MONTREAL, Jan. 22, 2018 (GLOBE
NEWSWIRE) -- SEMAFO Inc. (TSX:SMF) (OMX:SMF) reports 2017
production of 206,400 ounces at an all-in sustaining cost of $943
per ounce. As a result, the Corporation has beat its revised
production and met its cost guidance for the year.
Mana
- In the fourth quarter, Mana produced 49,500
ounces of gold at a total cash cost1 of $667
per ounce and all-in sustaining cost2 of $987
per ounce
- Annual production of 206,400 ounces, slightly
ahead of 2017 guidance of 190,000 to 205,000 ounces
- Total cash cost1 for 2017
of $655 per ounce
- All-in sustaining cost2 for 2017
of $943 per ounce, in line with guidance of $920 to $960 per
ounce
- Gold sales of 205,300 ounces generated 2017
revenues of $259 million ($1,261 per ounce)
Mining
Operations
Mana,
Burkina Faso
|
|
Three-month period |
|
Year |
|
|
ended
December 31, |
|
ended
December 31, |
|
|
2017 |
2016 |
Variation |
|
2017 |
2016 |
Variation |
|
|
|
|
|
|
|
|
|
Tonnes
processed |
|
653,500 |
714,200 |
(8%) |
|
2,739,900 |
2,753,300 |
- |
Head
grade (g/t) |
|
2.43 |
2.52 |
(4%) |
|
2.46 |
2.88 |
(15%) |
Recovery (%) |
|
97 |
95 |
2% |
|
95 |
94 |
1% |
Gold
ounces produced |
|
49,500 |
55,100 |
(10%) |
|
206,400 |
240,200 |
(14%) |
Gold
ounces sold |
|
49,200 |
57,100 |
(14%) |
|
205,300 |
240,600 |
(15%) |
|
|
|
|
|
|
|
|
|
In 2017, the head grade decreased
slightly compared to 2016 as a result of a decision to add 603,800
tonnes of low grade material at an average grade of 0.70 g/t Au to
the mix during the year. Without this, the head grade for the year
would have been 2.96 g/t Au.
2017 numbers are unaudited and
subject to final adjustment. All $ amounts are in US dollars,
unless otherwise indicated.
1 Total
cash cost is a non-IFRS financial performance measure with no
standard definition under IFRS and represents the mining operation
expenses and government royalties per ounce sold.
2 All-in
sustaining cost is a non-IFRS financial performance measure with no
standard definition under IFRS and represents the total cash cost,
plus sustainable capital expenditures and stripping costs per ounce
sold.
Boungou 80%
Complete
As at December 31, 2017,
construction of the Boungou Mine was 80% completed and remained on
time for commissioning in the third quarter of 2018. In addition,
the following achievements had been made:
- Development on budget with $159 million of the
$231 million capital spent
- Cash and restricted cash of $222 million as at
December 31, 2017
- Completion of concrete pour, some 70% of
structural steel and 55% of mechanical installation
- Erection of CIP tanks completed
- Tailings storage facility was almost 70%
completed
- Completion of almost 80% of the power plant and
over 70% of the fuel depot
- Pre-stripping was over 50% completed with 9.7
million of the projected 18 million tonnes extracted
- Installation of the SAG mill scheduled for
completion at end of January 2018
- 3.7 million person hours worked without lost-time
injury
The table below presents the
construction milestones for the Boungou Mine and their level of
completion:
http://resource.globenewswire.com/Resource/Download/4bb6aae4-6661-4c83-9f47-7830ae941693
To follow the construction
progress, please view the following link to the Boungou Mine photo
and video gallery on our
website: http://www.semafo.com/English/news-and-media/Boungou-Media-Page/default.aspx
2018 Outlook and Siou
PFS
The 2018 outlook and the pre-feasibility study results for Siou
underground will be released after market close on February 15. A
conference call will be held at 8 am on February 16 to discuss the
results, the details of which will be given in the release.
About
SEMAFO
SEMAFO is a Canadian-based gold
mining company with production and exploration activities in West
Africa. The Corporation operates the Mana Mine in Burkina
Faso, which includes the high grade satellite deposit of Siou and
is targeting production start-up of the Boungou Mine in the third
quarter of 2018. SEMAFO's strategic focus is to maximize
shareholder value by effectively managing its existing assets as
well as pursuing organic and strategic growth opportunities.
CAUTION
CONCERNING FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements.
Forward-looking statements involve known and unknown risks,
uncertainties and assumptions and accordingly, actual results and
future events could differ materially from those expressed or
implied in such statements. You are hence cautioned not to place
undue reliance on forward-looking statements. Forward-looking
statements include words or expressions such as "continues", "on
time, on budget", "unaudited", "final adjustment", "outlook",
"will", "milestones" "targeting", "pursuing", "growth",
"opportunities" and other similar words or expressions. Factors
that could cause future results or events to differ materially from
current expectations expressed or implied by the forward-looking
statements include the ability to complete the construction of
Boungou on time and on budget, final adjustment to our 2017
numbers, the ability to commission the Boungou Mine in the third
quarter of 2018, the ability to meet the construction milestones
for the Boungou Mine, the ability to execute on our strategic
focus, fluctuation in the price of currencies, gold or operating
costs, mining industry risks, uncertainty as to calculation of
mineral reserves and resources, delays, political and social
stability in Africa (including our ability to maintain or renew
licenses and permits) and other risks described in SEMAFO's
documents filed with Canadian securities regulatory authorities.
You can find further information with respect to these and other
risks in SEMAFO's 2016 Annual MD&A, as updated in SEMAFO's 2017
First Quarter MD&A, 2017 Second Quarter MD&A and 2017 Third
Quarter MD&A, and other filings made with Canadian securities
regulatory authorities and available at www.sedar.com. These
documents are also available on our website at www.semafo.com.
SEMAFO disclaims any obligation to update or revise these
forward-looking statements, except as required by applicable
law.
The information in this release is
subject to the disclosure requirements of SEMAFO under
the Swedish Securities Market
Act and/or the Swedish Financial
Instruments Trading Act. This information was publicly
communicated on January 22, 2018 at 5:00 p.m., Eastern Standard
Time.
For more information, contact:
SEMAFO
John Jentz
Vice-President, Corporate Development & Investor
Relations
John.Jentz@semafo.com
Ruth
Hanna
Analyst, Investor
Relations
Ruth.Hanna@semafo.com
Tel. local & overseas: +1
(514) 744 4408
North America Toll-Free: 1 (888) 744 4408
www.semafo.com