Rusoro Mining

Published : August 25th, 2009

Q2 Record Production and Low Cash Costs

( 0 vote, 0/5 ) Print article
  Article Comments Comment this article Rating Follow Company  
0
Send
0
comment

                  RUSORO MINING LTD.

                                              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.com                email: info@rusoro.com

 

Rusoro Mining reports record production of 48,523 ounces of gold

      for Q2 2009 at record low cash cost of US$322 per ounce

 

                           Updates Status of Core Projects

 

August 25, 2009                                                                                 Trading Symbol (TSX-V): RML

 

Rusoro Mining Ltd. (?Rusoro? or the ?Company?), is pleased to report its financial results for the

three- month period ended June 30, 2009 (?Q2 2009?).  The Company?s Q2 2009 consolidated financial

statements and management?s discussion and analysis (MD&A) have been filed on SEDAR (www.sedar.com).

All amounts set out in this news release are unaudited and in United States Dollars unless otherwise stated.

 

Q2 2009 Highlights

 

?         Cash cost per ounce Au sold a record low of $322 per oz.

?         Record production of 48,523 ounces of gold.

?         Completed a positive Preliminary Assessment to evaluate the potential for gold production expansion

      of the Choco Mine operation to a production rate of over 500k oz Au/yr, which will source gold resources

      and reserves from the Choco Mine and the near-by Increible 6 gold deposit.

?         Continued optimization of operations at the Choco Mill with installation of a new kiln and carbon recovery

      system which has enhanced gold recoveries.

?         Drilling at Isidora continues to expand high grade gold zones for future development.

?         Advanced construction of the Alvarez underground ramp which will provide access to the main mineralized

      areas in the contiguous San Rafael and El Placer concessions (?SREP?).  Construction is on track towards the

      goal of intercepting the main mineralized zone in Q1 2010.          

?         Ended the quarter with $58.7 million in cash, cash equivalents and short-term investments.


Key Operating Statistics for Q2 2009 are as follows:

 

The data below is for 100% of the Choco Mine (open-pit mining operation) and 50% of the Isidora Mine

(underground mining operation).

 

                           

1)       As described in the Selected Quarterly Information section of the MD&A revenue in Q2 was negatively impacted by $1.4 million and mining

        operating expenses positively impacted by $0.6 million due to a change in the computation of the foreign currency conversion rate applied to

        revenue and mining operating expenses. Excluding the effect in revenue of the change in method mentioned above, the average realized gold

        price for the three months ended June 30, 2009 is $681 and the discount to average spot gold price is 26%.

2)       Total cash costs used in the calculation of cash costs per ounce is calculated as mining operating expenses from the consolidated statement of

        operations excluding accretion expense related to the asset retirement obligation and adjustment to foreign currency conversion rate.

3)       Cash costs per ounce sold is a non-GAAP measure. Total cash costs per ounce sold as shown above is calculated by dividing the total cash

        costs by the gold ounces sold during the period. Cash costs per ounce sold includes all expenditures incurred at the mine site such as mining,

        processing, administration, royalties and production taxes but excludes reclamation, capital and exploration expenditures and adjustment to foreign

        currency conversion rate.         

4)       Average realized gold price is impacted by a discount to spot price of gold as indicated in the Venezuelan Exchange Controls and Revenue and by

        the timing of gold sales. 

 

Choco Mine Q2

During Q2 2009, the Company?s 95%-owned Choco Mine produced 40,739 oz Au and had a cash cost per ounce sold

of $313 as compared to 25,062 oz Au and a cash cost of $652 per ounce sold, reported in Q2, 2008. Cash costs were

less than forecasted due mainly to lower overall costs and higher-grade (g/t) ore processed, as well as enhanced recoveries

due to the installation of a new kiln and carbon recovery system. The Company?s guidance for 2009 remains at 135,000

ounces of gold production at the Choco Mine operations, while the cash cost per ounce guidance for 2009 has been reduced

to $375 per oz Au from the originally forecast $420 per oz Au due to the aforementioned increase in efficiencies at the

mine and mill.

 

During Q2 2009 the Company completed a positive Preliminary Assessment (PA), completed by Micon International Limited,

to evaluate the viability of a major expansion at the Choco Mine and Choco Mine Mill and which will incorporate the nearby

Increible 6 gold deposit.  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 135,000 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.  The scoping study results were

reported in the news release dated May 19, 2009, which is available on SEDAR at www.sedar.com .

