Dynacor Reports First 5 Months of 2017 Gold Production
MONTREAL, QUEBEC--(Marketwired - Jun 19, 2017) - Dynacor Gold Mines Inc. (TSX:DNG)(OTC:DNGDF) (Dynacor or the Corporation) is pleased to report that despite the worst rainy season in Peru in the last 20 years, the impact of this extreme weather event on gold production has been limited to 2 months of lower production as compared to 2016. In March and April, heavy rains led to very extensive flooding throughout the country, many roads and more than 500 bridges were destroyed. The government declared a state of national emergency. Ore production and transport by artisanal miners was impacted which has led to lower ore availability for our plant at Chala.
The situation is gradually improving as shown in Table 1 below.
Jean Martineau, Dynacor's CEO and President commented "Despite this unusual extreme weather event (El Nino Costero) we have been able to limit its impact on our gold production. During March and April, we lost only 1,700 oz of gold production as compared to March and April 2016, whereby May was 6% higher than last year. Q1 gold production was on target with 2017 forecast for that period. Overall production at end of May 2017 has fallen 3,000 ounces lower than forecasted due to impact of lack of supplied ore. Since the beginning of May, the situation is slowly returning to normal and access roads to mining areas have been almost all reopened.
| Month | 2016 Gold Production (oz) | 2017 Gold Production (oz) | Comparison between 2016 and 2017 | ||
| January | 4,512 | 5,208 | Monthly gold production increases by 696 oz (15.4%) at our new Veta Dorado plant | ||
| February | 5,125 | 6,733 | Monthly gold production increases by 1,608 oz or 31.4% | ||
| March | 6,170 | 5,184 | Impact of extreme weather event --Monthly gold production drops by 989 oz or 16% due to low ore availability | ||
| Q1 | 15,807 | 17,125 | |||
| April | 5,801 | 5,082 | Impact of extreme weather event --Monthly gold production drops by 719 oz or 12 % due to low ore availability | ||
| May | 5,859 | 6,219 | Situation slowly returns to normal and access to mining areas is partially restored. Monthly gold production increases by 360 oz or 6% |
Finally, I would like to underline that, Dynacor as part of its corporate social responsibility programme has allocated a special amount of more than $50,000 that will be donated to help mining communities affected by this disaster."
ABOUT DYNACOR GOLD MINES INC.
Dynacor Gold Mines Inc. is a gold production corporation headquartered in Montreal, Canada. The corporation is engaged in production through its government approved ore processing operations. At present, Dynacor produces and explores in Peru where its management team has decades of experience and expertise. In 2016, Dynacor produced 73,476 ounces of gold, a 9% increase as compared with 2015 (67,603 ounces in 2015). In 2017, the corporation is targeting 88-92,000 ounces of gold production, a 20% increase from the previous calendar year. Dynacor trades on the Toronto Stock Exchange (DNG) and the OTC in the United States under the symbol (DNGDF).
FORWARD LOOKING INFORMATION
Certain statements in the foregoing may constitute forward-looking statements, which involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of Dynacor, or industry results, to be materially different from any future result, performance or achievement expressed or implied by such forward-looking statements. These statements reflect management's current expectations regarding future events and operating performance as of the date of this news release.
Dynacor Gold Mines Inc. (TSX:DNG)
Website: http://www.dynacor.com
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Contact
Jean Martineau
President and CEO
Dynacor Gold Mines Inc.
514-393-9000 ext. 228
Dale Nejmeldeen
Director, Investor Relations
Dynacor Gold Mines Inc.
604.492.0099
M: 604.562.1348
nejmeldeen@dynacor.com