GoGold Resources Inc. Reports 504,444 Silver Equivalent Ounce Quarterly Production at Parral
HALIFAX, July 14, 2020 - GoGold Resources Inc. (TSX: GGD) (OTCQX: GLGDF) ("GoGold", "the Company") is pleased to report production for the quarter ending June 30, 2020 of 504,444 silver equivalent ounces, consisting of 270,044 silver ounces, 1,914 gold ounces, and 104 tonnes of copper. Production in the quarter was only reduced by 16% compared to the previous quarter, despite being impacted by a partial shutdown of Parral due to COVID-19. While leaching of material on the heap leach continued throughout the quarter, stacking of fresh material was reduced, but has since returned to pre-shutdown stacking rates, with monthly production now approaching pre-COVID levels.
"In spite of the COVID-19 related shutdown at Parral for part of the quarter, we were able to achieve an exceptional result. With the increase in realized silver price for the quarter of approximately $1.50 per ounce, there was minimal economic impact at Parral," said Brad Langille, President and CEO. "We expect to see similar site cash flows as the previous quarter."
Table 1: Quarterly Production Summary
| Quarter Ended | Jun 2019 | Sep 2019 | Dec 2019 | Mar 2020 | Jun 2020 |
| Silver Production (oz) | 250,073 | 326,625 | 379,082 | 365,795 | 270,044 |
| Gold Production (oz) | 2,281 | 2,921 | 2,407 | 2,355 | 1,914 |
| Copper Production (tonnes) | - | - | - | 28 | 104 |
| Silver Equivalent Production (oz)1 | 451,011 | 580,711 | 584,988 | 600,697 | 504,444 |
| 1. | "Silver equivalent production" include gold ounces and copper tons produced and converted to a silver equivalent based on a ratio of the average market metal price for each period. The gold:silver ratio for each of the periods presented was: Jun 2019 – 88, Sep 2019 – 87, Dec 2019 – 86, Mar 2020 – 96, Jun 2020 – 105. The copper:silver ratios were: Mar 2020 – 340, June 2020 – 326. |
Mr. Robert Harris, P.Eng. is the qualified person as defined by National Instrument 43-101 and is responsible for the technical information of this release.
About GoGold Resources
GoGold Resources (TSX: GGD) is a Canadian-based silver and gold producer focused on operating, developing, exploring and acquiring high quality projects in Mexico. The Company operates the Parral Tailings project in the state of Chihuahua and has the Los Ricos exploration project in the state of Jalisco. Headquartered in Halifax, NS, GoGold is building a portfolio of low cost, high margin projects. For more information visit gogoldresources.com.
CAUTIONARY STATEMENT:
The securities described herein have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws, and may not be offered or sold within the United States or to, or for the benefit of, U.S. persons (as defined in Regulation S under the U.S. Securities Act) except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities laws or pursuant to exemptions therefrom. This release does not constitute an offer to sell or a solicitation of an offer to buy of any of GoGold's securities in the United States.
This news release may contain "forward-looking information" as defined in applicable Canadian securities legislation. All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding the Parral tailings project, the Los Ricos project, future operating margins, future production and processing, and future plans and objectives of GoGold, constitute forward looking information that involve various risks and uncertainties. Forward-looking information is based on a number of factors and assumptions which have been used to develop such information but which may prove to be incorrect, including, but not limited to, assumptions in connection with the continuance of GoGold and its subsidiaries as a going concern, general economic and market conditions, mineral prices, the accuracy of mineral resource estimates, and the performance of the Parral project There can be no assurance that such information will prove to be accurate and actual results and future events could differ materially from those anticipated in such forward-looking information.
Important factors that could cause actual results to differ materially from GoGold's expectations include exploration and development risks associated with GoGold's projects, the failure to establish estimated mineral resources or mineral reserves, volatility of commodity prices, variations of recovery rates, and global economic conditions. For additional information with respect to risk factors applicable to GoGold, reference should be made to GoGold's continuous disclosure materials filed from time to time with securities regulators, including, but not limited to, GoGold's Annual Information Form. The forward-looking information contained in this release is made as of the date of this release.
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SOURCE GoGold Resources Inc.
Contact
Steve Low, Corporate Development, GoGold Resources, T: 416 855 0435, E: steve@gogoldresources.com