TSX: ASO
AIM: ASO
TORONTO, Jan. 10, 2018 /CNW/ - Avesoro Resources Inc.,
("Avesoro" or the "Company"), the TSX and AIM listed West African
gold producer, is pleased to announce production of 54,407 ounces
of gold for the fourth quarter (the "Quarter" or "Q4") and 192,072
ounces of gold for the full year, across the three mines now owned
by the Company.
New Liberty Gold Mine,
Liberia ("New
Liberty")
Fourth quarter 2017 production from New
Liberty was 25,563 ounces of gold, a 29% increase on the previous
quarter and in line with guidance provided at the time of the Q3
production update. The strong Quarter resulted in record full year
production from the mine of 76,179 ounces of gold, towards the
upper end of our guidance range and representing a 20% increase on
2016 production levels.
Youga and Balogo Gold Mines, Burkina Faso ("Youga" and
"Balogo")
Youga and Balogo, which were acquired by the
Company on 18 December 2017, produced
28,845 ounces of gold in the Quarter, resulting in strong full year
total production of 115,893 ounces of gold, ahead of Company
forecasts.
Table 1: Group Full Year 2017 Production Statistics
Parameter
|
Unit
|
New
Liberty
|
Youga and
Balogo1
|
Full Year 2017
Group
Results
|
Ore Mined
|
kt
|
1,166
|
870
|
2,036
|
Waste
Mined
|
kt
|
12,935
|
8,645
|
21,580
|
Total Material
Movement
|
kt
|
14,102
|
9,515
|
23,617
|
Ore
Processed
|
kt
|
1,144
|
1,200
|
2,344
|
Gold
Production
|
Ounces
|
76,179
|
115,894
|
192,073
|
Note:
|
1
Including the period prior to acquisition by the
Company.
|
Serhan Umurhan, Chief Executive Officer of Avesoro,
commented:
"We are pleased to report a strong Quarter and combined total
production for 2017 of 192,072 ounces of gold from the three mines
now owned by the Company. At New Liberty, the year has been
focussed on the now completed turnaround resulting in the Company
meeting its revised guidance for the year. I would like to
acknowledge the dedication and hard work of the New Liberty team
throughout 2017, that enabled us to achieve record annual gold
production. Q4 2017 was New Liberty's strongest quarterly
performance to date, driven by improved mining performance and
increased plant throughput.
The acquisition of Youga and Balogo in December 2017 adds two low cost operating mines
to our portfolio capable of generating significant free cash flow
for the Company. I am particularly pleased that we were able to
complete this transaction during 2017 and take an important step
towards realising our stated plan of becoming a premier mid-tier
African gold producer.
We start 2018 with a solid foundation from which to further
increase our gold production levels and reduce operating costs. We
now look forward to delivering an even stronger performance in 2018
and will provide an update on 2018 production guidance in due
course."
Key Production Statistics
Table 2: New Liberty -
Key Production Statistics
Parameter
|
Unit
|
Q1
2017
|
Q2
2017
|
Q3
2017
|
Q4
2017
|
Q3 – Q4
2017
Variance
|
Ore Mined
|
kt
|
351
|
214
|
247
|
354
|
43%
|
Waste
Mined
|
kt
|
3,944
|
3,565
|
2,981
|
2,445
|
-18%
|
Strip
Ratio
|
Waste:Ore
|
11.2
|
16.7
|
12.1
|
6.9
|
-43%
|
Total Material
Movement
|
kt
|
4,295
|
3,779
|
3,228
|
2,800
|
-13%
|
Plant
Utilisation
|
%
|
92
|
89
|
72
|
85
|
18%
|
Ore
Processed
|
kt
|
280
|
295
|
254
|
315
|
24%
|
Recovery
|
%
|
90
|
88
|
91
|
90
|
-1%
|
Gold
Production
|
Ounces
|
14,906
|
15,825
|
19,885
|
25,563
|
29%
|
Table 3: Youga and Balogo - Key Production Statistics
Parameter
|
Unit
|
Q1
2017
|
Q2
2017
|
Q3
2017
|
Q4
2017
|
Q3 – Q4
2017
Variance
|
Ore Mined
|
kt
|
281
|
220
|
159
|
210
|
32%
|
Waste
Mined
|
kt
|
1,883
|
2,528
|
2,283
|
1,951
|
-15%
|
Strip
Ratio
|
Waste:Ore
|
6.7
|
11.5
|
14.4
|
9.3
|
-35%
|
Total Material
Movement
|
kt
|
2,164
|
2,748
|
2,442
|
2,161
|
-12%
|
Plant
Utilisation
|
%
|
98
|
98
|
97
|
98
|
1%
|
Ore
Processed
|
kt
|
318
|
299
|
277
|
306
|
11%
|
Recovery
|
%
|
90
|
92
|
89
|
89
|
-1%
|
Gold
Production
|
Ounces
|
16,900
|
32,023
|
38,126
|
28,845
|
-24%
|
About Avesoro Resources Inc.
Avesoro Resources is a West
Africa focused gold producer and development company that
operates three gold mines across West
Africa and is listed on the Toronto Stock Exchange ("TSX")
and the AIM market operated by the London Stock Exchange ("AIM").
The Company's assets include the New Liberty Gold Mine in
Liberia (the "New Liberty Gold
Mine" or "New Liberty") and the Youga and Balogo Gold mines in
Burkina Faso ("Youga" and
"Balogo").
New Liberty has an estimated proven and probable mineral reserve
of 7.4Mt with 717,000 ounces of gold grading 3.03g/t and an
estimated measured and indicated mineral resource of 9.6Mt with
985,000 ounces of gold grading 3.2g/t and an estimated inferred
mineral resource of 6.4Mt with 620,000 ounces of gold grading
3.0g/t. The foregoing Mineral Reserve and Mineral Resource
estimates and additional information in connection therewith is set
out in an NI 43-101 compliant Technical Report dated 1 November 2017 and entitled "New Liberty Gold
Mine, Bea Mountain Mining Licence Southern Block, Liberia, West
Africa" and is available on SEDAR at www.sedar.com.
Youga and Balogo have a combined estimated proven and probable
mineral reserve of 9.3Mt with 513,000 ounces of gold grading 1.7g/t
and a combined estimated indicated mineral resource of 16.05Mt with
801,600 ounces of gold grading 1.55g/t and a combined inferred
mineral resource of 13Mt with 655,000 ounces of gold grading
1.57g/t. The foregoing Mineral Reserve and Mineral Resource
estimates and additional information in connection therewith is set
out in two NI 43-101 compliant Technical Reports, dated
16 June 2017 entitled "Mineral
Resource and Mineral Reserve Update for the Balogo Project" and
dated 19 June 2017 and entitled
"Mineral Resource and Mineral Reserve Update for the Youga and
Ouaré Projects" and are available on SEDAR at www.sedar.com.
For more information, please visit www.avesoro.com
Qualified Persons
The Company's Qualified Person is Mark
J. Pryor, who holds a BSc (Hons) in Geology & Mineralogy
from Aberdeen University, United Kingdom and is a Fellow of the
Geological Society of London, a
Fellow of the Society of Economic Geologists and a registered
Professional Natural Scientist (Pr.Sci.Nat) of the South African
Council for Natural Scientific Professions. Mark Pryor is an independent technical
consultant with over 25 years of global experience in exploration,
mining and mine development and is a "Qualified Person" as defined
in National Instrument 43 -101 "Standards of Disclosure for Mineral
Projects" of the Canadian Securities Administrators and has
reviewed and approved the scientific and technical disclosures
contained in this announcement.
SOURCE Avesoro Resources Inc.