Trading Symbol: TSX: GGD
Shares Outstanding: 171,776,481
HALIFAX, July 17, 2018 /CNW/ - GoGold Resources
Inc. (TSX: GGD) ("GoGold", "the Company") announces sales of
382,150 silver equivalent ounces for the quarter ended June 30, 2018, which was an increase of 34% over
the previous year. The Company produced 163,991 ounces of
silver and 1,630 ounces of gold for 292,273 silver equivalent
ounces at the Parral project during the quarter, a 2% decrease from
the prior year.
During the quarter, the Company began irrigating the second lift
on a non-compacted first lift to test whether compaction of the
first lift is required. The results of this test concluded
that compaction of the first lift will be required as without
compaction, there is a delay in the recovery of metal from the
material processed above on the second lift. The first lift
will now be compacted with drainage pipes on top before the second
lift is placed. This will replicate single lift leaching,
which has been proven to perform well.
"It was necessary to complete this test to determine if
compaction of the first lift was required. The results indicated
that compaction is required and this affected production this
quarter. Now that we are stacking on the first lift again the heap
is performing well," said Brad
Langille, President and CEO.
The Company stacked a total of 447,193 tonnes of material during
the quarter, an average of 4,914 per day, of which the majority
were fresh tailings. This is an increase of 24% over the
average stacking rate from the previous year and was the result, in
part, of the purchase and application of a new stacker.
In June, the Company returned to stacking on the first lift,
with recovery beginning very quickly as had been previously
experienced. The Company will continue stacking on the first
lift or above a compacted lower lift with additional drainage
between lifts in the future, which will cause production to
increase back to normal levels.
The commissioning of the SART (sulfidization, acidification,
recycling, and thickening) plant at Parral has been delayed as more
filtration was required to achieve throughput targets. The
additional filter was purchased and delivered to site and will be
installed during the current quarter. Once the current bottlenecks
are worked out, the SART will reduce cyanide consumption and
generate a saleable copper sulfide product that will contribute to
revenue and cost savings.
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.