Isidora Mine Q2

During Q2 2009, the Company?s 50% owned Isidora Mine produced 7,784 oz Au (net to the Company) and had a cash cost

per ounce sold of $369. The Company continues to forecast 70,000 ounces of gold production at Isidora Mine for 2009

(35,000 net to the Company) with an adjusted cash cost guidance of $350 per oz Au, up from the originally forecast

$290 per oz Au due to an increase in the payroll costs at the mine site as a result of a new union agreement and increases in

social and community costs during the first half of the year.

 

Rusoro drilled 6,170m in 12 holes in Q1 2009 and the drilling was successful in confirming the continuity along strike and to

depth as well as expanding the main structures of the Isidora gold deposit.  Results received to date from the drilling completed

in Q1/Q2 2009 are reported in the table below. 

 

Hole-ID

From

To

Au (g/t)

TW (m)*

Hole-ID

From

To

Au (g/t)

TW (m)*

HCH248

505.55

507.65

4.78

1.54

HCH259

427.76

429.00

1.32

0.99

HCH249

544.70

547.25

9.09

1.93

HCH260

633.00

634.69

3.28

1.39

HCH250

474.82

476.15

7.91

1.09

HCH260

635.38

637.28

3.15

1.57

HCH251

504.25

506.32

3.35

1.68

HCH261

431.56

433.00

5.13

1.27

HCH252

525.30

526.37

2.50

0.84

HCH262

396.97

398.93

11.92

1.01

HCH252

606.00

607.10

2.94

0.79

HCH263

360.64

361.53

17.32

0.71

HCH253

408.02

409.54

16.80

1.20

HCH264

200.58

201.79

16.41

0.86

HCH253

480.54

481.24

15.31

0.52

HCH265

459.00

461.23

1.20

1.21

HCH253

488.12

488.85

3.00

0.54

HCH266

356.84

357.52

10.59

0.49

HCH254

477.22

477.92

3.39

0.56

HCH267

412.77

414.48

10.09

1.37

HCH254

481.66

482.68

3.62

0.83

HCH268

515.95

516.45

1.44

0.39

HCH254

502.29

503.00

4.26

0.52

HCH268

636.21

636.61

4.37

0.31

HCH255A

489.27

490.51

14.40

0.89

HCH269

 

 

 

 

HCH256

555.00

556.45

6.80

1.16

HCH270

394.74

396.20

3.07

1.11

HCH257

562.99

563.76

55.84

0.62

HCH271

403.56

405.48

5.56

1.57

HCH258

598.39

599.81

4.58

1.18

HCH272

231.20

233.94

10.34

2.68

HCH258

635.60

636.15

3.05

0.47

HCH272

236.75

238.24

7.79

1.46

Note: TW is True Width in metres.

 

The Company is on schedule with its exploration program at Isidora Mine designed to expand existing  resources to support

future gold production with 6,229 meters of drilling (12 holes) completed during Q2 2009, bringing the total in 2009 to over

12,000m.

 

Diamond drilling was conducted by Versacore and Perforaciones Tecnodrill of Puerto Ordaz, Venezuela.  All drilling and

drill sampling have been completed using industry standard practices.  All drill core is described in detail and photographed and

one-half of the core remains for inspection and reference.

 

Sample analyses have been conducted at SGS labs, Actlabs and Triad Labs located in El Dorado, Tumeremo and El Callao,

Venezuela.  All sample analyses were completed using industry standard fire assay practices.  A detailed program of quality

assurance / quality control (QA/QC) includes standard samples, blanks and duplicate check samples which are randomly inserted

into the sample stream.   Additionally check assays are completed on pulps and sample rejects at the primary lab as well as on

duplicate pulps at a second lab.   A review of the QA/QC results shows no significant bias and all results are considered

highly reliable.  Sample rejects for all drill samples are stored in Rusoro?s secure facilities in Tumeremo, Venezuela, and will

continue to be available for any further testing which may be required.  All QA/QC is completed under the direction of

G.F. Smith, P.Geo.

