European Goldfields Limited -- Stratoni Mine Production Up 26% in 2008
Monday January 19, 6:20 am ET
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STRATONI, GREECE--(MARKET WIRE)--Jan 19, 2009 -- European Goldfields Limited (Toronto:EGU.TO - News) (AIM: EGU) is pleased to announce that Stratoni mine production of 271,660 wet metric tonnes for 2008 showed an increase of 26% compared to 2007, as new mine infrastructure was completed and operating efficiencies were achieved. During the same period, a total of 263,314 dry metric tonnes of ore was processed through the Stratoni mill.
European Goldfields' subsidiary Hellas Gold S.A. completed 10 shipments of concentrates from its Stratoni zinc-lead-silver plant in Northern Greece in Q4 2008 (Q4 2007 - 8), and 30 shipments for the whole of 2008 (2007 - 26).
Detailed production and sales from Stratoni were as follows:
Stratoni Production and Sales
Q4 2008 Q4 2007 12 Months 12 Months
2008 2007
Production
Ore mined (wet tonnes) 70,468 50,643 271,660 214,875
Ore processed (dry tonnes) 73,320 53,813 263,314 211,749
Zinc concentrate 12,106 9,082 46,123 38,152
- Containing: Zinc metal
(tonnes) 5,914 4,425 22,694 15,891
Lead concentrate 6,750 6,012 22,759 23,123
- Containing: Lead metal
(tonnes) 4,434 4,021 15,014 14,963
Silver (oz) 336,336 316,837 1,140,210 1,172,234
Sales
Zinc concentrate (tonnes) 11,210 10,191 44,838 38,152
- Containing payable:
Zinc (tonnes)* 4,591 4,209 18,496 15,890
Lead concentrate (tonnes) 7,556 8,004 22,321 23,123
- Containing payable:
Lead (tonnes)* 4,775 5,082 14,086 14,963
Silver (oz)* 363,205 399,272 1,077,550 1,172,233
* Net of smelter payable deductions,
before deduction of smelting and refining charges
Ore production rates from underground have steadily increased from an average of 885 tonnes per day in 2007 to 1,100 tonnes per day in 2008, and the mine now operates effectively at over 1,200 tonnes per day.
In the current metal price and general economic environment, Hellas Gold will postpone any further ramp up in production levels until an improvement in metal prices is sustained. Therefore, Stratoni mine production is expected to remain at current levels, resulting in mine production of approximately 300,000 wet metric tonnes for 2009. This approach minimises the overall cost base at the mine and focuses on the achievement of operating efficiencies. The group also benefits from its lead hedge programme which in 2009 has put options over 7,200 tonnes of lead at a price of $2,500 per tonne.
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egoldfields.com
Contact:
For further information please contact:
European Goldfields:
David Reading
Chief Executive Officer
e-mail: Email Contact
Tel: +44 (0)20 7408 9534
Source: European Goldfields Ltd |
