VANCOUVER, BRITISH COLUMBIA--(Marketwired - Oct 21, 2013) -
Aurcana Corporation ("Aurcana" or the "Company")
(TSX VENTURE:AUN) (OTCQX:AUNFF) wishes to report the third quarter
2013 production results.
THIRD QUARTER PRODUCTION HIGHLIGHTS FOR THE LA NEGRA
MINE
- Total silver equivalent production for Q3 2013 was 748,294 oz,
a 4% increase from 718,063 oz in Q3 2012.
- Total ore milled in Q3 2013 was 221,118 tonnes, a 12% increase
from 196,843 tonnes in Q3 2012.
- Total ore mined in Q3 2013 was 207,458 tonnes, a 6% increase
from 196,401 tonnes in Q3 2012.
- Total silver equivalent production for the first 9 months of
2013 was 2,158,858 oz, a 14% increase from 1,899,280 oz silver
equivalent produced during the same period one year ago.
- Total ore milled for the first 9 months of 2013 was 626,586
tonnes, a 24% increase from 504,005 tonnes milled during the same
period one year ago.
- Total ore mined for the first 9 months of 2013 was 656,988
tonnes, a 39% increase from 472,557 tonnes mined during the same
period one year ago.
La Negra Mine Updates
During Q3 2013 the La Negra mill averaged a running rate of
2,622 tonnes per day (tpd). The lower than planned mill throughput
during the quarter was the result of equipment breakdowns as well
as unusually heavy rains that impacted mining operations.
During the quarter, La Negra continued to mine the more
accessible higher grade copper and zinc zones, resulting in
increased volumes of copper and zinc concentrate. This required
upgrades of the existing copper and zinc filter presses. New larger
filter presses for both copper and zinc concentrates are on order
and will be commissioned in Q4 2013.
These improvements together with repairs to the plant equipment
should allow higher production rates to be maintained at
approximately 3,000 tpd in the future, starting Q1 2014. In the
meantime, La Negra's average running rate during Q4 2013 is
projected to be in the order of 2,200 tpd.
Mine development continued during the quarter with the goal of
opening up new areas that would sustain higher production rates in
the future. As a result, a larger proportion of ore was sourced
from development headings, resulting in increased dilution and
lower than historic head grades processed during the quarter. Plans
for 2014 include a transition to the higher silver grade
mineralized zones in the upper levels of the La Negra mine. These
require ore pass and ventilation raise development that will
commence upon receipt of raise boring equipment in Q1 2014.
Shafter Mine Updates
With the successful closing of the $50 million financing in
September 2013, the Shafter mine is continuing to make the
necessary improvements to achieve its planned capacity of 1,500 tpd
during Q2 2014.
Aurcana is pleased to report the following progress to date:
- Two new tailings filter presses providing a filtering capacity
of up to 1,500 tpd have been installed and are operating to
specifications.
- Three new precipitate filter presses have been installed and
are currently being commissioned in the refinery.
- A new custom built retort and furnace are expected to be
received in December 2013.
- Underground mine development is progressing supported by a
contract miner.
- Construction of the counter current decantation (CCD) circuit
is ongoing with estimated completion during Q2 2014.
- Recruiting efforts continue to improve technical competencies
and operating manpower levels.
About Aurcana Corporation
Aurcana Corporation is a primary silver producing company with
two mines: the La Negra Mine in Mexico and the Shafter Mine in
Texas, US. The Company is positioned to grow organically from its
existing mines to become a senior silver producer.
Corporate
The Company's shares are also traded in the United States on
OTCQX under the symbol "AUNFD". Investors can find current
financial disclosure and Real-Time Level 2 quotes for the Company
on www.otcqx.com and www.otcmarkets.com.
Lenic Rodriguez, President & CEO
AURCANA CORPORATION
Mr Andrew Kaczmarek a qualified person (as defined in National
Instrument 43-101) and the Company's Chief Operating Officer, has
reviewed and approved the scientific and technical information
contained in this release.
Neither the 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 release.
NR-13-32
This news release contains certain forward-looking
statements, including statements regarding mill throughput rates at
the La Negra and Shafter mines, upgrades and repairs at the La
Negra and Shafter projects, potential mineralization, exploration
results, future plans and objectives of the Company and the
business and anticipated financial performance of the Company.
These statements are forward-looking statements that involve
various risks and uncertainties. These forward-looking statements
include, but are not limited to, statements with respect to mining
and processing of mined ore, achieving projected recovery rates,
anticipated production rates and mine life, operating efficiencies,
costs and expenditures, changes in mineral resources and conversion
of mineral resources to proven and probable reserves, and other
information that is based on forecasts of future operational or
financial results, estimates of amounts not yet determinable and
assumptions of management. Estimates of future mill throughput at
the La Negra and Shafter projects are based on the following
factors and assumptions: (i) that mine development and successful
intersection of predicted ore zones yield the necessary feed to the
process facilities; (ii) that equipment availability and repair
parts allow for planned runtimes to achieve the necessary
production levels; (iii) that no catastrophic equipment failures
occur; (iv) that no power interruptions or shortages are suffered;
(v) that no delays are encountered in the receipt, installation and
commissioning of mine and plant equipment necessary to achieve and
sustain the planned production levels; and (vi) that the requisite
number of qualified experienced personnel are hired and
retained.
Exploration results that include geophysics, sampling and
drill results on wide spacings may not be indicative of the
occurrence of a mineral deposit. Such results do not provide
assurance that further work will establish sufficient grade,
continuity, metallurgical characteristics and economic potential to
be classified as a category of mineral resource. A mineral resource
which is classified as "inferred" or indicated" has a great amount
of uncertainty as to its existence and economic and legal
feasibility. It cannot be assumed that any or part of an "indicated
mineral resource" or "inferred mineral resource" will ever be
upgraded to a higher category of resource. Investors are cautioned
not to assume that all or any part of mineral deposits in these
categories will ever be converted into proven and probable
reserves.
Any statements that express or involve discussions with
respect to predictions, expectations, beliefs, plans, projections,
objectives, assumptions or future events or performance (often, but
not always, using words or phrases such as "expects" or does not
expect", "is expected", anticipates" or "does not anticipate"
"plans", "estimates" or "intends" or stating that certain actions,
events or results " may", "could", "would", "might" or "will" be
taken, occur or be achieved) are not statements of historical fact
and may be "forward-looking statements". Forward-looking statements
are subject to a variety of risks and uncertainties which could
cause actual events or results to materially differ from those
reflected in the forward-looking statements.
Actual results may differ materially from results
contemplated by the forward-looking statements. Important factors
that could differ materially from the Company's expectations
include, among others, risks related to international operations,
unsuccessful exploration results, the ability of suppliers to
provide equipment, the availability of skilled labour, conclusions
of economic evaluations and changes in project parameters as plans
continue to be refined as well as changes in metal prices, changes
in the availability of funding for mineral exploration and
development, unanticipated changes in key management personnel and
general economic conditions. When relying on forward-looking
statements to make decisions, investors and others should carefully
consider the foregoing factors and other uncertainties and should
not place undue reliance on such forward-looking statements. The
Company does not undertake to update any forward-looking
statements, oral or written, made by itself or on its behalf,
except as required pursuant to applicable securities laws.
Accordingly, readers should not place undue reliance on
forward-looking statements.