San Rafael/El Placer (SREP) Development Project Q2

During Q2 2009 great strides were made at the SREP with the initiation of a pre-feasibility study and in the advancement of the

Alverez Ramp to within 700m of the main mineralized zones at the project.  The Pre-feasibility study was 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. 

 

Qualified Person:  Mr. Gregory Smith, P.Geo, the Vice-President, Exploration of the Company, is the Qualified Person as defined

by National Instrument 43-101, and is responsible for the accuracy of the technical and scientific information within 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.?

 

 

<
Data and Statistics for these countries : Venezuela | All
Gold and Silver Prices for these countries : Venezuela | All

Rusoro Mining

PRODUCER
CODE : RML.V
ISIN : CA7822271028
CUSIP : 782227 10 2
Follow and Invest
Add to watch list Add to your portfolio Add or edit a note
Add Alert Add to Watchlists Add to Portfolio Add Note
ProfileMarket
Indicators
VALUE :
Projects & res.
Press
releases
Annual
report
RISK :
Asset profile
Contact Cpy

Rusoro Mining is a gold producing company based in Canada.

Its main assets in production are LA CAMORRA MILL, CHOCO 10 MINE and BLOCK B (ISIDORA ET AL) in Venezuela, its main assets in development are ISIDORA, SAN RAFAEL/EL PLACER and INCREDIBLE 6 in Venezuela and its main exploration properties are TRINIDAD, YURUAN, TWIN SHEAR, EMILIA MILL, CEIBA and VALLE HONDO in Venezuela.

Rusoro Mining is listed in Canada, in Germany and in United States of America. Its market capitalisation is CA$ 40.9 millions as of today (US$ 32.7 millions, € 28.6 millions).

Its stock quote reached its highest recent level on December 01, 2006 at CA$ 4.19, and its lowest recent point on November 28, 2014 at CA$ 0.01.

Rusoro Mining has 544 770 048 shares outstanding.

Your feedback is appreciated, please leave a comment or rate this article.
Rate : Average note :0 (0 vote) View Top rated
 
