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NEX: MGZ.H
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Mangazeya Mining Ltd. announces its production results

Publish date: 29.11.2017

Print version

TORONTO, ONTARIO,November 29, 2017 – Mangazeya Mining Ltd. (“Mangazeya” or the “Company”) (NEX: MGZ.H) is pleased to announce its production results for the third quarter and the nine months ended September 30, 2017.

Highlights:

  • Gold sales during 9m 2017 was 17.6 koz, a decrease of 9.3% compared to the previous year, and gold production was 18.8 koz, a decrease of 11.3% y-o-y.
    Gold sales during 3Q 2017 was 11.4 koz, a decrease of 10.9% compared to the previous year, and gold production for 3Q 2017 was 10.5 koz, a decrease of 19.8% y-o-y.
  • In 9m 2017, total ore mined was 847 kt (+9.1 % y-o-y) with the average grade 1.27 g/t (+19.8% y-o-y). In Q3 2017, total ore mined was 327 kt (+1.2% y-o-y) with the average grade 1.34 g/t (+17.5% y-o-y).
  • The average stripping ratio in 9m 2017 decreased by 5.3% compared to the previous year.
  • In 9m 2017, total ore stacked was 848 kt (-11.1% y-o-y) with the average grade 1.17 g/t (-3.3% y-o-y). In Q3 2017, total ore stacked was 331 kt (-20.6% y-o-y) with the average grade 1.14 (+6.5% y-o-y).
Q3 2017 Q3 2016 Y-o-Y change 9m 2017 9m 2016 Y-o-Y change
Total rock moved, ‘000 m3 1,048 1,273 -17.7% 3,709 3,559 4.2%
Stripping, ‘000 m3 895 1,124 -20.4% 3,311 3,199 3.5%
Ore mined, kt 327 323 1.2% 847 776 9.1%
Stripping ratio, m3/t 2.74 3.48 -21.3% 3.91 4.13 -5.3%
Average grade in ore mined, g/t 1.34 1.14 17.5% 1.27 1.06 19.8%
Gold in ore mined, kg 437 368 18.8% 1,075 824 30.5%
Ore stacked, kt 331 417 -20.6% 848 954 -11.1%
Average grade in ore stacked, g/t 1.14 1.07 6.5% 1.17 1.21 -3.3%
Gold in ore stacked, kg 376 444 -15.3% 993 1,153 -13.9%
Gold production, koz 10.5 13.1 -19.8% 18.8 21.2 -11.3%
Gold sold, koz 11.4 12.8 -10.9% 17.6 19.4 -9.3%

Mining volumes in 9m 2017 as compared to 9m2016 were broadly in line with the mining schedule, however the volume of ore mined in Q3 2017 was affected by temporary suspension of mining works on Khlebniy deposit during September 2017 because of the exploration and evaluation activities. Average grade in ore mined was higher than was planned, due to development of areas with higher grading (South-West part of the deposit). Stripping and stripping ratio decreased because of the redistribution of the mining works to deliver the maximum results thereafter. Ore stacked decreased in 9m 2017 as compared to 9m 2016 in the result of the temporary flooding of a South-West part of the deposit and inability of the immediate involvement in processing. The production volume decreased compared to the corresponding period because of the decrease in ore stacked.

About Mangazeya Mining Ltd.

Mangazeya Mining Ltd. is a NEX-listed mining and exploration company, focused on the development of mineral resources in the Russian Federation.

Contact:
Sergey Yanchukov
Chief Executive Officer
Mangazeya Mining Ltd.