21st Jul 2009 07:00
AIM: CLF
TSX: CFG
Cluff Gold plc
Commissioning of the Kalsaka Gold Mine in Burkina Faso
London, England, 21 July, 2009 - Cluff Gold plc (AIM: CLF; TSX: CFG) ("Cluff" or the "Company"), the West African focused gold mining company announces that, as at 30 June 2009, the operations at the Kalsaka Gold Mine have reached the required standard at which successful commissioning has been achieved.
Gold was first poured at the Kalsaka Gold Mine in October, 2008 and since that time performance has incrementally increased each month.
Total gold production for the first 6 months of 2009 amounted to 26,772 ounces at a cash operating cost of US$595 per ounce (US$632 per ounce including royalty and refining charges). Forecast production for the full year is 60,000 ounces.
"The successful commissioning of the Kalsaka Gold Mine is a direct result of a strong team that has worked diligently to advance this project from development into operations," said Mr. Algy Cluff, Chairman and CEO of Cluff Gold plc. "However, this is just phase one as it is our intention to increase the capacity of the plant at Kalsaka and to increase our resource base such that the Kalsaka Gold Mine becomes the hub for the development of satellite deposits in this area. With the increased throughput, we believe we will achieve better than our forecast production for the year and lower cash cost per ounce."
Kalsaka Gold Mine
The Kalsaka Gold Mine is located approximately 150km north west of Ouagadougou, the capital of Burkina Faso, and contains an oxide gold mineral resource that has already been demonstrated, by a feasibility study, to be technically amenable to open-pit mining and processing via heap leaching. The Company poured the first gold in October of 2008. The projected annualized gold production is 60,000 ounces. The mine has total measured and indicated resource of 12.1 million tones at 1.6 g/t Au and 3.3 million tones of inferred resource at 1.5g/t Au. The ore bodies are amenable to open-pit mining and heap leach processing methods. Cluff has a 78% ownership of the Kalaska Gold Mine, the remaining interest being held by the Company's local partner, IMAR-B (12%) and the government of Burkina Faso (10% free-carried interest).
Douglas D Chikohora has reviewed and approved the information contained within this announcement. Mr Chikohora (MSc., MIMMM., CEng.) is the Technical Director of the Company.
About Cluff Gold
Cluff Gold is focused on the identification, acquisition and development of gold deposits in West Africa that are amenable to open-pit mining and low cost production techniques. The Company has assembled a portfolio of mineral interests at various stages of development in Côte d'Ivoire, Burkina Faso, Sierra Leone, and Mali. Cluff Gold progressed from being an explorer to a producer in Q1 2008 and is expected to produce 100,000 ounces of gold on an annualised basis for 2009 from its Angovia Gold Mine in Cote d'Ivoire and from its Kalsaka Gold Mine in Burkina Faso. Cluff Gold is actively evaluating known satellite deposits to expand the resource base at both mines.
This News Release includes certain "forward-looking information" within the meaning of applicable Canadian securities legislation. All statements other than statements of historical fact, included in this release, including, without limitation, the positioning of the Company for future success, statements regarding potential future production at Angovia and Kalsaka, exploration and drilling results at Baomahun, and future capital plans and objectives of Cluff Gold, are forward-looking information that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Cluff Gold's expectations include, among others, risks related to international operations, the actual results of current exploration and drilling activities, changes in project parameters as plans continue to be refined as well as future price of gold. Although Cluff Gold has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended.
There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Cluff Gold does not undertake to update any forward-looking statements that are included herein, except in accordance with applicable securities laws.
For further information, please contact:
Cluff Gold plc
J.G. Cluff, Chairman
Eileen Carr, Finance Director
Tel: +44 (0) 20 7340 9790
Evolution Securities Limited
Rob Collins
Tim Redfern
Tel: +44 (0) 20 7071 4300
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The Equicom Group Joanna Longo Investor Relations (Canada) +1 416 815 0700 ext 233 |
Farm Street Communications Ltd Simon Robinson Investor Relations (U.K.) +44 (0) 207 099 2212 |
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