Trading Symbol: TSX: GGD
Shares Outstanding: 171,376,481
HALIFAX, Oct. 12 2017 /CNW/ - GoGold Resources
Inc. (TSX: GGD) ("GoGold", "the Company") announces production
for the quarter ended September 30,
2017 of 353,370 silver equivalent ounces at the Parral
project, a 125% increase over the same quarter the previous year
and a 12% increase over the prior quarter. The quarter ended
September 30th is
traditionally the rainy season in Mexico which can negatively impact production.
With the changes that have been made to the operating procedures
the production was not negatively impacted and increased 125% over
the previous year rainy season quarter. Production at Parral
continues to improve with the quarter ended September 30, 2017 being the fourth consecutive
quarter of production growth.
Over the past year the Company has focused on improving recovery
times and has made several changes. These changes include:
- reducing the stacking height from a single 10 meter high lift
to multiple 4-5 meter high lifts;
- increasing the amount of cement being added to the agglomerated
material to strengthen it and improve stability and penetration of
the cyanide enriched solution;
- increasing the cyanide strength for the first 60 days of
irrigation;
- increasing the capacity of the Merrill Crowe; and
- increasing the curing period of agglomeration from a few days
to two weeks prior to irrigation.
"The changes made at Parral in late 2016 and the first half of
2017 have now taken effect and we expect to see continued increases
in production through fiscal 2018" said Brad Langille, CEO.
The above changes have made a significant improvement in the
recovery times for the material stacked.
The heap leach pad is divided into 15 pads (or cells) which
permit the measurement of recovered metal from each pad which
allows us to track recovery rates for each specific area. The above
graph shows the significant improvement in the recovery times for
the more recent pads since the above referenced changes were made
compared to an average of the older pads. The Company began
stacking at 4-5 meter high lifts with pad 11 and continued with
pads 12, 13, and 14. The final adjustment for pad 15 was
allowing for a two-week cure time which had a positive impact on
the recovery times. The older pads continue to recover metal daily
and the Company has begun reworking material on pads 9 and 10 where
the agglomeration did not meet our quality standards. The Company
expects that the total recovery rates in the prefeasibility study
are achievable as we did achieve full expected recovery on the
oldest pad for both gold and silver.
Over the past 6 months there has been a focus on producing
quality agglomerated material which resulted in an average of 3,150
tons per day stacked. Now that the recovery times have improved the
Company is focusing on increasing the quality tons stacked and cost
control to drive profitability and production growth going
forward.
Mr. Robert Harris, P.Eng. is the
qualified person as defined by National Instrument 43-101 and is
responsible for the technical information of this release.
About GoGold Resources
GoGold Resources (TSX: GGD) is
a Canadian-based silver and gold producer focused on operating,
developing, exploring and acquiring high quality projects in
Mexico. The Company's Parral Tailings project is one of the
lowest cash cost silver producers in the world. Headquartered in
Halifax, NS, GoGold is building a
portfolio of low cost, high margin projects. For more information
visit gogoldresources.com.
CAUTIONARY STATEMENT:
The securities described herein
have not been, and will not be, registered under the United States
Securities Act of 1933, as amended (the "U.S. Securities Act"), or
any state securities laws, and may not be offered or sold within
the United States or to, or for
the benefit of, U.S. persons (as defined in Regulation S under the
U.S. Securities Act) except in compliance with the registration
requirements of the U.S. Securities Act and applicable state
securities laws or pursuant to exemptions therefrom. This release
does not constitute an offer to sell or a solicitation of an offer
to buy of any of GoGold's securities in the United States.
This news release may contain "forward-looking information" as
defined in applicable Canadian securities legislation. All
statements other than statements of historical fact, included in
this release, including, without limitation, statements regarding
the Parral tailings project, the Santa
Gertrudis project, future operating margins, future
production and processing, and future plans and objectives of
GoGold, constitute forward looking information that involve various
risks and uncertainties. Forward-looking information is based on a
number of factors and assumptions which have been used to develop
such information but which may prove to be incorrect, including,
but not limited to, assumptions in connection with the continuance
of GoGold and its subsidiaries as a going concern, general economic
and market conditions, mineral prices, the accuracy of mineral
resource estimates, and the performance of the Parral and
Santa Gertrudis projects. There
can be no assurance that such information will prove to be accurate
and actual results and future events could differ materially from
those anticipated in such forward-looking information.
Important factors that could cause actual results to differ
materially from GoGold's expectations include exploration and
development risks associated with GoGold's projects, the failure to
establish estimated mineral resources or mineral reserves,
volatility of commodity prices, variations of recovery rates, and
global economic conditions. For additional information with respect
to risk factors applicable to GoGold, reference should be made to
GoGold's continuous disclosure materials filed from time to time
with securities regulators, including, but not limited to, GoGold's
Annual Information Form. The forward-looking information contained
in this release is made as of the date of this release.
SOURCE GoGold Resources Inc.