VANCOUVER, Nov. 21, 2016 /CNW/ - INCA ONE GOLD CORP.
(TSX.V: IO) ("Inca One" or the "Company") is
pleased to provide the following ramp-up update on operations from
its wholly owned subsidiary Chala One SAC ("Chala One").
In the initial 31 day period from the commencement of ramp-up
(starting October 1, 2016), the
Company's material purchasing program for October accomplished
2,039 tonnes. This is an increase of 90% as compared to the
first nine months of 2016 which averaged 1,071 tonnes per
month. We have stockpiled a 15 to 20 day buffer of mill feed,
which allows for production to be sustained and continued through
reasonable interruptions including seasonal downturns in
supply.
Through this 31 day ramp-up period Chala One has also processed
1,467 tonnes as compared to 875 tonnes averaged over the first nine
months of 2016, an increase of 68%. Material processing
activities at Chala One continue to gradually increase as planned
and we expect to be operating at an average of 100 tonnes per day
("TPD") in the coming months.
Additionally, gold pouring activities during this initial
ramp-up period have also increased. Production has reached
647 ounces of gold in October 2016,
as compared to the average operating levels over the first nine
months of 2016 of 417 ounces per month, an increase of 55%. Weekly
gold exports are climbing, translating to increased sales of Chala
One's gold dore, a reflection of continued increases in production
levels and healthy operating metrics.
To manage production and gold recovery risk during initial
ramp-up the Company intentionally sourced relatively lower grade
material. Recovery targets have been achieved and improved upon
during ramp-up, and the Company has now begun focusing on sourcing
higher grade mineral.
The Company's ramp-up plan is proceeding according to schedule
and is on track to meet management guidance. The 90 day
ramp-up plan includes a phased-in maintenance program allowing for
select modifications to circuits and equipment to ensure
sustainable operations and margins.
"I am extremely pleased with the focus and performance of our
entire operations team especially over the past few weeks,"
indicated Inca One President and CEO Edward
Kelly. "I am excited to build on the initial success
of this ramp-up spearheaded by our material purchases team and look
forward to increased cash flow that will spring from higher
production levels in the months ahead."
About Inca One
Inca One is a Canadian-based mineral processing company with a
gold milling facility in Peru,
servicing government-permitted, small-scale miners. As part of the
terms of the original purchase agreement for the Chala,
Peru processing facility, Inca One
has an agreement between its wholly owned subsidiary, Chala One
SAC, and the seller and initial permit applicant, to operate under
the umbrella of formalization until the successful completion of
all the environmental and operating permits. Peru, a highly mineral-rich country, is one of
the world's top producers of gold, silver, copper and zinc, with
substantial production coming from small scale miners who need
government permitted milling facilities to process their mineral
(such as the Company's Chala
Plant).
On behalf of the Board,
Edward Kelly,
President and CEO
INCA ONE GOLD CORP.
NEITHER THE 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 NEWS RELEASE.
Statements regarding the Company which are not historical facts
are "forward-looking statements" that involve risks and
uncertainties. Such information can generally be identified by the
use of forwarding-looking wording such as "may", "expect",
"estimate", "anticipate", "intend", "believe" and "continue" or the
negative thereof or similar variations. Since forward-looking
statements address future events and conditions, by their very
nature, they involve inherent risks and uncertainties. Actual
results in each case could differ materially from those currently
anticipated in such statements due to factors such as: (i)
fluctuation of mineral prices; (ii) a change in market conditions;
and (iii) the fact that the Company has limited operating
experience with its Chala plant and future operational results may
not be accurately predicted based on this limited information to
date. Except as required by law, the Company does not intend
to update any changes to such statements. Inca One believes
the expectations reflected in those forward-looking statements are
reasonable but no assurance can be given that these expectations
will prove to be correct and such forward-looking statements
included herein should not be unduly relied upon.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there be any sale of
these securities in any state in which such offer, solicitation, or
sale would be unlawful prior to registration or qualification under
the securities laws of any such state.
SOURCE Inca One Gold Corp.