Amerigo Announces Q3 2009 Production Results and Dates for Release of Q3 2009 Results and Investor Conference Call
Tue Oct 20, 3:15 PM
ca.news.finance.yahoo.com
VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 20, 2009) - Amerigo Resources Ltd. (TSX: ARG.TO) ("Amerigo" or the "Company") is pleased to announce production results for the third quarter of 2009 from Minera Valle Central ("MVC"), the Company's operations located in Rancagua, Chile. For the three months ended September 30, 2009 MVC produced 10.12 million pounds of copper and 151,310 pounds of molybdenum.
Key operating and sales metrics are shown below.
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Production Metrics: Q3-2008 Q4-2008 Q1-2009 Q2-2009 Q3-2009
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Copper Production (million lbs) 10.22 9.53 7.12 9.61 10.12
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Molybdenum Production (lbs) 261,234 211,729 97,184 99,683 151,310
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Ore milled (Tonnes 000's) 12,882 13,299 10,859 12,292 12,889
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Copper Grade (%) 0.134 0.134 0.12 0.14 0.14
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Copper Recovery (%) 26.86 24.26 24.78 24.51 26.03
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Molybdenum Grade in copper
concentrates (%) 0.92 0.79 0.49 0.44 0.59
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Molybdenum Recovery (%) 83.49 83.96 80.77 69.53 74.13
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Sales Metrics: Q3-2008 Q4-2008 Q1-2009 Q2-2009 Q3-2009
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Copper sales (Million lbs) 10.20 9.56 7.12 9.49 10.19
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Copper price at end of period
($US/lb) 2.81 1.31 1.83 2.27 2.79
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Prior period copper sales subject
to final pricing during period
(Million lbs) 9.18 9.11 7.91 10.10 N/A(i)
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Average final settlement price for
prior period copper sales ($US/lb) 3.5267 1.8345 1.5032 2.1153 N/A(i)
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Molybdenum sales (lbs) 258,499 219,215 101,661 92,065 147,894
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Molybdenum price at end of period
($US/lb) 32.688 9.250 8.325 10.125 14.125
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Power Costs (per kwh) $0.1703 $0.1261 $0.1468 $0.1247 $0.0989
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(i) Although the Company's current copper production is being priced on the
basis of M+1, production to date has been behind delivery quotas
therefore all copper production in Q3-2009 has been finally priced.
Amerigo's president, Dr. Klaus Zeitler, stated, "Copper production was virtually equal to the record production of Q3-2008, and would have been even higher if torrential rains during the month of September had not temporarily shut down production of old tailings in the quarter. MVC continues to ramp up old tailings production, however, and processing levels are now in excess of 20,000 tonnes per day and are expected to continue to increase in the coming quarters. Molybdenum production was more than 50% higher than that during the first two quarters of the year, mainly due to increased production of old tailings."
The prices for both copper and molybdenum rose again in the quarter, and power continued to trend lower, all of which favorably affect the Company's financial results.
The Company will release its third quarter 2009 financial results at market open on Monday, November 2, 2009 and will hold an investor conference call to discuss the company's Q3-2009 results on Tuesday, November 3, 2009 at 8:00 am Pacific Daylight Time/11:00 pm Eastern Daylight Time.
To participate in the call, please dial the following number: 1-866-223-7781 (Toll-Free North America)
Please let the operator know you wish to participate in the Amerigo Resources conference call.
Media are invited to attend on a listen-only basis.
Following management's discussion of the quarterly results, the analyst and investment community will be invited to ask questions.
Amerigo Resources Ltd. produces copper and molybdenum under a long term partnership with the world's largest copper producer, Codelco, by means of processing fresh and old tailings from the world's largest underground copper mine, El Teniente near Santiago, Chile. Tel: (604) 681-2802; Fax: (604) 682-2802; Web: www.amerigoresources.com; Listing: ARG:TSX.
Certain of the information and statements contained herein that are not historical facts, constitute "forward-looking information" within the meaning of the Securities Act (British Columbia), Securities Act (Ontario) and the Securities Act (Alberta) ("Forward-Looking Information"). Forward-Looking Information is often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "expect" and "intend"; statements that an event or result is "due" on or "may", "will", "should", "could", or might" occur or be achieved; and, other similar expressions. More specifically, Forward-Looking Information contained herein includes, without limitation, information concerning future tailings production volumes and the Company's copper and molybdenum production, all of which involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such Forward-Looking Information; including, without limitation, material factors and assumptions relating to, and risks and uncertainties associated with, the supply of tailings from El Teniente and extraction of tailings from the Colihues tailings impoundment, the achievement and maintenance of planned production rates, the evolving legal and political policies of Chile, the volatility in the Chilean economy, military unrest or terrorist actions, metal price fluctuations, favourable governmental relations, the availability of financing for activities when required and on acceptable terms, the estimation of mineral resources and reserves, current and future environmental and regulatory requirements, the availability and timely receipt of permits, approvals and licenses, industrial or environmental accidents, equipment breakdowns, availability of and competition for future mineral acquisition opportunities, availability and cost of insurance, labour disputes, land claims, the inherent uncertainty of production and cost estimates, currency fluctuations, expectations and beliefs of management and other risks and uncertainties, including those described under Risk Factors in the Company's Annual Information Form dated March 31, 2008, and in each subsequent Management's Discussion and Analysis. Such Forward-Looking Information is based upon the Company's assumptions regarding global and Chilean economic, political and market conditions and the price of metals, including copper and molybdenum, and future tailings production volumes and the Company's copper and molybdenum production. Among the factors that have a direct bearing on the Company's future results of operations and financial conditions are changes in project parameters as plans continue to be refined, interruptions in the supply of fresh tailings from El Teniente, further delays in the extraction of tailings from the Colihues tailings impoundment, a change in government policies, competition, currency fluctuations and restrictions and technological changes, among other things. Should one or more of any of the aforementioned risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from any conclusions, forecasts or projections described in the Forward-Looking Information. Accordingly, readers are advised not to place undue reliance on Forward-Looking Information. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise Forward-Looking Information, whether as a result of new information, future events or otherwise.
Contacts
Dr. Klaus Zeitler
Amerigo Resources Ltd.
President
(604) 681-2802 or (604) 218-7013
(604) 682-2802 (FAX)
www.amerigoresources.com |
