Business
Gammon Gold Reports 3-Year Consolidated Operational Outlook and Updated Reserves and Resources
Gammon Gold Reports 3-Year Consolidated Operational Outlook and Updated Reserves and Resources
About this update from Auq Gold Mining Inc.
[{"type":"text","content":"\n\n\n\nHALIFAX, Mar. 30, 2010 (Canada NewsWire Group) -- /CNW/ -- Gammon Gold Inc. (\"Gammon\" or the \"Company\") (TSX:GAM and NYSE:GRS): today issued a 3-year operational outlook for the years 2010 to 2012 and updated Reserves and Resources statements as at December 31, 2009.3-Year Operational Outlook-------------------------------------------------------------------------In 2010, the Company expects to produce 150,000 to 180,000 ounces of gold and 6.10 to 6.85 million ounces of silver, or 260,000 to 305,000 gold equivalent ounces, using a gold-to-silver ratio of 55:1, from existing operations. Total cash costs for 2010 are expected to be $440 to $475 per gold equivalent ounce using the same ratio. The anticipated increase in production over 2009 is expected to be supported by a number of factors including:- Completing the commissioning of the Phase III mill expansion during thesecond quarter of 2010 that will increase mill capacity to between3,300 and 3,400 tonnes per day (\"tpd\")- Achieving the Ocampo steady-state underground production target of1,500 tonnes per day by the end of the first quarter of 2010- Gaining access to higher grade mineralization in the Picacho open pitduring the second quarter of 2010- Completing the heap leach expansion program and ramping up stackingrates to targeted levels of over 10,000 tonnes per day during thesecond quarter of 2010- Completing the development of the Santa Eduviges underground mine withproduction anticipated during the second half of 2010 with furtherexpansions in 2011- Continuing to improve productivity at El Cubo to targeted levels of1,850 tonnes per day by the second half of 2010In subsequent years, further increases in production from existing operations and decreases in total cash costs are expected to be supported by a number of factors including:- Consistent operations at Ocampo and increased in-situ ore production to2,000 tpd from El Cubo- Full-year production from the Santa Eduviges underground mine at Ocampo- Continued productivity enhancements throughout our operations--------------------------------------------------------------------------------------------------------------------------------------------------Gammon Gold - 3-Year Operational Outlook-------------------------------------------------------------------------Production: 2010 2011 2012--------------------...