In the News and Medias of Rusoro Mining
1/9/2009featured in National Post and Reuters articles
6/27/2000Hecla's La Camorra Mine Producing At Record Rates
Nominations of Rusoro Mining
5/15/2008Appointments
1/8/2008Appoints new COO
9/27/2007Appoints Omar Salas as CFO
9/4/2007Appoints George Salamis as President
Financials of Rusoro Mining
6/30/2011Reports Q1 2011 Financial Results
8/29/2008Reports Q2 2008 Financial Results
Project news of Rusoro Mining
7/6/2010(Choco 10 Mine)Announces Updated Resource Estimate for the Choco 10 Deposit...
7/20/2009(Choco 10 Mine)Rusoro Mining Initiates Major Engineering Studies
1/14/2009(Choco 10 Mine)Reports Record Gold Production and Record Low Cash Costs fo...
12/19/2008(Choco 10 Mine)Reports Record Gold Production and Record Low Cash Costs at ...
9/6/2008(Isidora)Completes Landmark Agreements with Venezuelan Government to ...
8/7/2008(Isidora) Report Filed for Isidora and Twin Shear Projects Acquired F...
5/9/2008(Choco 10 Mine)Scoping/Feasibility Studies Awarded
1/23/2008Choco 10 Production/Permitting Update
12/10/2007(Choco 10 Mine)News Release - Choco 10 update
11/29/2007UPDATED 43-101 ACCEPTED FOR FILING RUSORO DRILLS 21m of 8.44...
11/21/2007(Choco 10 Mine)2007 Technical report
6/11/2007Intersects 37m of 9.34g/t Au and 21m of 4.72g/t Au in Separ...
5/23/2007Numerous High Grade Intercepts
4/30/2007In-Fill Diamond Drilling Confirms Continuity of High Grade G...
Corporate news of Rusoro Mining
6/25/2015Rusoro Provides Update On Status Of International Arbitratio...
1/23/2014Adopts Advance Notice Policy
1/23/2014Adopts Advance Notice Policy
9/22/2011NR - Gold Law Update
6/16/2011NR
6/14/2011Reports on its Loan Repayment Status
6/22/2010Makes Second Payment of Restructured Secured Exchangeable Lo...
6/11/2010Loan Restructuring Closes
4/15/2010SREP Results
1/12/2010Positive Change in Exchange Rate Policy
11/19/2009Purchases Portion of loan
9/25/2009Aims to be Producing 540,000 Ounces of Gold Per Year By 2012
8/25/2009Q2 Record Production and Low Cash Costs
7/20/2009Initiates Major Engineering Studies at Choco 10 and San Rafa...
6/2/2009reports net income of $0.5 million for Q1 2009 and record pr...
6/1/2009Reports Positive Q1 and Record Production
5/19/2009Preliminary Assessment for Choco 10 Expansion
5/19/2009Reinhard Updates Rusoro Mining
5/19/2009Preliminary Assessment: Production Expansion of Choco 10
3/2/2009Midas Letter interviews Rusoro President George Salamis
2/25/2009Winston highlights Rusoro's rapid growth and low cash costs
2/24/2009Reports Record Gold Production and Cash Costs for January 20...
2/10/2009Withdraws Offer for Gold ReserveThread-Topic: Rusoro Withdra...
2/9/2009OSC SETS HEARING DATE TO CONSIDER CEASE TRADE OF GOLD RESERV...
1/28/2009insiders buying, growing production & positive cash flow
2/2/2009 Applies to Terminate GRZ Poison PillThread-Topic: Ruoro NR ...
1/21/2009featured in 'Business in Vancouver' magazine
1/20/2009Extends Expiry Date of Gold Reserve takeover BidThread-Topic...
1/14/2009Record Production/Cash Costs Q4 2008Thread-Topic: Rusoro NR ...
1/15/2009Reuters covers Rusoro Mining
1/13/2009Blogger interviews George Salamis, President of Rusoro Minin...
1/9/2009Reinhard reviews Rusoro’s takeover bid for Gold Reserve
1/5/2009Responds to Gold Reserve's Directors' Circular.Thread-Topic:...
1/5/2009Responds to Gold Reserve=E2??s Directors=E2?? Circular and O...
12/30/2008Entrenched Gold Reserve Management Continues to Attempt to D...
12/22/2008Mails Bid Documents to Gold Reserve Shareholders; Amends Fil...
12/19/2008Two Rusoro Mining clips from today's BNN Commodities Report
12/19/2008to Defend Against GRZ Attempt to Disenfranchise Own Sharehol...
12/19/2008TO DEFEND AGAINST GOLD RESERVE?S ATTEMPTS TO DISENFRANCHISE ...
12/15/2008LAUNCHES TAKE-OVER BID FOR GOLD RESERVEThread-Topic: RUSORO ...
12/17/2008The Offer From Rusoro Could Be The Best Christmas Present Sh...
12/16/2008FULLY COMMITTED TO BID FOR GOLD RESERVEThread-Topic: RUSORO ...
11/3/2008Expands Resources and Increases Grade at SREPThread-Topic: R...
9/16/2008? Annual General Meeting Results
9/9/2008advances in Venezuela says MineWeb.com
9/5/2008Signs Landmark Agreements with GovernmentThread-Topic: Rusor...
8/28/2008Responds to Gold Reserve News Release
7/10/2008Partners With Venezuelan Govt. - Hecla Assets Acquisition Cl...
7/9/2008drills 39.1 g/t Au over 5.7 m at Yuruan projectThread-Topic:...
6/20/2008NR - Hecla Venezuelan Assets AcquisitionThread-Topic: Rusoro...
5/1/2008CONFIRMS GOOD STANDING WITH GOVERNMENT AGENCIES IN VENEZUELA
4/23/2008Positive Meetings With Mines Minister
12/3/2007Choco 10 Acquisition Closes
11/26/2007 Drilling Starts at Valle Hondo
11/15/2007DRILLS 37m of 9.34g/t Au AT INCREIBLE 6 ALL MAIN GOLD ZONES ...
10/12/2007RAISES $210 MILLION FOR ACQUISITION OF GOLD FIELDS VENEZUELA...
10/12/2007to Acquire Gold Fields’ Venezuelan Assets to become Immediat...
9/11/2007Management Additions at AGM
4/19/2007Positive Results Continue at Increible 6 Gold Project, Boliv...
3/22/2007News reslease
Comments closed
 
