Red Back Mining Inc.
TSX : RBI

Red Back Mining Inc.

April 20, 2009 09:00 ET

Red Back Production on Target in Q1 2009 at $389 Per Oz Cash Operating Costs

VANCOUVER, BRITISH COLUMBIA--(Marketwire - April 20, 2009) - Red Back Mining Inc. (the "Company" or "Red Back") (TSX:RBI) is pleased to report its preliminary financial results for the first quarter ended March 31, 2009. The Company expects to report its first quarter results on May 11, 2009. Dial in numbers are detailed below for a conference call to discuss the results which will be held at 11 am Eastern Standard Time on May 12, 2009.

Highlights for the First Quarter

- Gold production of 70,408 oz (Tasiast: 36,150 oz and Chirano: 34,258 oz)

- Cash operating costs of $389 per oz (Tasiast: $271 per oz and Chirano: $509 per oz)

- Average realized gold price of $917 per oz

- 39% increase in Mineral Reserves at Tasiast to 2.28 million oz

- Initial Inferred Mineral Resource of 0.49 million oz for the Paboase South and Suraw underground deposits at Chirano

- Closed Cdn $165 million equity financing

Tasiast Gold Project, Mauritania

In the first quarter, Tasiast achieved production of 36,150 oz at a cash operating cost of $271 per oz. Operating costs were lower than expected due to lower processing costs. Red Back estimates Tasiast 2009 cash operating costs to average $320 per oz based on forecast production of 230,000 oz.

The expansion of the Tasiast processing facility remains on schedule and on budget. Commissioning of the facility will commence this quarter.

Development of the new dump leach operation at Tasiast is substantially complete with production expected to ramp up through the year and total 30,000 oz for 2009.

Chirano Gold Project, Ghana

In the first quarter, Chirano produced 34,258 oz at a cash operating cost of $509 per oz. Cash operating costs are in line with budget for this quarter and are expected to decline through the year as the new crushing facility and plant expansion are commissioned. The new crushing facility was commissioned in April 2009 and the plant expansion continues as planned for commissioning in the third quarter. Red Back estimates Chirano's 2009 cash operating costs to average $480 per oz based on forecast production of 170,000 oz.

The development of the Akwaaba Deeps decline has now progressed to 770 metres and the first sub-level cave production is expected in May 2009.

Conference Call dial in details

To participate in the conference call, please dial the following numbers approximately 10 minutes before the start of the call:

May 12, 2009

11:00 a.m. EST

Ph. 1-416-644-3420 or

Toll-Free in the U.S. and Canada: Ph. 1-800-731-6941

A replay will be available starting approximately two hours after the conclusion of the conference call until midnight on May 19, 2009.

Ph. 416-640-1917 or Toll-Free in the U.S. and Canada: Ph. 877-289-8525 Passcode: 21303976#

About Red Back

Red Back Mining Inc. is an unhedged African focused gold producer. It owns and operates the Chirano Gold Mine in Ghana (90% interest) and the Tasiast Gold Mine in Mauritania (100% owned). Major plant expansions at both Chirano and Tasiast are well advanced with commissioning underway. Aggressive exploration programs aimed at increasing the Company's resource and reserve base at both Chirano and Tasiast is continuing.

This News Release contains forward looking statements which are 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. The Company does not intend to update this information and disclaims any legal liability to the contrary.

On behalf of the Board of Directors:

Richard P. Clark, President

Contact Information

  • Red Back Mining Inc.
    Simon Jackson
    VP-Corporate Development
    604-689-7842
    or
    Red Back Mining Inc.
    Sophia Shane
    Investor Relations
    604-689-7842
    www.redbackmining.com