RED
BACK ACHIEVES RECORD PRODUCTION IN Q4 2008 AT $393 PER OZ CASH OPERATING COSTS
February
9, 2009 (RBI - TSX)
? Red Back Mining Inc. (the ?Company? or
?Red Back?) is pleased to report its preliminary financial results for the
fourth quarter ended December 31,
2008. The Company expects to report its 2008 annual consolidated results on
March 2, 2009. Dial in numbers are
detailed below for a conference call to discuss the results which will be held
at 11 am Eastern Standard Time on March 3,
2009.
Highlights
for the Fourth Quarter
?
Record gold production of 72,664
oz (Tasiast: 41,318 oz and Chirano: 31,346
oz)
?
Cash operating costs of $393 per oz (Tasiast: $319 per oz
and Chirano: $497 per oz)
?
Average realized gold price of $786 per oz (year-to-date:
$866 per oz)
?
Akwaaba Deeps underground development delivers first ore
to the mill
?
First
ore placed on dump leach pads at Tasiast
?
Closed
Cdn $60 Million equity financing
Tasiast
Gold Project, Mauritania
In the fourth quarter,
Tasiast achieved record production of 41,318
oz at a cash operating cost of $319 per ounce (year-to-date,
140,054 oz at $384 per ounce).
Operating costs were lower than forecast due to increased production and lower
mining costs. Red Back estimates Tasiast 2009 cash operating costs to
average $320 per oz based on forecast production of 230,000
oz.
The
expansion of the Tasiast processing facility remains on schedule and on budget.
Commissioning of this facility will commence in April,
2009.
Development
of the new dump leach operation at Tasiast is ongoing and is estimated to
contribute approximately 30,000 oz to
total production in 2009.
Chirano Gold Project,
Ghana
In the fourth quarter,
Chirano produced 31,346 oz at a cash
operating cost of $497 per ounce (year-to-date,
120,793 oz at $478 per ounce).
Cash operating costs are expected to remain at these levels until completion of
the new crushing facility and plant expansion,
which remain on schedule and on budget for commissioning in Q1 and Q3 2009
respectively. Red Back estimates Chirano?s 2009 cash operating costs to average
$480 per oz based on forecast production of 170,000
oz.
The development of the Akwaaba Deeps decline has now
progressed to 605 metres and is on schedule and on budget.
Conference Call dial in details
To participate in the conference call,
please dial the following numbers approximately 10 minutes before the start of
the call:
March 3,
2009
11:00 a.m. EST
Ph. 1-416-644-3420 or
Toll-Free in the U.S.
and Canada:
Ph. 1-800-814-4862
A replay will be
available starting approximately two hours after the conclusion of the
conference call until midnight on March 10,
2009.
Ph. 416-640-1917 or
Toll-Free in the U.S. and Canada:
Ph. 877-289-8525 Passcode: 21297644#
About
Red Back
Red Back Mining Inc. is an unhedged African focused
gold producer. It owns and operates the Chirano Gold Mine in Ghana
(90% interest) and the Tasiast Gold Mine in Mauritania
(100% owned). Major plant expansions at both Chirano and Tasiast are underway.
Aggressive exploration programs aimed at increasing the Company?s resource and
reserve base at both Chirano and Tasiast is continuing.
This
News Release contains forward looking statements which are subject to a variety
of risks and uncertainties which could cause actual events or results to differ
materially from those reflected in the forward looking statements. The Company
does not intend to update this information and disclaims any legal liability to
the contrary.
On
behalf of the Board of Directors,
Richard P. Clark, President
For
further information, please contact Simon
Jackson, VP-Corporate
Development or Sophia Shane,
Investor Relations at 604-689-7842