Latest comment posted for this article
Be the first to comment
Add your comment
TSX-V (RML.V)FRANKFURT (PKJ2.F)
0.075+0.00%0.051+0.00%
TSX-V
CA$ 0.075
08/05 11:48 -
0%
Prev close Open
0.075 0.075
Low High
0.075 0.075
Year l/h YTD var.
0.040 -  0.090 66.67%
52 week l/h 52 week var.
0.040 -  0.090 50.00%
Volume 1 month var.
70,000 -%
24hGold TrendPower© : -38
Produces Gold
Develops Gold
Explores for Gold
 
 
 
Analyse
Interactive chart Add to compare
Interactive
chart
Print Compare Export
Last updated on : 3/18/2010
You must be logged in to use the porfolio and watchlists (free)
Top Newsreleases
MOST READ
Annual variation
DateVariationHighLow
202236.36%
202157.14%0.140.04
2020-41.67%0.080.03
2019-53.85%0.160.04
201885.71%0.420.07
 
5 years chart
 
3 months chart
 
3 months volume chart
 
 
Mining Company News
Plymouth Minerals LTDPLH.AX
Plymouth Minerals Intersects Further High Grade Potash in Drilling at Banio Potash Project - Plannin
AU$ 0.12-8.00%Trend Power :
Santos(Ngas-Oil)STO.AX
announces expected non-cash impairment
AU$ 7.02+1.08%Trend Power :
Oceana Gold(Au)OGC.AX
RELEASES NEW TECHNICAL REPORT FOR THE HAILE GOLD MINE
AU$ 2.62+0.96%Trend Power :
Western Areas NL(Au-Ni-Pl)WSA.AX
Advance Notice - Full Year Results Conference Call
AU$ 3.86+0.00%Trend Power :
Canadian Zinc(Ag-Au-Cu)CZN.TO
Reports Financial Results for Q2 and Provides Project Updates
CA$ 0.12+4.55%Trend Power :
Stornoway Diamond(Gems-Au-Ur)SWY.TO
Second Quarter Results
CA$ 0.02+100.00%Trend Power :
McEwen Mining(Cu-Le-Zn)MUX
TO ACQUIRE BLACK FOX FROM PRIMERO=C2=A0
US$ 3.49-1.41%Trend Power :
Rentech(Coal-Ngas)RTK
Rentech Announces Results for Second Quarter 2017
US$ 0.20-12.28%Trend Power :
KEFIKEFI.L
Reduced Funding Requirement
GBX 0.59+1.74%Trend Power :
Lupaka Gold Corp.LPK.V
Lupaka Gold Receives First Tranche Under Amended Invicta Financing Agreement
CA$ 0.02-25.00%Trend Power :
Imperial(Ag-Au-Cu)III.TO
Closes Bridge Loan Financing
CA$ 2.79-0.36%Trend Power :
Guyana Goldfields(Cu-Zn-Pa)GUY.TO
Reports Second Quarter 2017 Results and Maintains Production Guidance
CA$ 1.84+0.00%Trend Power :
Lundin Mining(Ag-Au-Cu)LUN.TO
d Share Capital and Voting Rights for Lundin Mining
CA$ 6.85+0.44%Trend Power :
Canarc Res.(Au)CCM.TO
Canarc Reports High Grade Gold in Surface Rock Samples at Fondaway Canyon, Nevada
CA$ 0.30+1.72%Trend Power :
Havilah(Cu-Le-Zn)HAV.AX
Q A April 2017 Quarterly Report
AU$ 0.28+5.66%Trend Power :
Uranium Res.(Ur)URRE
Commences Lithium Exploration Drilling at the Columbus Basin Project
US$ 6.80-2.86%Trend Power :
Platinum Group Metals(Au-Cu-Gems)PTM.TO
Platinum Group Metals Ltd. Operational and Strategic Process ...
CA$ 2.11+0.48%Trend Power :
Devon Energy(Ngas-Oil)DVN
Announces $340 Million of Non-Core Asset Sales
US$ 56.65+3.96%Trend Power :
Precision Drilling(Oil)PD-UN.TO
Announces 2017Second Quarter Financial Results
CA$ 8.66-0.35%Trend Power :
Terramin(Ag-Au-Cu)TZN.AX
2nd Quarter Report
AU$ 0.03+0.00%Trend Power :