South American Gold and Copper Company Limited Reports 1st Quarter Results


    TORONTO, Feb. 12 /CNW/ - South American Gold and Copper Company Limited
(the "Company") (TSX: SAG) reported its first quarter ended December 31, 2008
financial results.
    Revenues from its 100% owned Pimenton mine were as follows: Gold sales
were US $1,665,000 and copper and silver sales amounted to US $159,000 or a
total of US $1,824,000. Gold ounces delivered to the ENAMI smelter, located in
Ventanas, Chile, during the period ended December 31, 2008 amounted to 2,332
ounces. Cash operating costs for the period were US $1,073,000 giving a cash
cost per ounce of gold of US $392 after copper and silver credits. Actual gold
ounces produced during the period are estimated at 3,000 ounces.
    Total expenses for the period were US $2,187,000 including depreciation
and amortization of US $322,000 and stock based compensation of US $51,000 or
a net cash expense for the period of US $1,814,000 before other cash income
amounting to a negative US $4,000. This amounts to the Company's first quarter
of commercial production at the Pimenton mine as being cash positive on a cash
    The Company reports only gold, copper and silver revenues which have been
paid for during the period, it does not take into account the ounces actually
produced and pending payment during the period. Gold ounces paid for during
the period ending December 31, 2008 amounted to 2,332 ounces. Actual
production of gold ounces during the period amounted to approximately 3,000
ounces of gold. Final settlement of the sales values is not available for 10
to 12 weeks after the delivery of the ounces to the smelter. In addition, the
smelter does not accept delivery of gold, copper and silver concentrates
during the last five business days of each month.

    South American Gold and Copper Company Limited is a minerals producing,
exploration and development company with properties and activities currently
focused in Chile.

    "Cautionary Statement Regarding Forward-Looking Information. Except for
statements of historical fact, all statements and information in this press
release, including without limitation, statements and information regarding
the Pimenton gold mine, forecasted production, future plans, financing
requirements, objectives and results constitute forward-looking information
within the meaning of applicable Canadian securities legislation, which
involve risks, uncertainties and assumptions, many of which are beyond our
control. All such forward-looking information is based on certain assumptions
and analyses made by us in light of our experience and perception of
historical trends, current conditions and expected future developments, as
well as other factors we believe are appropriate in the circumstances. Actual
results, performance or achievements could differ materially from those
expressed in, or implied by, such forward looking information and,
accordingly, no assurance can be given that any of the events anticipated by
the forward-looking information will transpire or occur, or if any of them do
so, what benefits will be derived there from. Except as required by law, South
American Gold and Copper Company Limited and its subsidiaries, expressly
disclaim any intention or obligation to update or revise any forward-looking
information, whether as a result of new information, future events or

For further information:

For further information: Stephen W. Houghton, CEO, E-Mail:, Telephone: 56-2-264-2295, Website:

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