TORONTO, Feb. 10, 2016 /CNW/ - Mangazeya Mining Ltd.
("Mangazeya" or the "Company") (NEX: MGZ.H) is pleased to announce
its production results for the fourth quarter and twelve months
ended December 31, 2015.
Highlights
- In 2015 Mangazeya produced 33.9 Koz of gold, an increase of
204.5% compared to the previous year. Quarterly gold production in
the 4th quarter was 12.9 Koz, a 235.8% increase
y-o-y.
- Ore mined totaled 1131 thousand tones (+117.6% y-o-y) in 2015.
Average grade of ore mined for the same period made up 1.63 g/t
(+48.1% y-o-y).
- In 2015 the average stripping ratio was 3.1 m³/t compared to
5.4 m³/t in 2014.
- Total material stacked in ore heaps in 2015 totaled 1046
thousand tones (+108.1% y-o-y) with an average grade of 1.45 g/t
(+26.4% y-o-y). The increase in amount of ore stacked is
attributable to operational improvements on site and launch of the
second stacker. Moreover, during Q4 2015 total material stacked in
ore heaps was 77 thousand tones vs no ore stacked in heaps during
Q4 2014.
|
3 months ended
December 31
|
% change
|
|
12 months ended
December 31
|
% change
|
|
2015
|
2014
|
|
2015
|
2014
|
Total rock moved,
'000 m3
|
1,077
|
973
|
10.7%
|
|
4,048
|
3,049
|
32.7%
|
Stripping, '000
m3
|
967
|
943
|
2.5%
|
|
3,524
|
2,809
|
25.5%
|
Ore mined,
kt
|
236
|
63
|
272.2%
|
|
1,131
|
520
|
117.6%
|
Stripping ratio,
m3/t
|
4.1
|
14.9
|
-72.4%
|
|
3.1
|
5.4
|
-42.3%
|
Average grade in ore
mined, g/t
|
1.52
|
1.09
|
39.9%
|
|
1.63
|
1.10
|
48.1%
|
Gold in ore mined, kg
|
359
|
69
|
420.8%
|
|
1,849
|
574
|
222.2%
|
Ore stacked,
kt
|
77
|
-
|
|
|
1,046
|
502
|
108.1%
|
Average grade in ore
stacked, g/t
|
1.74
|
-
|
|
|
1.45
|
1.15
|
26.4%
|
Gold in ore stacked, kg
|
134
|
-
|
|
|
1,520
|
577
|
163.2%
|
Extraction,
%
|
n/a
|
n/a
|
|
|
69%
|
60%
|
15.7%
|
Gold production, koz
|
12.9
|
3.8
|
235.8%
|
|
33.9
|
11.1
|
204.5%
|
Gold sold, koz
|
15.2
|
6.0
|
152.1%
|
|
33.6
|
11.2
|
200.2%
|
- Increase in amount of ore mined and stacked, higher grades as
well as operational efficiency and higher extraction rates
contributed to the solid performance of the Company in 2015.
- Production target for 2016 is set at the level of 2015 despite
worsening pit parameters (grade and strip ratio).
- In February 2016 the Company
reached an agreement with its controlling shareholder to convert
all of the Company's debts (in the amount of 201,230,563.54 CAD) into newly issued shares.
Subject to the NEX's approval, the transaction will be executed at
over 733% premium to the current share price to maintain the
Company's free float of Common Shares above 11%. Following the
completion of the transaction the Company will be reactivated on
the TSX Venture Exchange (Tier 2) which will increase liquidity of
its shares. The Transaction will clean the Company's balance sheet
and give access to external sources of financing for future
development.
Sergey Yanchukov, CEO of Mangazeya, summarized the operational
results for the twelve month period ended December 31, 2015: "I would like to congratulate
the Company's staff and existing shareholders with a successful
year. Our operational team managed to substantially improve the
production process at all stages and triple gold output compared to
2014".
About Mangazeya Mining Ltd.
Mangazeya Mining Ltd. is a NEX-listed mining and exploration
company, focused on the development of mineral resources in the
Russian Federation.
Neither the NEX Board, 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 press release.
Forward-Looking Information
This news release contains forward-looking statements and
other statements that are not historical facts. Forward-looking
statements are often identified by terms such as "will", "may",
"should", "anticipate", "expects", "intends" and similar
expressions. All statements other than statements of historical
fact included in this release, including, without limitation, those
regarding the Transaction, Reactivation and the Company's ability
to raise additional capital in the future, are forward-looking
statements that involve risks and uncertainties. There can be no
assurance that such statements will prove to be accurate and actual
results and future events could differ materially from those
anticipated in such statements. Important factors that could cause
actual results to differ materially from Mangazeya's expectations
include, but are not limited to, risks related to the
Exchanges not approving the Transaction or Reactivation, adverse
market conditions, general capital markets conditions, legislative
and regulatory developments, as well as those factors discussed in
Mangazeya's documents filed on SEDAR (www.sedar.com).
Although Mangazeya has attempted to identify important
factors that could cause actual results to differ materially from
those contained in forward-looking information, there may be other
factors that cause results not to be as anticipated, estimated or
intended. There can be no assurance that such information will
prove to be accurate, as actual results and future events could
differ materially from those anticipated. As a result, the reader
is cautioned not to place undue reliance on any forward-looking
information. Mangazeya does not undertake to update any
forward-looking statements that are contained herein, except in
accordance with applicable securities laws. Additional information
on Mangazeya is available at www.sedar.com.
SOURCE Mangazeya Mining Ltd.