Vancouver, Canada — MININGREVIEW.COM — 18 January 2010 – Red Back Mining Incorporated “’ a Canadian-based and TSX-listed resource company focusing on West Africa “’ achieved record production of 111,193 oz of gold in the fourth quarter of 2009 at its two key projects “’ the Chirano Gold Mine in Ghana and the Tasiast Gold Mine in Mauritania.
In a statement released here the company confirmed that this resulted in full year production of 342 085 oz “’ a 31% increase over 2008.
Following the completion of major plant expansions at both projects, the company was forecasting total gold production in the range of 485 000 to 525 000 oz in 2010 at a cash operating cost of between US$390 and US$420 per oz. This was a 46% increase over 2009 production levels.
The statement went on to say that Tasiast was projected to produce 245 000 to 265 000 oz at a cash operating cost of between US$325 and US$350 per oz. Capital expenditures at Tasiast were budgeted at US$48 million (R360 million), excluding exploration. Exploration was budgeted at US$22 million (R165 million) for the first six months of 2010.
It added that Chirano was projected to produce 240 000 to 260 000 oz at a cash operating cost of between UD$460 and US$490 per oz. Capital expenditures at Chirano were budgeted at US$77 million (R577 million), excluding exploration. Exploration was budgeted at US$6 million (R45 million) for the first six months of 2010.
Commenting on 2009 results and 2010 forecasts, president and CEO Richard Clark stated:
“We are extremely pleased with our achievements in 2009 with both CIL plants having been expanded and the Akwaaba Deeps underground mine at Chirano and the dump leach operation at Tasiast being successfully commissioned. 2010 production is now running at projected levels.
This will be another exciting year for Red Back with the size of the Greenschist zone at Tasiast increasing rapidly and commencement of development of the Paboase South underground mine at Chirano. The impressive growth in resources and reserves anticipated at both mines this year will confirm the longevity of our operations at higher production rates,” he added.