Mandalay Resources Corporation Ships First Commercial Silver-Gold Concentrate from its Cerro Bayo Mine, Chile
TORONTO, Feb. 14 /CNW/ - Mandalay Resources Corporation ("Mandalay" or the "Company") (TSX: MND, MND.WT) is pleased to announce that it has commenced commercial production at its wholly owned Cerro Bayo silver-gold mine in Patagonia, Chile, on February 11, 2011, with the shipment of its first concentrate. The commencement of commercial production is an important milestone for the Company, which acquired the mine on care and maintenance from Coeur d'Alene Mines on August 10, 2010; began underground mining on September 16, 2010; and began processing ore through the restarted mill on January 10, 2011. The first concentrate shipment, to a smelter in Japan, consists of 327 tonnes of concentrate containing approximately 215 ounces of payable gold and 68,000 ounces of payable silver. The Company is ramping up production at Cerro Bayo to a planned steady state of production by the 4th quarter of 2011 of 1,500 to 2,000 ounces of payable gold and 250,000 to 300,000 ounces of payable silver per month.
Qualified Person:
Mark Sander, Chief Operating Officer of Mandalay Resources and a member of the Australasian Institute of Mining and Metallurgy, is a Qualified Person as defined by NI 43-101 and has reviewed and approved the technical and scientific information pertaining to the Cerro Bayo mine contained in this release.
About Mandalay Resources Corporation:
Mandalay Resources is a Canadian-based natural resource company with producing assets in Australia and exploration projects in Chile. The Company is focused on executing a roll-up strategy, creating critical mass by aggregating advanced or in-production gold, copper, silver and antimony projects in Australia and the Americas to generate near-term cash flow and shareholder value.
Forward-Looking Statements:
This news release contains "forward-looking statements" within the meaning of applicable securities laws. Readers are cautioned not to place undue reliance on forward-looking statements. Actual results and developments may differ materially from those contemplated by these statements depending on, among other things, changes in commodity prices and general market and economic conditions. The factors identified above are not intended to represent a complete list of the factors that could affect Mandalay. In addition, there can be no assurance that any inferred resources that are discovered as a result of additional drilling will ever be upgraded to proven or probable reserves. Although Mandalay has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
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