore processing increase of up to 1,000 tonnes per day over the
anticipated 4,000 tonne-per-day milling capacity could result in an annual
gold production increase of 25,000 ounces," said Benoit Desormeaux, Executive
Vice-President and COO, "This could directly augment our cash flow from
operations by $8-$10 million per year."
    The studies also confirmed that an investment estimated at $5 million for
the purchase of additional mining equipment and minor facility modifications
will increase mine capacity by an additional 1,000 tonnes per day to achieve
up to 6,000 tonnes per day for saprolite ore.
    "The next few years promise to be an exciting time for Semafo as our
expanded Mana mine continues to strengthen our production profile," said
Benoit La Salle, Semafo's President and CEO, "The additional annual cash flow
from operations will contribute to our strategy to pursue new strategic
initiatives aimed at increasing shareholder value."
    In conclusion, the studies confirmed the use of the small ball mill to
maximize plant availability and to increase plant capacity from 4,000 to
5,000 tonnes per day when processing bedrock.
    Detail engineering of this expansion project have been awarded to Genivar
Groupe Conseils inc., Mana's original engineering, procurement and
construction management (EPCM) contractor.

    About SEMAFO

    Semafo is a Canadian-based mining company with gold production and
exploration activities in West Africa. The Company currently operates three
gold mines in Burkina Faso, Niger and Guinea. Semafo is committed to evolve in
a conscientious manner to become a major player in its geographical area of
interest, while maintaining principles and strengthening relationships to
increase shareholder value.


    This press release may contain forward-looking statements. These
forward-looking statements include, but are not limited to, statements
regarding expectations of the Company as to the market price of gold,
strategic plans, future commercial production, production targets, timetables,
mining operating expenses, capital expenditures, and mineral reserve and
resource estimates. Forward-looking statements involve known and unknown risks
and uncertainties and accordingly, actual results and future events could
differ materially from those anticipated in such statements. Factors that
could cause future results or events to differ materially from current
expectations expressed or implied by the forward-looking statements include,
but are not limited to, fluctuations in the market price of precious metals,
mining industry risks, uncertainty as to calculation of mineral reserves and
resources, risks related to hedging strategies, risks of delays in
construction, requirements of additional financing and other risks described
in the Company's documents filed from time to time with Canadian securities
regulatory authorities. Although the Company is of the opinion that these
forward-looking statements are based on reasonable assumptions, those
assumptions may prove to be incorrect. Accordingly, readers should not place
undue reliance on forward-looking statements. Readers can find further
information with respect to risks in the Annual Information Form of the
Company and other filings of the Company with Canadian securities regulatory
authorities available at www.sedar.com. The Company disclaims any obligation
to update or revise these forward-looking statements, except as required by
applicable law.

For further information:

For further information: SEMAFO: Benoit La Salle, President & CEO, (514)
744-4408, blasalle@semafo.com; Renmark Financial Communications Inc.: Maurice
Dagenais, mdagenais@renmarkfinancial.com; Jason Roy,
jroy@renmarkfinancial.com, (514) 939-3989, Fax: (514) 939-3717,

Organization Profile


More on this organization

Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890