Vancouver, British Columbia. Timmins Gold is pleased to announce production statistics for the months of April and May from its wholly owned San Francisco open pit gold mine located in northern Sonora, Mexico.
Commercial production commenced in April, 2010. During the month of April, a total of 2,666 ounces and during the month of May a total of 3,657 ounces for a total of 6,323 ounces of gold were poured and delivered to the Johnson Matthey refinery in Salt Lake City, Utah. The projected sales for June are 3,200 ounces and thereafter sales are projected to increase by 1,000 ounces per month until they stabilize in excess of 9,000 ounces per month in December.
A total of 14,364 ounces of gold and 8,669 ounces of silver have been sold for the period from the first of December to the end of May.
SAN FRANCISCO MINE PRELIMINARY PRODUCTION STATISTICS
|Total Material Moved||Ktonnes||2,104||1,865|
|Ore Mined and Crushed||Ktonnes||321||281|
|Ore Delivered to Leach Pad||Ktonnes||317||288|
During the 2-month period average daily production from the mine and ore placed on the leach pad has averaged 10,444 tonnes per day. In July an additional blast drill rig will be delivered to the mine in order to increase the ore delivered to the heap leach pad to in excess of 13,000 tonnes per day.
Costs are in line with expectations. Cost information for the fiscal quarter ending June 30 will be provided by the end of July.
Average head grade for April was 0.679 g/t gold and for May was 0.849 g/t gold which is in line with expectations.
Initial indications are that metallurgical recoveries will reach the 70% recovery projection.
About Timmins Gold
Focused solely in Mexico, Timmins Gold Corp is now in commercial gold production at its wholly owned San Francisco gold mine in Sonora, Mexico. The mine is a past-producing open pit heap leach operation from which Timmins Gold has projected production at a rate in excess of 80,000 ounces of gold per year at a life of mine cash cost of approximately $412 per ounce. (Micon International Preliminary Feasibility Study, March 2008)
Bruce Bragagnolo, LLB
Chief Executive Officer
Vancouver, BC, Canada
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