Suite 2164 - 1055 Dunsmuir Street, Four Bentall Centre Vancouver, BC V7X 1B1 Tel: 604-632-4044 Fax: 604-632-4045 Toll Free 1 800-668-0091 Website: www.rusoro.comemail: info@rusoro.com
Rusoro Mining Initiates Major Engineering Studies at Choco 10 and San Rafael/El Placer (SREP)
July 20, 2009
Trading Symbol (TSX-V): RML
Rusoro Mining Ltd., is pleased to report that it has initiated a feasibility study for a major expansion at its Choco 10 operations and near-by Increible 6 gold deposit and a pre-feasibility study at its SREP gold deposit both of which are located in the Bolivar State region in south eastern Venezuela. Both studies are expected to be completed in the first half of 2010.
At Choco 10, the feasibility study comes on the heels of a positive Preliminary Assessment (PA), completed by Micon International Limited. The PA is detailed in a report dated June 2, 2009 and titled "Technical Report on the Preliminary Assessment of the Expansion of Production at Choco 10, Bolivar State, Venezuela". The PA outlined favourable economics for a significant expansion from 170,000 oz Au/yr (2009 guidance) to over 500,000 oz Au/yr at cash cost of US$331/oz Au over the life of mine (LOM). Micon International Limited will continue on as the Company's engineering consultants on the project and will be responsible for overseeing the feasibility study through to its completion.
At the San Rafael-El Placer Project (SREP) the Pre-feasibility study has been awarded to Whillans Mine Studies Ltd. The engineering consulting firm has previously advised the company concerning the development of the Alvarez Ramp which is currently under construction to access the main mineralized zones at SREP. Based on the amount of data already compiled and the engineers intimate and ongoing knowledge of the project the Company expects that the study can be completed in early 2010. The SREP Project currently has National Instrument 43-101 ("NI 43-101") compliant resources of 399,000 oz Au indicated (639,000t @ 19.41g/t) and 523,500 oz Au Inferred (703,000t @ 23.16g/t) as detailed in a report titled "Technical Report on the San Rafael-El Placer and Days Vein Deposits, Bolivar State, Venezuela" dated October 2, 2008.
George Salamis, President of Rusoro Mining, commented: "Completion of these studies will be a strategic milestone in unlocking further value for the Company and its shareholders at three of our key gold projects in Venezuela. With the recent release of highly positive results from the scoping work conducted on the Choco 10 and Increible 6 the commencement of a feasibility study is warranted and will highlight, on a definitive basis, the immense expansion capacity of the active gold mining operation well beyond their current rate of production. At SREP, the on-going construction and completion of the ramp will provide valuable data to the pre-feasibility study, supporting management's strong belief that the deposit's high-grade vein systems, subject to further studies, can be developed into a successful gold producing operation."
Operational Update
The company is pleased to report that operations continue to perform at or ahead of expectations. The unaudited data for cash costs and gold production continue to fall well within the guidance for 2009 and a full accounting of the audited operational numbers will be reported with the Q2 financials which will be reported by August 31st, 2009.
About Rusoro Mining
Rusoro is a junior gold producer with a large land position in the prolific Bolivar State region of Venezuela. The Company operates the Choco 10 and Isidora Mines, processing the ore through the Choco 10 mill facility near the town of El Callao. The Company produced 100,000 oz Au in 2008 and is on target to reach its production guidance of 170,000 oz Au in 2009, as it continues to advance two additional projects (Increible 6 and SREP), toward inclusion in the Company's production profile.
Mr. Gregory Smith, P. Geo., the Vice-President Exploration of Rusoro, is a qualified person as defined by NI 43-101 and is responsible for the scientific and technical aspects of this news release.
ON BEHALF OF THE BOARD
"George Salamis"
George Salamis, President
Forward-looking statements: This document contains statements about expected or anticipated future events and financial results that are forward-looking in nature and as a result, are subject to certain risks and uncertainties, such as general economic, market and business conditions, the regulatory process and actions, technical issues, new legislation, competitive and general economic factors and conditions, the uncertainties resulting from potential delays or changes in plans, the occurrence of unexpected events, and the Company's capability to execute and implement its future plans. Actual results may differ materially from those projected by management. For such statements, we claim the safe harbour for forward-looking statements within the meaning of the Private Securities Legislation Reform Act of 1995.
"The TSX Venture Exchange has not reviewed and does not take responsibility for the adequacy or accuracy of this release."
For more information please contact:
Keith Schaefer
Vanguard Shareholder Solution
Tel: 604 608 0824
Toll Free: 1 866 898 0825
www.rusoro.com
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