VANCOUVER, BRITISH COLUMBIA--(Marketwired - Feb. 6, 2014) - Aurcana Corporation ("Aurcana" or the "Company") (TSX VENTURE:AUN)(OTCQX:AUNFF) is pleased to report the Q4 2013 production results.
"We are pleased to report that La Negra once again delivered another year of increased silver equivalent production, outperforming 2012 by 14%. I want to thank our team at La Negra for their continued efforts in achieving another successful year of growth in production. La Negra team has also delivered by replacing and expanding the current reserves through a focused program of underground development and diamond drilling," commented Mr. Lenic Rodriguez, Aurcana's President & CEO. "We continue to improve operations and look to further increase production in 2014 to between 3.75 to 4.1 million ounces of silver equivalent, a potential increase of more than 40% over 2013. Looking ahead, production planning has already commenced for 2015 at La Negra and the goal is to reach 3,800 tpd production based on continuing technical and financial studies."
LA NEGRA FOURTH QUARTER AND 2013 PRODUCTION HIGHLIGHTS
- Total silver equivalent production was 727,842 ounces in Q4 2013, a 16% increase over Q4 2012. Total silver equivalent production was 2,893,235 ounces in 2013, a 14% increase over 2012.
- Total ore milled was 198,427 tonnes in Q4 2013, a 6% increase over Q4 2012. Total ore milled was 825,013 tonnes in 2013, a 19% increase over 2012.
- Total ore mined was 212,039 tonnes in Q4 2013, a 7 % increase over Q4 2012. Total ore mined was 869,027 tonnes in 2013, a 30% increase over 2012.
- The Company's production guidance for 2014 is between 3.75 and 4.1 million silver equivalent ounces, an increase of between 30% to 42% over 2013. This will be achieved by a maintaining an average mill head grade of 65 g/t Ag, and by a milling throughput of 3,000 tonnes per day.
LA NEGRA MINE UPDATE
- During Q4 2013, the La Negra mill averaged 2,332 tonnes per day (tpd). The lower than planned mill throughput during Q4 was the result of delays in commissioning of the new copper concentrate filter press that constrained throughput rates and mechanical breakdowns in the mill, which included a small fire that damaged a tertiary screen and a failure of one of the three mill motors all of which impacted operations. The Company has implemented a rigorous preventative maintenance and inspection program and identified process component upgrades to significantly reduce future issues with equipment failure.
- La Negra continued to mine more accessible higher grade copper and zinc zones during Q4 2013, resulting in increased volumes of copper and zinc concentrate. A new larger filter press for copper concentrates was installed during Q4 2013, and is now operational. The new filter press, together with repairs and upgrades to the plant equipment, is designed to assist in increasing and maintaining a production rate of approximately 3,000 tpd, commencing in Q1 2014, and maintained through 2014. In Q4 2013, mine development continued accessing new areas that will assist in sustaining the higher production rates in the future. A larger proportion of ore was sourced from the new development headings, which subsequently increased dilution, and lowered overall head grades processed during the quarter. In 2014, the Company plans to access the higher silver grade mineralized zones in the upper levels of the La Negra mine, which will require additional mine equipment, together with ore pass and ventilation raise development that will commence upon receipt of raise boring equipment in Q2 2014.
About Aurcana Corporation
Aurcana Corporation is a primary silver producing company with two properties: the La Negra Mine in Mexico and the Shafter Mine in Texas, US. The latter was put on care and maintenance in December 2013, in part due to depressed silver prices. The Company continues to plan further expansion at its La Negra Mine and to focus on surface exploration on its extensive land holdings in Maconi Mining District.
The Company's shares are also traded in the United States on OTCQX under the symbol "AUNFF". Investors can find current financial disclosure and Real-Time Level 2 quotes for the Company on www.otcqx.com and www.otcmarkets.com.
ON BEHALF OF THE BOARD OF DIRECTORS OF AURCANA CORPORATION
Lenic Rodriguez, President & CEO
Mr. Andrew Kaczmarek, a qualified person (as defined in National Instrument 43-101) and the Company's Chief Operating Officer, has reviewed and approved the scientific and technical information contained in this release.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains certain forward-looking statements, including statements regarding future development and operational activities at the La Negra Project. These statements are forward-looking statements that involve various risks and uncertainties.
Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as "expects" or does not expect", "is expected", anticipates" or "does not anticipate" "plans", "estimates" or "intends" or stating that certain actions, events or results " may", "could", "would", "might" or "will" be taken, occur or be achieved) are not statements of historical fact and may be "forward-looking statements". Forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to materially differ from those reflected in the forward-looking statements.
Actual results may differ materially from results contemplated by the forward-looking statements. Important factors that could differ materially from the Company's expectations include, among others, risks related to general economic conditions, including in particular metals prices, changes in the availability of funding for mineral exploration and development, the ability of the Company to pay its debts as they become due, risks related to international operations, the ability of suppliers to provide equipment, the availability of skilled labour, conclusions of economic evaluations and changes in project parameters as plans continue to be refined, and unanticipated changes in key management personnel. When relying on forward-looking statements to make decisions, investors and others should carefully consider the foregoing factors and other uncertainties and should not place undue reliance on such forward-looking statements. The Company does not undertake to update any forward-looking statements, oral or written, made by itself or on its behalf, except as required pursuant to applicable securities laws. Accordingly, readers should not place undue reliance on forward looking statements.