ALBUQUERQUE, N.M.--(BUSINESS WIRE)--Santa Fe Gold Corporation (OTCBB: SFEG) is pleased to announce that the Summit silver-gold mine in southwest New Mexico has reached its ramp-up target extraction rate of 10,000 tons of ore per month. Processing of ore through the Lordsburg mill has increased consistently over the past seven months and in June 2012 also is projected to reach 10,000 tons. Silver and gold output is expected to continue to increase over the next several quarters as higher grades are encountered in the mine. Full project performance is anticipated in calendar 2013. Last month Santa Fe announced the commencement of commercial production, and last week reported record operating results for the three and nine months ended March 31, 2012.
“Mechanized mining is working well and we are pleased to have reached our monthly target production rate of 10,000 tons,” said Pierce Carson, CEO of Santa Fe. “Beginning this week, we will be extracting 500 tons of ore per day from the mine on a schedule of five days a week. Cutting back from seven to five days a week will allow us to maintain our monthly production of 10,000 tons and also to perform equipment and mine maintenance two days a week, which will reduce equipment downtime and increase overall efficiency.”
The Summit mine contains relatively high grades of silver and gold. Carson noted that once full performance is reached, the project is expected to be a low cost producer and should be profitable even at lower metal prices.
About Santa Fe Gold:
Santa Fe Gold is a U.S.-based mining
and exploration enterprise focused on acquiring and developing gold,
silver, copper and industrial mineral properties. Santa Fe controls: (i)
the Summit mine and Lordsburg mill in southwestern New Mexico, which
began processing operations in 2010; (ii) a substantial land position
near the Lordsburg mill, comprising the core of the Lordsburg Mining
District; (iii) the Ortiz gold property in north-central New Mexico;
(iv) the Black Canyon mica deposit and processing equipment near
Phoenix, Arizona; and (v) a deposit of micaceous iron oxide (MIO) in
western Arizona. Santa Fe Gold intends to build a portfolio of
high-quality, diversified mineral assets with an emphasis on precious
metals.
To learn more about Santa Fe Gold, visit www.santafegoldcorp.com.
Cautionary Note Regarding Forward-Looking Statements:
This
press release contains forward-looking statements and forward-looking
information (collectively, “forward-looking statements”) within the
meaning of applicable US and Canadian securities legislation. All
statements, other than statements of historical fact, included herein
are forward-looking statements. Although the Company believes that such
statements are reasonable, it can give no assurance that such
expectations will prove to be correct. Forward-looking statements are
typically identified by words such as: believe, expect, anticipate,
intend, estimate, postulate and similar expressions, or are those,
which, by their nature, refer to future events. The Company cautions
investors that any forward-looking statements by the Company are not
guarantees of future results or performance, and that actual results may
differ materially from those in forward looking statements as a result
of various factors, including, but not limited to, variations in the
nature, quality and quantity of any mineral deposits that may be
located, variations in the market price of any mineral products the
Company may produce or plan to produce, the Company's inability to
obtain any necessary permits, consents or authorizations required for
its activities, the Company's inability to produce minerals from its
properties successfully or profitably, to continue its projected growth,
to raise the necessary capital or to be fully able to implement its
business strategies, and other risks and uncertainties disclosed in the
Company’s Annual Report on Form 10-K for the year ended June 30, 2011
and its most recent quarterly reports filed with the United States
Securities and Exchange Commission (the “SEC”), and other information
released by the Company and filed with the appropriate regulatory
agencies. All of the Company's US public disclosure filings may be
accessed via www.sec.gov
and its Canadian public disclosure filings may be accessed via www.sedar.com,
and readers are urged to review these materials.