-- Posted Tuesday, 16 February 2010 | Digg This Article
| | Source: GoldSeek.com
VANCOUVER, BRITISH COLUMBIA--(Marketwire - 02/16/10) - Timmins Gold Corp. ("Timmins Gold") (TSX-V:TMM - News) is pleased to provide an update on operations at its wholly owned San Francisco open pit gold mine located in northern Sonora, Mexico.
The ramp-up to full production is proceeding as planned. All mining equipment including two Komatsu shovels, one Caterpillar loader, and eleven 100 ton caterpillar trucks is on site for full scale open pit extraction of material, including ore and waste, at an average rate of 40,000 metric tonnes per day.
Timmins Gold has been prestripping waste from the surface area and crushing ore when available during the ramp-up period. Prestripping is 64% complete and is scheduled for completion for the end of March with full commercial production ramping up until May, at which time production is scheduled to reach 12,000 tonnes of ore per day to the heap leach pads.
Approximately 477,229 tonnes of ore at an average grade of 0.64 g/t gold which are part of the prestrip have been placed on the heap leach pads as at January 31, 2010. 3,662 ounces of gold and 1,951 ounces of silver have been poured and sold. Projected gold production figures for calendar 2010 are summarized in the following table:
The crushing system is fully operational and is being optimized to achieve a rate in excess of 12,000 tonnes per day. The crush size of the ore being stacked on the heap leach pads is 100% less than 1/2 inch, which is the size required for maximum recoveries. The current recoveries are projected at 70%. Year end inventory has been calculated using a 45 day leach cycle.
Leach extraction is proceeding with no visible pooling or channeling. Initial indications are that metallurgical recoveries to date will reach the projected recoveries of 70%. An update on leach extraction and metallurgical recoveries will be available once steady state conditions have been reached.
EXPLORATION
On the exploration front, Timmins Gold is continuing with an ongoing drill program designed to extend the San Francisco pit. Three reverse circulation drills have been operational since December 2009, and a further 6,746 meters of drill results for the period from December 2009 through January 31, 2010 have been sent for assay. Assay results are expected shortly. The results from the current 6,746 meters will be combined with the 6,515 meters of drilling reported in December 2009 and used to produce a revised resource estimate which is expected by early April. The updated resource estimate will also be used to produce a new mine plan. Drill results to date indicate that the zone of mineralization extends to the West, Northwest and Southeast of the currently defined resource and remains open along strike in each direction and at depth.
While final budgets for drilling and exploration have not yet been finalized for 2010, it is anticipated that the next phase of drilling will be comprised of a minimum of 50,000 meters of reverse circulation drilling designed to further extend the San Francisco open pit mine along strike to the West, Northwest and Southeast.
Regional exploration on the Company's 70,000 hectare land package in and around the San Francisco mine is also being budgeted.
Exploration programs are currently being prepared for the 45,000 hectare Tim claims which are contiguous to Goldcorp's Penasquito gold mine in Zacatecas. Programs are also being prepared for the Cocula and Tequila claims.
This News Release contains forward-looking statements. Forward-looking statements are statements which relate to future events. In some cases, you can identify forward-looking statements by terminology such as "may", "should", "expects", "plans, "anticipates", believes", "estimates", "predicts", "potential", or "continue" or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors that may cause our or our industry's actual results, level of activity, performance or achievements to be materially different from any future results, levels of activity, performance, or achievements expressed or implied by these forward-looking statements.
While these forward-looking statements, and any assumptions upon which they are based, are made in good faith and reflect our current judgment regarding the direction of our business, actual results will almost always vary, sometimes materially, from any estimates, predictions, projections, assumptions or other future performance suggestions herein. Except as required by applicable law, Timmins Gold does not intend to update any forward-looking statements to conform these statements to actual results.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contact:
Timmins Gold Corp.
Bruce Bragagnolo, LLB
Chief Executive Officer
604-638-8980
bruce@timminsgold.com
http://www.timminsgold.com/
-- Posted Tuesday, 16 February 2010 | Digg This Article | Source: GoldSeek.com
