Leagold Reports Q4 and Full Year 2017 Production at Los Filos in Line with Guidance
Vancouver, January 4, 2018 – Leagold Mining Corporation (TSX:LMC; OTCQX:LMCNF) (“Leagold” or “the Company”) announces 2017 gold production at the Los Filos mine in Mexico of 191,195 ounces (oz), achieving the mid-point of guidance of 185,000 to 200,000 oz. During 2017, the gold production rate steadily increased every quarter, with Q4 2017 production of 53,446 oz representing a 12% increase over Q3 2017. Gold sales in 2017 were 194,882 oz (see Table 1).
Since completion of the Los Filos acquisition on April 7, 2017, the mine has produced 145,192 oz of gold. Sales during the same period totalled 152,411 oz.
Leagold ended 2017 with a cash balance of US$54 million. Full financial results and additional operating details will be reported in early March.
Leagold CEO Neil Woodyer commented: “We are pleased to have delivered the mid-point of our 2017 production guidance range, which is the result of progressive operating improvements at Los Filos. We look forward to an exciting 2018 as we start to realize the full benefits of the operational improvements and continue to advance the Bermejal Underground project.”
Installation of the agglomerator to improve gold recoveries and extension of the conveyor to enhance ore delivery to the heap leach pad continued, with commencement anticipated in Q1.
In addition, the Bermejal Underground expansion project is proceeding, with the commencement of the exploration portal and ramp in September (see September 25, 2017 news release) and completion of the 56,000-metre drill program in December (see December 12, 2017 news release).
Table 1: Los Filos 2017 Gold Production and Sales
|Gold Production (oz)||Gold Sales (oz)|
|April 1 – April 7, 2017||2,118||0|
|Leagold Ownership (April 8 to June 30, 2017)*||43,980||54,010|
* Leagold acquired the Los Filos mine on April 7, 2017
Doug Reddy, P.Geo, Leagold’s Senior Vice President – Technical Services, is a Qualified Person under NI 43-101, and has reviewed and approved the technical contents of this news release on behalf of Leagold.
About Leagold Mining Corporation
Leagold is building a new mid-tier gold producer with a focus on opportunities in Latin America. Leagold is based in Vancouver, Canada and is listed on the TSX under the trading symbol “LMC” and trades on the OTCQX market as “LMCNF”. The 2017 acquisition of the Los Filos Mine, a low-cost gold producer in Mexico, provides an excellent platform for growth.
For more information on Leagold please visit the Company website at www.leagold.com or contact:
Meghan Brown, VP – Investor Relations
This news release contains "forward-looking statements" and “forward looking information” (as defined under applicable securities laws), including but not limited to plans for future development of the Los Filos mine. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "expects", "expected", "budgeted", "forecasts" and "anticipates". Forward-looking statements and information, while based on management's best estimates and assumptions, are subject to risks and uncertainties that may cause actual results to be materially different from those expressed or implied by such forward-looking statements, including but not limited to: risks related to the Los Filos mine, risks related to the successful integration of the acquisition; risks related to international operations; risks related to general economic conditions and credit availability, actual results of current exploration activities, unanticipated reclamation expenses; changes in project parameters as plans continue to be refined; fluctuations in prices of metals including gold; fluctuations in foreign currency exchange rates, increases in market prices of mining consumables, possible variations in ore reserves, grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes, title disputes, claims and limitations on insurance coverage and other risks of the mining industry; delays in the completion of development or construction activities, changes in national and local government regulation of mining operations, tax rules and regulations, and political and economic developments in countries in which Leagold operates. Although Leagold has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, 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. The forward-looking statements and forward-looking information are made as of the date hereof and Leagold disclaims any obligation to update any such factors or to publicly announce the result of any revisions to any of the forward-looking statements or forward-looking information contained herein to reflect future results. Accordingly, readers should not place undue reliance on forward-looking statements and information. Please refer to Leagold's most recent filings under its profile at www.sedar.com for further information respecting the risks affecting Leagold and its business.