TSX Venture Exchange
TORONTO, April 11, 2012 /PRNewswire/ - NWM Mining Corporation (the "Company" TSX-V: NWM) is pleased to provide an operational update for the first quarter of 2012, and to announce the declaration of commercial production at the Lluvia-Jojoba gold mine. The mine is now commissioned and cash-flow positive, and a ramp up of throughput is expected to continue in accordance with 2012 mine operating plans.
During the quarter ended March 31 (Q1.2012), 746,937 tonnes of ore were mined from the Creston pit of Lluvia de Oro and stacked on leach pads for gold recovery. This ore contained 9,859 ounces of gold, of which 5,915 ounces are expected to be recovered. Cash costs for the 2,991 oz. of gold produced in the months of January and February were calculated to be $ 1,235 USD/oz. Au. Cash costs per oz. of gold produced are expected to be reduced going forward as production rates increase toward target levels.
During the quarter the Company sold 4,100 ounces of gold at a weighted average price of USD $ 1,640 for total proceeds of USD $ 6,725,735. At the end of the quarter there were approximately 1,137 additional ounces of gold which had been poured and transported for refining at Johnson Matthey in Salt Lake City, Utah.
"Commercial production is a significant milestone for NWM, and we are pleased to be entering into a new stage of the Company's development. The first blast of Jojoba ore was fired in mid March and consisted of 40,000 tonnes of mineralisation. Construction of the haul road to handle heavy trucks from La Jojoba is almost complete so that treatment of Jojoba ore can be started on the Lluvia Dos leach pad. The next phase of mine development involves augmenting the current gold production from Lluvia de Oro, with additional gold production from the La Jojoba deposit," said Chris Berlet CEO.
NWM is an emerging gold producer with two currently defined ore bodies containing NI 43-101 compliant gold reserves and resources. The Company is focused on demonstrating profitable operations at the Lluvia de Oro and La Jojoba gold mines, and on growing reserves and resources through exploration.
For more information please see NWM's website at www.nwmcorp.ca
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy of this release.
SOURCE NWM Mining Corporation