TORONTO, Oct. 23, 2017 /CNW/ - Argonaut Gold Inc.
(TSX: AR) (the "Company", "Argonaut Gold" or "Argonaut") is
pleased to announce its San
Agustin operation commenced commercial production effective
October 1, 2017, two weeks following
its first gold pour (see press release dated September 19, 2017). The project has been
delivered on schedule and under budget in excess of 20% from the
initial capital estimate of $43
million. All dollar amounts are expressed in
United States dollars, unless
otherwise specified.
Pete Dougherty, President &
CEO stated: "The achievement of commercial production at
San Agustin is a major milestone
for the Company. I commend the team on its ability to deliver
the project on schedule, under budget and with no major safety or
environmental incidents. We view San Agustin as an important piece of the El
Castillo Complex given the shared infrastructure and synergies with
our neighbouring El Castillo
mine. We believe the El Castillo Complex has the ability to
ramp up to 150,000 gold equivalent ounces of production over the
next couple of years, which will be the driving force of our
approximate 60% production growth rate and lower operating costs by
2019."
All aspects of the San Agustin
mine have been transitioned to the operations team. The
Company will disclose the total initial capital and pre-commercial
production operating results for San
Agustin when it releases its third quarter 2017 operating
and financial results on Thursday, November
2, 2017.
About Argonaut Gold
Argonaut Gold is a Canadian gold company engaged in exploration,
mine development and production activities. Its primary
assets are the production stage El
Castillo mine and San
Agustin mine, which together form the El Castillo Complex in
Durango, Mexico and the production
stage La Colorada mine in
Sonora, Mexico. Advanced
exploration stage projects include the San Antonio project in Baja California Sur, Mexico, and the Magino
project in Ontario, Canada.
The Company also has several exploration stage projects, all of
which are located in North
America.
SOURCE Argonaut Gold Ltd.