Brigus Gold Provides Third Quarter Update
Brigus Gold Corp. ('Brigus? or the 'Company?) (NYSE Amex: BRD) ?(TSX:
BRD) is pleased to provide an update on continuing progress at its Black
Fox Mine.
The Black Fox Mine produced 16,838 ounces of gold in the third quarter
of 2011 compared to 15,688 ounces in Q2 2011 and 8,772 ounces in the
first quarter of the year. This is a 7% increase over Q2 production
and a 92% increase over first quarter production. The Company has
successfully recruited its underground mining workforce in the tight
and competitive labour market of Timmins, Ontario.
For the third quarter of 2011, Brigus processed 189,674 tonnes at an
average grade of 2.9 grams per tonne and an average recovery of 95.2%.
75% of the ore processed was mined from the Phase 2 open pit. The
remainder consisted primarily of underground development ore with a
small amount from underground mining stopes towards the end of the
quarter and low-grade stockpiles early in the quarter.
Mill throughput averaged 2,062 tonnes per day (tpd) during the third
quarter.
Underground production was a combination of ore from mining stopes and
lower grade development ore. By the end of the quarter, a total of
seven mining stopes were available. At least two additional stopes
will be open in October with a further two stopes to be accessed and
available by year-end. The Phase 2 open pit is currently providing
1,000 to 1,500 tpd of ore that together with underground production is
maintaining the Black Fox Mill′s 2,000 tpd throughput capacity. Mining
from the open pit will be reduced as higher-grade underground ore
production increases in future quarters.
The Company announced at the end of June that it would proceed with an
initial expansion of the Black Fox Mill, which is expected to be
completed and in service, during the first quarter of 2012. This
initial expansion will increase processing capacity at the Mill to up
to 2,200 tpd. Processing capacity and recovery will be increased
through optimization of existing equipment, some equipment additions
and elimination of production losses.
The Company has sufficient cash flow to fund near term operating and
development needs.
'Production continues to ramp up at the Black Fox Mine,? said Rick
Allan, Chief Operating Officer of Brigus. 'After delays earlier in the
year, underground development is now progressing very well. We currently
have seven active ore headings available and expect at least two more to
be opened up in October. The underground head grade increased
significantly towards the end of September and we are optimistic about
production in the fourth quarter of the year.?
Qualified Persons
The Qualified Persons who reviewed the technical information of this
news release was Richard Allan, P. Eng., Chief Operating Officer for
Brigus.
About Brigus Gold
Brigus is a growing gold producer committed to maximizing shareholder
value through a strategy of efficient production, targeted exploration
and select acquisitions. The company operates the wholly owned Black Fox
Mine and Mill in the Timmins Gold District of Ontario, Canada. The Black
Fox Complex encompasses the Black Fox Mine and adjoining properties in
the Township of Black River-Matheson, Ontario, Canada. Brigus is also
advancing the Goldfields Project located near Uranium City,
Saskatchewan, Canada, which hosts the Box and Athona gold deposits. In
Mexico, Brigus has a letter of intent to sell 75% of its Ixhuatan
silver-gold projected located in the state of Chiapas. In the Dominican
Republic, Brigus′ remaining interests in three mineral exploration
projects are subject to a purchase option agreement with Everton.
Cautionary and Forward-Looking Statements
Statements contained in this news release that are not historical facts
are forward-looking statements that involve risk, uncertainties and
other factors that could cause actual results to differ materially from
those expressed or implied by such forward-looking statements. All
statements regarding the ability of the Company to achieve targeted gold
production at its Black Fox Mine, including underground production, and
cash costs, meet capital construction schedules and costs, and the
continuation of a rising gold price are forward-looking statements and
estimates that involve various risks and uncertainties. This
forward-looking information includes, or may be based upon, estimates,
forecasts, and statements as to management's expectations with respect
to, among other things, the issue of permits, the size and quality of
the company's mineral resources, progress in development of mineral
properties, future production and sales volumes, capital and mine
production costs, demand and market outlook for metals, future metal
prices and treatment and refining charges, and the financial results of
the Company.
Important factors that could cause actual results to differ materially
from these forward-looking statements include environmental risks and
other factors disclosed under the heading 'Risk Factors? in Brigus
Gold′s most recent annual report on Form 10-K filed with the United
States Securities and Exchange Commission and elsewhere in Brigus Gold′s
documents filed from time to time with the Toronto Stock Exchange, the
NYSE Amex Equities, the United States Securities and Exchange Commission
and other regulatory authorities. All forward-looking statements
included in this news release are based on information available to the
Company on the date hereof. The Company assumes no obligation to update
any forward-looking statements, except as required by applicable
securities laws.
Brigus Gold Corp.
Jennifer Nicholson CA
Vice President,
Investor Relations
902-422-1421
ir@brigusgold.com
