news finally hit the wire
Press Release Source: Golden Eagle International, Inc.
Gold Update: Initial Results from Gold Plant Extremely Encouraging
Wednesday October 23, 9:05 am ET
Viability of Gold Production at a Cost of $75 per Ounce Confirmed
SALT LAKE CITY, Oct. 23 /PRNewswire/ -- Golden Eagle International, Inc. (OTC Bulletin Board: MYNG - News) announced today that it is recovering an average grade of 1.006 grams of gold per cubic meter, or .503 grams per ton, of ore processed in its 1,000 ton per day capacity Cueva Playa plant located in the historic Tipuani Gold District of Bolivia.
"This is the news we've been waiting for," stated Terry C. Turner, Golden Eagle's President and CEO. "The grades we are achieving are double the grades we had projected," he continued, "and that is extremely encouraging."
"Our production results are confirming the viability of producing gold at less than $75 per ounce cash cost once we scale up to 11,000 tons per day," commented Ronald Atwood, Ph.D., the Company's Vice President for Development. "Moreover," Atwood indicated, "we actually project that the ore will get better as we start averaging in more of our higher grade material. We have not yet processed one ton of ore from a paystreak. Because we are still in the start up phase, we cannot guarantee that our grades will continue at the levels we have seen to date, but we are certainly not yet into the best ore that our studies indicate this gold deposit has to offer. Mixing the ore from the various paystreaks in our deposit with our lower grade material should produce an overall higher production grade."
Atwood also noted, "We have not hit our daily plant capacity on a regular basis and these reported results are on our first three thousand tons. However, we have proven that our plant, once through its start-up phase, can process twice as many tons per day as we had projected. At 2,000 tons per day, our economies of scale become much more favorable."
"There are good reasons why we are doubling our plant capacity at this stage" stated Golden Eagle's CEO, Turner. "Dr. Atwood brought in the Cueva Playa plant under budget, so we have funds remaining for significant improvements. Since we are very encouraged by such outstanding results, even from the relatively low-grade surface mining we have been performing to date, we decided to go ahead and double our underground mining capacity by installing highly efficient conveyors to replace the rail car system we had begun installing. We expect to recover an even higher grade of gold from the underground ore once the conveyors are in place because they will allow us to fully take advantage of our underground block caving method. This block caving, or conal subsidence, technique has been demonstrated successfully in the mine, and will be a significant factor in our low cost production. The conveyor installation is underway and should be finished by the end of November. In the meantime, we will continue our open pit operation," Turner concluded.
Golden Eagle Noted Other News:
-- CEOcast.com, "Where Wall Street Listens," a leading online financial
portal, interviewed Terry C. Turner, Golden Eagle's President & CEO
this morning, October 23, 2002, on the Company's announcement today.
The streaming audio of the interview is available at www.CEOcast.com.
-- Eagle E-mail Alerts: Those interested in being added to Golden Eagle's
E-mail Alert List should e-mail the Company at
goldeneagleinc@earthlink.net.
Golden Eagle International, Inc. is a gold exploration and mining company located in Salt Lake City, Utah, and La Paz, Bolivia. The company is currently focusing its efforts on developing its mining rights on 74,000 acres in the Tipuani Gold Mining District in Western Bolivia, and continuing exploration on 125,000 acres in Eastern Bolivia's Precambrian Shield. Golden Eagle is a mining company with a social conscience, having provided many humanitarian programs at its mine site, including the only hospital, doctor and nurse in Cangalli, Bolivia, for the past six years, as well as having provided for the educational needs of the students in the area during its exploration stage. The Company highly recommends that all shareholders and prospective shareholders should review its disclosures, risk statements, previous press releases, Annual Reports on Form 10-KSB, Quarterly Reports on Form 10-QSB and Current Reports on Form 8-K, found at its website: www.geii.com
Forward-Looking Statements and Disclosure of Risk
The future conduct of Golden Eagle's business and its response to issues raised by third parties are dependent upon a number of factors, and there can be no assurance that Golden Eagle will be able to conduct its operations as contemplated. Certain statements contained in this release using the terms "may", "expects to," "projects", "estimates" "plans", and other terms denoting future possibilities, are forward-looking statements in accordance with the Private Securities Litigation Reform Act of 1995. The accuracy of these statements cannot be guaranteed as they are subject to a variety of risks that are beyond Golden Eagle's ability to predict or control and which may cause actual results to differ materially from the projections or estimates contained herein. These risks include, but are not limited to, the risks described in the above press release and interview highlighted in the press release; those risks set out in Golden Eagle's disclosure documents and its annual, quarterly and current reports; and the other risks associated with start-up mineral exploration operations with insufficient liquidity, negative working capital, and no historical profitability. Golden Eagle disclaims any obligation to update any forward-looking statement made herein.
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Source: Golden Eagle International, Inc. |
