China Gold International Resources Provides Preliminary 2016 Production and Guidance and 2017 Outlook
VANCOUVER, January 25, 2017 - China Gold International Resources Co. Ltd. (TSX:CGG; HKEx: 2099) (“China Gold International Resources” or the “Company”) is pleased to provide preliminary guidance on 2016 operating and production results at both of its mines and announce its goals for 2017.
2016 Production Highlights - Gold:
- Gold production of 185,051 ounces from the Chang Shan Hao Gold Mine (“CSH Mine” or “CSH”).
- Gold production of 26,249 ounces from the Jiama Copper-Gold Polymetallic Mine (“Jiama Mine” or “Jiama”) increased by 9% since 2015.
- The Company’s consolidated gold production was 211,301 ounces from both mines, 90% of its previously announced 2016 annual production guidance of 235,000 ounces. The shortfall is attributable to intersecting lower-grades in the current mining zone at the CSH Mine.
2016 Production Highlights - Copper:
- Copper production of 40.4 millionpounds from the Jiama Mine, which surpassed its previously announced 2016 guidance of 38.6 million pounds, increased by 6% from 38.1 million pounds from 2015. This is the sixth straight year of increased production at the Jiama Mine.
Mr. Bing Liu, CEO of the Company, commented, "I am very pleased that the Company has made significant progress this year. The production commissioning of Jiama Phase II Series I has laid a solid foundation for the Jiama expansion plan. The Company’s operations continue to expand and efforts from the entire team are remarkably demonstrated.
I am confident that after our re-optimization of the mine plan and with continuing support from the local community and China National Gold Group, the Jiama Phase II expansion will reach its full capacity smoothly and economically. We will also continue to improve the operation at the CSH mine and create more value for our shareholders and local community by thriving to deliver stronger results in 2017.”
2017 Production Outlook:
- With Jiama Phase II Series I ramping up to its full capacity in the middle of this year, the copper production in 2017 is expected to be doubled to approximately 79 million pounds, while gold production is expected to remain steady at 25,700 ounces.
- The Company’s CSH Mine is expected to produce about 193,000 ounces of gold in 2017.
- The Company’s consolidated gold production from both mines will be 218,700 ounces.
Final Year-End 2016 Results
China Gold International Resources expects to report its detailed Year-End 2016 financial and operating results on March 30, 2017 and the results will be available on the Company’s website and SEDAR. In connection with the release, management will hold its annual roadshow and an announcement event to discuss year-end results and performance.
About China Gold International Resources
China Gold International Resources Corp. Ltd. is based in Vancouver, BC, Canada and operates both profitable and growing mines, the CSH Gold Mine in Inner Mongolia, and the Jiama Copper-Gold Polymetallic Mine in Tibet Autonomous Region of the People’s Republic of China. The Company’s objective is to continue to build shareholder value by growing production at its current mining operations, expanding its resource base, and aggressively acquiring and developing new projects internationally. The Company is listed on the Toronto Stock Exchange (TSX: CGG) and the Main Board of The Stock Exchange of Hong Kong Limited (HKEx: 2099).
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Cautionary Note about Forward-Looking Statements
Certain information regarding China Gold International Resources contained herein may constitute forward-looking statements within the meaning of applicable securities laws. Forward-looking statements may include estimates, plans, expectations, opinions, forecasts, projections, guidance or other statements that are not statements of fact. Although China Gold International Resources believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. China Gold International Resources cautions that actual performance will be affected by a number of factors, most of which are beyond its control, and that future events and results may vary substantially from what China Gold International Resources currently foresees. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration results, continued availability of capital and financing and general economic, market or business conditions. The forward-looking statements are expressly qualified in their entirety by this cautionary statement. The information contained herein is stated as of the current date and subject to change after that date.