11 December 2008
Sino Gold Limited (ASX:SGX, SEHK:1862) is pleased to provide initial production guidance for the 2009 calendar year as well as an update on the Companys Jinfeng and White Mountain Gold Mines.
Following completion of the annual budgeting and planning process, the combined 2009 gold production for Jinfeng and White Mountain is planned to be in the range of 210,000 to 230,000 ounces of gold at a cash operating cost of less than US$400/ounce, a substantial increase in gold production over 2008.
The Companys flagship Jinfeng operation continues to perform well and is on-track to meet production guidance of 45,000 ounces for the December 2008 quarter, bringing total 2008 gold production to approximately 150,000 ounces of gold.
Jinfengs year-to-date gold production is as follows:
|
Gold Production (ounces) |
Cash Operating Cost (US$/ounce) |
Nine months to September 2008 |
104,638 |
411 |
October 2008 |
15,232 |
372 |
November 2008 |
15,443 |
369 |
White Mountain continues to be on-track for commercial gold production in early 2009. All areas of the project have now been operated in parallel for short periods and production is planned to ramp-up over the course of 2009.
Further information on the progress of Sino Golds projects will be in the December 2008 Quarterly Report, which is currently scheduled to be released on 29 January 2009.
About Sino Gold
Sino Gold is the leading international gold exploration and mining company in China.
The 82%-owned Jinfeng Gold Mine in southern Chinas Guizhou Province has Ore Reserves containing 3.5 million ounces at an average grade of 5.2g/t gold.
Jinfeng is now the second largest gold mine in China with estimated 2008 gold production of approximately 150,000 ounces. Jinfengs gold production is planned to increase as the processing plant is de-bottlenecked and as higher-grade ore from the underground mine increasingly supplements ore from the open pit.
The 95%-owned White Mountain Gold Mine in northeast Chinas Jilin Province has Ore Reserves containing 0.8 million ounces at an average grade of 3.8g/t gold.
White Mountain is planned to commence commercial gold production in early 2009. Upon reaching design production rates, White Mountain will produce an average of 65,000 ounces of gold annually.
Feasibility studies are progressing at both of the Companys Beyinhar and Eastern Dragon projects in northern China.
Sino Gold is listed on the Australian Stock Exchange (ASX Code:SGX) and The Stock Exchange of Hong Kong (SEHK Code:1862).
For further information regarding Sino Gold please contact:
Investor Enquiries: Jake Klein, CEO or Roger Howe, Investor Relations
+61 2 8259 7000, info@sinogold.com.au
Media Enquiries:Kate Kerrison
+61 2 6746 3221, kate@katekerrison.com.au
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