Marlin Gold Mining Ltd.

Marlin Gold Mining Ltd.

June 12, 2015 20:29 ET

Marlin Gold Mining Ltd. Provides Corporate Update

VANCOUVER, BRITISH COLUMBIA--(Marketwired - June 12, 2015) -


Marlin Gold Mining Ltd. (TSX VENTURE:MLN) ("Marlin" or the "Company") has been integrating its Arizona properties acquired after the closing of the Commonwealth Silver and Gold Inc. ("Commonwealth") acquisition on May 21, 2015. After further review of the geological database, Management believes that Commonwealth represents a second district-scale land package in addition to our 118,000 hectare land package in Sinaloa, Mexico surrounding our operating La Trinidad gold mine. The addition of Commonwealth allows Marlin to continue building a diversified precious metal mining company.

On June 3, 2015 Marlin closed a $13 million private placement, with approximately $11.6 million of this being used for debt repayment, including $5 million to the Sprott Resource Lending Partnership. This has significantly improved the Company's balance sheet and provided the financial flexibility to bring the San Carlos satellite pit into our mine plan as early as September 2015 depending on the results of our accelerated development plan. We expect the total capital expenditures to develop the San Carlos satellite pit to be around $5 million (US$4 million).

Exploration drilling has begun at La Trinidad, which is the first time an exploration drill rig has been on site since 2011. This drilling program will concentrate on infill drilling at our primary Taunus pit, and resource delineation at our San Carlos satellite pit.

La Trinidad Optimization is Progressing Well

Sonoran Resources LLC, led by Jesse Muñoz, has been advancing the Company's Taunus pit optimization and San Carlos accelerated development plan since the beginning of May. Since this time, key components of our operations, including our adsorption, desorption and recovery ("ADR") plant, waste removal within the Taunus pit and recoveries at our leach pad have been performing better than they have been since declaring commercial production in November of 2014. Our average recovery rates at the leach pad have been materially better, with cumulative recovery rates nearly 4% better than they were at the beginning of May. Changing in leaching procedures, including better irrigation of slide slopes and rotating the areas under leach in an optimized fashion have allowed us to recover significant gold from our inventories. Waste material that was built up during the first four months of the year has been removed, allowing our pit to gain access to lower levels, and accelerating the time it will take to get to the high grade HS zone earlier in Q2 2016. Our ADR plant has been operating at 95% efficiency since it has been optimized (vs. 90% before) and is flowing nearly 6% more solution through the plant (8,500 vs. 8,000 cubic meters per day). The net effect is that gold production has increased over 12% per day assuming constant solution grades. Since the end of the last quarter we have shipped and sold approximately 5,100 ounces of gold.

Management Changes Will Further Advance Marlin's Assets

As Marlin transitions to a multi-asset and multi-jurisdiction mining company, it is crucial that the Company develop a flexible and scalable operating team that is capable of advancing as many assets as we can bring into the portfolio. Sonoran Resources LLC has demonstrated that they are the ideal team to be advancing and optimizing Marlin's mines and projects. They have proven themselves at La Trinidad, and being headquartered in Arizona will significantly help the advancement of Commonwealth. To this end, Marlin is pleased to welcome Jesse Muñoz as interim COO of the company replacing John Brownlie, the former CEO and COO of Marlin. Akiba Leisman will assume the role of interim CEO in addition to Executive Chairman.

About Marlin Gold

Marlin is a TSX-V publicly-listed company with properties located in Sinaloa and Zacatecas, Mexico and Arizona, U.S.A. Marlin's priority is to advance its properties toward commercial production and enhance shareholder value through financial optimization, namely through the growth of its wholly-owned subsidiary, Sailfish Royalty Corp. The La Trinidad property, which hosts the Taunus gold deposit, declared commercial production on November 1, 2014. An NI 43-101 mineral resource estimate and preliminary economic assessment for the Taunus gold deposit can be found at or at

Neither the TSX Venture Exchange nor its Regulation Services Provider (as the term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Cautionary statement regarding forward‐looking information

This news release contains 'forward-looking statements' within the meaning of applicable securities laws. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by words such as the following: expects, plans, anticipates, believes, intends, estimates, projects, assumes, potential and similar expressions. Forward-looking statements also include reference to events or conditions that will, would, may, could or should occur, including in relation to statements regarding the completion of any equity financing, use of proceeds from any equity financing, the expected results and timing for the development and exploitation of any mineral resources, the timing of reprocess of material and production from La Trinidad. These forward-looking statements are necessarily based upon a number of estimates and assumptions that, while based on management's expectations and considered reasonable at the time they are made, are inherently subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from those reflected in the forward-looking statements, including, without limitation: uncertainties related to raising sufficient financing to fund planned work in a timely manner and on acceptable terms; changes in planned work resulting from logistical, technical or other factors; the possibility that results of work will not fulfill projections/expectations and realize the perceived potential of the Company's projects; uncertainties involved in the interpretation of drilling results and other tests and the estimation of gold resources; risk of accidents, equipment breakdowns and labour disputes or other unanticipated difficulties or interruptions; the possibility of environmental issues at the Company's projects; the possibility of cost overruns or unanticipated expenses in work programs; the need to obtain permits and comply with environmental laws and regulations and other government requirements; fluctuations in the price of gold and other risks and uncertainties, including those described in the Company's current Annual Information Form filed on SEDAR at As a result, readers are cautioned not to place undue reliance on these forward-looking statements. The forward-looking statements contained in this news release are made as of the date of this release. Unless required by law, Marlin has no intention to and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

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