White Tiger Gold Ltd.

White Tiger Gold Ltd.

October 31, 2011 07:00 ET

White Tiger Advances Improvements in Production at Lamaque

VAL D'OR, QUÉBEC--(Marketwire - Oct. 31, 2011) - White Tiger Gold Ltd. (TSX:WTG) ("White Tiger") announces the Company has undertaken a series of actions with the goal of increasing the production at the Company's Lamaque project and San Juan mine.

The actions taken to date at Lamaque include:

  • CMAC's operations have been restarted, and the ongoing development in the North Wall CMAC will also be contracted to provide ore mining services from the dykes and shears, in order utilize the efficiencies and skills previously shown by CMAC. At the end of the first quarter of 2012 Lamaque is forecast to be mining ore at a rate of 2,000 tonnes per day;
  • Exploration drilling has been resumed with the objective of stope definition of new targets in the Lamaque Flats and the North Wall dyke structures. The Company is planning to bring in a drilling contractor during the fourth quarter to explore the Sigma West / Main Dyke area;
  • A number of key appointments have been made to strengthen the mining operations, including:
    • General Manager Rainer (Kurt) Hengstmann has over 30 years operational experience in the mining industry in a wide range of countries and cultures. He has spent 16 years in underground mining and project development, and a further 12 years in senior management positions. His mining career includes underground operations in South Africa including the development of the trackless Platinum/Chromite Mine Lefkochrysos, similar to our Lamaque Flats. He has spent several years in project management in regions including Southern Africa, USSR, Turkey, Kazakhstan, and Chile, and in projects as wide ranging as shaft development, continuous miner operations and shaft hoisting. Further, he has managed major underground tunneling and infrastructure projects in Russia and Thailand. Additionally, he has experience in dealing with large scale projects in different cultures including as Lead Advisor to the Afghanistan Government's US $54 billion Aynak Copper Mine Development Agreement negotiations, and as the Director in charge of restarting the mining sector in Kosovo after the war.

    • Chief engineer, Adrian Imre has over 25 years in engineering and engineering management at the senior level, specializing in mine operations optimization and cost reduction, mine planning, development and ground stability. His experience includes 16 years in Romania with all aspects of underground operations, including 4 years as a senior lecturer on mine design, blasting design and operations efficiency at the North University, Baia Mare, Romania before becoming General Manager of Engineering at S.C. Axinia, Romania in mining consulting. His production experience includes underground copper/gold with Sociedad Contractual Minera Carola in the Atacama Region, Chile.

    • Mining Manager Robert (Bob) Austin is an experienced operator with a strong results orientation and direct responsibility for underground, open-pit and surface mining operations for gold and base metals. He is a Mining Engineering graduate from the Royal School of Mines, London University and earned an MBA from the London Business School. He holds a Mine Manager's Certificate of Competence for Fiery Mines (South Africa) and blasting certificates for both underground and open-pit mines.

    • In addition an underground mining operations consultant has been hired on a temporary basis to help improve productivity at Lamaque. He has nearly 40 years of international mining experience with 20 years in underground operations.

This team considerably increases the Company's skills and experience in underground mining and they are well advanced in development and optimization programs focused on dilution control, maximizing tonnage and supervisor and operator training.

Daniel Major, CEO, noted, "The recently announced financings have allowed us to complete a new contract with CMAC to accelerate development and ore production from the North Wall, now strengthened by a mining team that can focus on productivity and grade control from the Lamaque Flats."

About White Tiger Gold

White Tiger Gold Ltd. is a TSX-listed mining and exploration company, focused on the development of mineral resources in Canada, the Russian Federation and Peru.

Caution Concerning Forward-Looking Information

This news release contains forward looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995 and forward-looking information within the meaning of applicable Canadian securities laws including with respect to the entering into of a definitive loan facility agreement with VTB and the completion of the business combination between White Tiger Gold and CMC. Words such as "may", "will", "should", "anticipate", "plan", "expect", "believe", "estimate" and similar terminology are used to identify forward-looking statements and forward-looking information. Such statements and information are based on assumptions, estimates, opinions and analysis made by the management of White Tiger Gold in light of their experience, current conditions and their expectations of future developments as well as other factors which they believe to be reasonable and relevant. Forward-looking statements and information involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied in the forward-looking statements and information. Risks and uncertainties that may cause actual results to vary include but are not limited to: the conditional nature of the agreement between VTB and White Tiger Gold, including the completion of satisfactory due diligence by VTB on White Tiger Gold and CMC; the conditional nature of the business combination between White Tiger Gold and CMC, including the requirement for approval of the business combination by the shareholders of each of CMC and White Tiger Gold, the TSX, the TSX Venture Exchange, the Ontario Superior Court of Justice as well as any required approval under the Investment Canada Act; any exercise by White Tiger Gold of its rights of termination under the arrangement agreement between White Tiger Gold and CMC (together, the "Companies") dated as of March 11, 2011, as amended June 16, 2011; changes in equity and debt markets; fluctuations in gold and other commodity prices; as well as other risks and uncertainties which are more fully described in White Tiger Gold's Annual Information Form dated March 30, 2011 and annual and quarterly Management's Discussion and Analysis and in other filings made by White Tiger Gold with Canadian securities regulatory authorities and available at www.sedar.com.

Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable laws, White Tiger Gold disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although White Tiger Gold believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.

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