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July 9, 2013

Bisha Mining Announces Q2 2013 Operating Results

 

Q2 2013 OPERATING HIGHLIGHTS

  • Safety milestone reached - 12 million man hours without a lost time injury
  • Gold production of 34,900 ounces in line with guidance
  • Copper expansion project completed on-time and under budget
  • Copper plant commissioning with pyrite sand on schedule
  • Milled 455,000 tonnes at 2.75 g/t gold and 80% recovery

Bisha Mining Share Company (BMSC) is pleased to announce gold production results of 34,900 ounces for the quarter ending June 30, 2013, in line with 2013 production guidance of 110,000 ounces of gold in addition to 30 to 50 million pounds of copper in concentrate.

A summary of the Company's second quarter operating results are as follows:

 

Q2 2013
3 months ending
June 30

Q1 2013
3 months ending
March 31

Year-to-Date 2013
6 months ending
June 30

Mining

 

Ore mined, tonnes1

425,000

475,000

900,000

Waste mined, tonnes

1,647,000

1,925,000

3,572,000

Strip ratio (calc in BCM’s)

4.5

5.1

4.8

Milling

 

Ore milled, tonnes

455,000

432,000

887,000

Feed grade, g/t

2.75

4.14

3.43

Processing

 

Recovery % of gold

80%

79%

79%

Gold in doré, ounces poured

34,900

42,300

77,200

Gold ounces in PM2 concentrate

2,700

-

2,700

Silver ounces in PM2 concentrate

277,000

-

277,000

1 Q2 2013 mining tonnage includes both oxide ore from Harena (249,000 tonnes) and from Bisha Main pit (176,000 tonnes) of which the latter is inclusive of the transitional pyrite sands ore (93,000 tonnes)

2 PM is the precious metals concentrate produced from flotation of 56,000 tonnes transitional pyrite sand materials with the tails from this flotation directed to the CIL for gold in doré ounces poured

Cliff Davis, BMSC Chairman stated “We are particularly proud of the safety record at the Bisha Mine, with a milestone of 12 million man hours without a lost time injury.  The last LTI was in Q4 of 2011. ”

Waste mined in the quarter was 1,675,000 tonnes for a strip ratio of 4.5 to 1 by volume. Waste stripping remains behind plan however this is not expected to have an adverse impact on copper production through to the end of 2014. Actions are in place to rectify the underlying equipment delivery and maintenance issues. The northeast layback has been delayed such that the oxide ore below the northeast wall will likely be mined and stock piled for processing in future years. The Company’s 2013 guidance remains unchanged.

The 455,000 tonnes milled was inclusive of 56,000 tonnes of the transitional pyrite sand ore processed commencing June 15 2013.  Pyrite sand processing, which serves to partially commission the copper flotation plant, is progressing to plan with minor problems rectified.  To date, the pyrite sand is performing to expectations for metallurgical performance.

Gold dore poured was 34,900 ounces in the quarter.  Starting June 15 an additional 2,700 ounces gold and 277,000 ounces silver was produced in concentrate. The precious metals concentrate will either be direct sold or blended with copper concentrate.

 

Forward Looking Statements: The above contains statements regarding future gold and copper production, mine operations, and process recoveries. Forward-looking statements are frequently, but not always, identified by words such as “expects,” “anticipates,” “believes,” “intends,” “estimated,” “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 factors.  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”

Cliff T. Davis
Chairman