Alamos Gold Inc.
120 Adelaide Street West, Suite 2010
Toronto, Ontario M5H 1T1
Telephone: 416-368-9932
or 1-866-788-8801
FOR IMMEDIATE RELEASE
Wednesday, July 9, 2008
Alamos
Gold Inc. Reports Record Quarterly Gold Production and Sales; Announces
Appointment of VP Finance
Toronto, Ontario ? Alamos Gold Inc. (TSX: AGI) (?Alamos? or the ?Company?) reports
continued record quarterly results from its Mulatos mine in Mexico. In
addition, the Company is pleased to announce the promotion and appointment of
James R. Porter to the role of Vice-President of Finance.
Q2-08
Production and Sales Update
The
following table presents the Company?s gold production and sales in the second
quarter of 2008 compared to the first quarter of 2008. All dollar amounts are
expressed in Unites States currency.
|
Q2
2008 (1)
|
Q1
2008
|
%
Change
|
Gold production (ounces) (2)
|
38,500
|
33,253
|
16%
|
Gold sales (ounces)
|
35,482
|
34,609
|
3%
|
Revenues (000)
|
$32,337
|
$31,030
|
4%
|
Realized gold price per ounce
|
$911
|
$897
|
2%
|
(1)
All amounts for Q2-2008 are
preliminary based on initial period-end estimates - final adjustments may be
required.
(2)
Before final refinery settlements
which may result in increases or decreases to reported gold production.
Gold
production in the second quarter of 2008 was a record at 38,500 ounces, an
increase of 16% over gold production in the first quarter of 2008, and 10%
higher than the Company?s guidance of 35,000 ounces for the quarter.
Record gold sales for the quarter totaled 35,482
ounces at an average realized gold price of $911 per ounce resulting in
quarterly revenue of $32.3 million.
Cash operating cost per ounce (exclusive of royalties
which vary with changes in the gold price) for the second quarter of 2008 are
expected to be below the Company?s previous guidance of $385 per ounce.
Appointment of
Vice-President of Finance
The Company is
pleased to announce the promotion and appointment of James R. Porter, CA, CPA
to the role of Vice-President of Finance effective July 1, 2008.
Mr. Porter has
been with the Company for nearly three years, joining Alamos in 2005 as
Controller. Mr. Porter previously served for two years as Controller and
Corporate Secretary of another publicly-listed gold producing company, prior to
which he spent four years at PricewaterhouseCoopers LLP. His responsibilities
there included managing the audits of multinational public companies, including
both large international and junior mining companies.
Mr. Porter
holds a Bachelor of Administrative and Commercial Studies Degree from the
University of Western Ontario, and is a Chartered Accountant in Ontario and a
U.S. Certified Public Accountant.
About Alamos
Alamos is a
Canadian-based gold producer with operations, exploration and development
activities in Mexico. The Company employs approximately 400 people in Mexico
and is committed to the highest standards of environmental management, social
responsibility, and health and safety for its employees and neighbouring
communities. Alamos is fully leveraged to increases in gold prices. Alamos?
common shares are traded on the Toronto Stock Exchange under the symbol ?AGI?.
FOR FURTHER INFORMATION,
PLEASE CONTACT:
John A.
McCluskey
President and
Chief Executive Officer
Tel: 416-368-9932
The TSX has not reviewed and does not accept responsibility for
the adequacy or accuracy of this release.
Cautionary Non-GAAP Statements
The Company believes that
investors use certain indicators to assess gold mining companies. They are
intended to provide additional information and should not be considered in
isolation or as a substitute for measures of performance prepared with GAAP.
?Cash operating cost per ounce? is a non-GAAP term typically used by gold
mining companies to assess the level of gross margin available to the Company
by subtracting these costs from the unit price realized during the period. This
non-GAAP term is also used to assess the ability of a mining company to
generate cash flow from operations. There may be some variation in the method
of computation of ?cash operating cost per ounce? as determined by the Company
compared with other mining companies. In this context, ?cash operating cost per
ounce? reflects the cash operating costs allocated from in-process and dore
inventory associated with ounces of gold sold in the period. ?Cash operating
cost per ounce? may vary from one period to another due to operating
efficiencies, waste-to-ore ratios, grade of ore processed and gold recovery
rates in the period.
Cautionary Note
No stock exchange, securities commission or other regulatory
authority has approved or disapproved the information contained herein. This
news release includes certain ?forward-looking statements?. All statements
other than statements of historical fact included in this release, including
without limitation statements regarding gold production, gold sales, cash
operating cost per ounce, and future plans and objectives of Alamos, are
forward-looking statements that involve various risks and uncertainties. These
forward-looking statements include, but are not limited to, statements with
respect to anticipated production and sales statistics (including ?Gold
production (ounces)?, ?Gold sales (ounces)?, ?Revenues? and ?Realized gold
price per ounce?) which may be subject to audit or final revision, estimates of
costs of production and operating margins (including ?Cash operating cost per
ounce?), mining and processing of ore, projected recovery rates, anticipated
future production rates and mine life, operating efficiencies, costs and
expenditures, changes in mineral resources and conversion of mineral resources
to proven and probable reserves, and other information that is based on
forecasts of future operational or financial results, estimates of amounts not
yet determinable and assumptions of management. These statements may be subject
to change, and any changes could be material.
Any statements that express or involve discussions with respect to
predictions, expectations, beliefs, plans, projections, objectives, assumptions
or future events or performance (often, but not always, using words or phrases
such as "expects" or "does not expect", "is
expected", "anticipates" or "does not anticipate",
"plans", "estimates" or "intends", or stating
that certain actions, events or results "may", "could",
"would", "might" or "will" be taken, occur or be
achieved) are not statements of historical fact and may be
"forward-looking statements." Forward-looking statements are
subject to a variety of risks and uncertainties which could cause actual events
or results to differ from those reflected in the forward-looking statements.
There can be no assurance that forward-looking statements will
prove to be accurate and actual results and future events could differ
materially from those anticipated in such statements. Important factors that
could cause actual results to differ materially from Alamos? expectations
include, among others, risks related to international operations, the actual
results of current exploration activities, conclusions of economic evaluations
and changes in project parameters as plans continue to be refined as well as
future prices of gold and silver, as well as those factors discussed in the
section entitled ?Risk Factors? in Alamos? Annual Information Form. Although
Alamos has attempted to identify important factors that could cause actual
results to differ materially, there may be other factors that cause results not
to be as anticipated, estimated or intended. There can be no assurance that
such 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.
.