New Dawn Mining Corp. - Record Quarterly Consolidated Gold Sales of US$15.44 Million for the Quarter Ended December 31, 2011, as compared to US$6.46 Million for the Quarter Ended December 31, 2010
139.1% Increase in Quarterly Consolidated Gold Sales for the Quarter Ended December 31, 2011, as compared to the Quarter Ended December 31, 2010
89.2% Increase in Quarterly Consolidated Gold Production for the Quarter Ended December 31, 2011, as compared to the Quarter Ended December 31, 2010
TORONTO, Jan. 23, 2012 /CNW/ - New Dawn Mining Corp.
('New Dawn' or the 'Company') reported consolidated gold production for the quarter ended December 31, 2011 of 9,095 ounces (8,399 ounces attributable to New Dawn, after adjusting for the minority interests' share of gold production), as compared to consolidated gold production for the quarter ended December 31, 2010 of 4,808 ounces (4,577 ounces attributable), an increase of 89.2% (83.5% increase on an attributable basis).As compared to consolidated gold production for the previous quarter ended September 30, 2011 of 8,814 ounces (8,212 ounces attributable), consolidated gold production for the current quarter ended December 31, 2011 increased by 3.2% (2.3% increase on an attributable basis).
Consolidated gold sales for the quarter ended December 31, 2011 totalled US$15,440,766 (US$14,238,642 attributable) at an average sales price per ounce of gold of US$1,684, as compared to US$6,458,735 (US$6,184,661 attributable) for the quarter ended December 31, 2010 at an average sales price per ounce of gold of US$1,370, an increase of 139.1% (130.2% increase on an attributable basis).
As compared to consolidated gold sales for the previous quarter ended September 30, 2011 of US$14,059,739 (US$13,145,209 attributable), consolidated gold sales for the current quarter ended December 31, 2011 increased by 9.8% (8.3% increase on an attributable basis).
100% of proceeds from gold sales were received in US dollars.
At December 2011 month-end, an additional 2,337 ounces of gold awaited export documentation for sale in South Africa, and will be included in January 2012 sales.
With December 2011 total gold production of 3,252 ounces, equivalent to annualized gold production of 39,024 ounces, the Company achieved its production target of 38,000 to 40,000 ounces of annualized gold production within its projected timeframe, despite four public holidays in Zimbabwe during December 2011.
The Company will file its unaudited consolidated financial statements and related materials for its fiscal first quarter ended December 31, 2011, and report its consolidated results of operations for such period, on or before the extended filing deadline of March 15, 2012. The filing deadline has been extended by 30 days from the standard February 15 filing deadline as the fiscal quarter ended December 31, 2011 is the first fiscal period in which the Company will be reporting financial information under International Financial Reporting Standards.
About New Dawn:
New Dawn is a Zimbabwe-focused junior gold company that is currently expanding production, with a targeted run rate of approximately 5,000 ounces of gold per month, equivalent to approximately 60,000 ounces of annualized gold production, by December 2012. New Dawn plans to further increase production at its existing properties to reach a targeted run rate of approximately 100,000 ounces of annualized gold production by December 2014.
New Dawn owns 100% of the Turk and Angelus Mine, the Old Nic Mine and the Camperdown Mine. In addition, New Dawn has an approximately 85% equity interest in the Dalny Mine, the Golden Quarry Mine and the Venice Mine, and a large portfolio of prospective exploration acreage in Zimbabwe. These six mines, five of which are now operational, are divided into three significant gold camps, and have a combined milling capacity of 2,000 tonnes per day.
In addition to gold production, New Dawn is also actively exploring on highly prospective ground employing modern exploration techniques and deploying capital in Zimbabwe, a country that is proven to be geologically rich, highly prospective, and significantly under explored.
All properties and exploration projects are located in Zimbabwe.
New Dawn, with its large gold resource, existing mine sites and production facilities, and current exploration programs, is a growing gold mining company in Zimbabwe, active in both gold production and gold exploration.
Additional information on New Dawn's gold reserve and resource estimates is included at the Company's web-site at www.newdawnmining.com or in the Company's filings on SEDAR at www.sedar.com.
The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or the accuracy of this release.
The contents of this news release were supervised and reviewed by Ian R. Saunders, B.Sc., who is President, Chief Executive Officer, and a Director of New Dawn Mining Corp., and who is a Qualified Person within the meaning of NI 43-101.
Special Note Regarding Forward-Looking Statements: Certain statements included or incorporated by reference in this news release, including information as to the future financial or operating performance of the Company, its subsidiaries and its projects, constitute forward-looking statements. The words 'believe,' 'expect,' 'anticipate,' 'contemplate,' 'target,' 'plan,' 'intends,' 'continue,' 'budget,' 'estimate,' 'may,' 'schedule' and similar expressions identify forward-looking statements. Forward-looking statements include, among other things, statements regarding targets, estimates and assumptions in respect of gold production and prices, operating costs, results and capital expenditures, mineral reserves and mineral resources and anticipated grades and recovery rates. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by the Company, are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Many factors could cause the Company's actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, the Company. Such factors include, among others, risks relating to reserve and resource estimates, gold prices, exploration, development and operating risks, political and foreign risk, uninsurable risks, competition, limited mining operations, production risks, environmental regulation and liability, government regulation, currency fluctuations, recent losses and write-downs and dependence on key employees. See 'Risk Factors' in the Company's Annual Information Form - 2011. Due to risks and uncertainties, including the risks and uncertainties identified above, actual events may differ materially from current expectations. Investors are cautioned that forward-looking statements are not guarantees of future performance and, accordingly, investors are cautioned not to put undue reliance on forward-looking statements due to the inherent uncertainty therein. Forward-looking statements are made as of the date of this press release and the Company disclaims any intent or obligation to update publicly such forward-looking statements, whether as a result of new information, future events or results or otherwise.
New Dawn Mining Corp.
CONTACT: Investor Relations Contact: Richard Buzbuzian +1 416.585.7890
President and Chief Executive Officer: Ian R. Saunders +1 416.585.7890
Visit New Dawn on the internet: www.newdawnmining.com
E-mail New Dawn at: info@newdawnmining.com