Sandstorm Gold Announces Commercial Production at SilverCrest's Santa Elena Mine
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VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 14, 2011) - Sandstorm Gold Ltd. ("Sandstorm") (TSX VENTURE:SSL) is pleased to announce the commencement of commercial production at SilverCrest Mines Inc.'s ("SilverCrest") (TSX VENTURE:SVL) Santa Elena Mine ("Santa Elena"), located in Sonora, Mexico. Under the Gold Purchase Agreement with SilverCrest, Sandstorm is entitled to purchase 20% of the life of mine gold produced from Santa Elena at a per ounce price equal to the lesser of US$350 and the then prevailing market price.
Santa Elena Mine Status Highlights:
Gold Production for April 2011, May 2011 and June 2011 totaled 5,476 ounces
Combined 90-day average throughput rate of 2,737 tonnes-per-day
Gold is now being routinely produced and sold to customers
"Commercial production at Santa Elena is an exciting milestone for both SilverCrest and Sandstorm," said Sandstorm President & CEO Nolan Watson. "I want to take this opportunity to congratulate the entire SilverCrest team."
SilverCrest is working on a number of initiatives to increase the production capacity and the resource base. Recently, SilverCrest filed a NI 43-101 technical report outlining an expansion project that includes the construction of a new processing facility that would increase the daily throughput at Santa Elena to 3,500 tonnes per day.
For more information on the Santa Elena mine, please visit the SilverCrest website at silvercrestmines.com |
