July 12, 2010
Bisha Project Remains on Schedule and On Budget
Bisha Mining Share Company is pleased to provide a brief update on the Bisha project in Eritrea.
The project continues to be on schedule and on budget. Bisha is advancing well towards plant commissioning phase late this year. After a relatively short commissioning process (60 days) and after reaching commercial production during Q1 2011, the Company expects to produce in excess of 100,000 ounces of gold each quarter at a cost of less than $250 per ounce. With over 95% of procurement completed, project management are comfortable the actual capital cost will be within the budget of approximately $260 million.
With these low operating costs, Bisha is anticipated to have much higher than average industry profitability and cash flow. Estimated Bisha Project cash flow under various metals price assumptions is included on the Bisha web site - http://www.bishamining.com/index.php/project/projecthighlights.
Pictures of the construction progress are updated regularly and can be found on the Company web site – http://www.bishamining.com/index.php/gallery.
Forward Looking Statements: The above contains forward-looking statements concerning cash position, construction progress and project economics. Forward-looking statements are frequently, but not always, identified by words such as “expects,” “anticipates,” “believes,” “intends,” “estimates,” “potential,” “possible” and similar expressions, or statements that events, conditions or results “will,” “may,” “could” or “should” occur or be achieved. Forward-looking statements are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward-looking statements due to a variety of risks, uncertainties and other. The Company’s forward-looking statements are based on the beliefs, expectations and opinions of management on the date the statements are made and the Company assumes no obligation to update such forward-looking statements in the future.
Bisha Mining Share Company
Cliff T. Davis