Fire River Gold Corp. is known about the current state of progress at the Nixon Fork Gold Mine

Fire River Gold Corp. is known about the current state of progress at the Nixon Fork Gold Mine

23.05.2012 Vancouver, Canada – Fire River Gold Corp. und Mystery Creek Resources Inc. [TSX.V: FAU| OTCQX: FVGCF| ESF: FWR] (the “Business”) is pleased, You the current progress on reducing- and to provide milling facilities at the Nixon Fork Mine known.

The company developed the Nixon Fork Mine in June 2011. The mill started processing on 4. July 2011 through the use of gravity- and Flotationskreisläufe for the production of two products: Doré and gold-rich copper concentrate. Additionally, could the mechanical completion of the carbon-in-leach (“CIL”) Cycle on 20. March 2012 be completed. The CIL circuit with a capacitance of 250 t / day provided, was 100 t is more like the gravity / Flotationsmühleneinsatz. The purpose of the CIL, it is, to increase gold recovery from the current ore mining and deploy Residual gold also available from the gold-rich tailings, with which 7- 8 Grams / tonne gold can be operated.

Achievements to date:

The company has achieved several milestones in recent months, such as:

• Start of the mill by gravity- and flotation processing by 4. July 2011; total have been 34.400 Tons of ore processed.

• Start of commissioning of the CIL circuit in the mill

• Conversion of the tailings of wet material down to a dry storage

• Successful implementation of long-hole open method in the Great mine in two layers (208 to 220 m. N.N. and 240 to 270 m ü.N.N. in der Zone 3300)

• Ready access to the development of six new mining zones

• recovery of all operating permits and updated Bonding

• Establishment of a broken Ore Body of approximately. 14.000 t with estimated degrees of 22 g/t Gold (for 9. More 2012)

Production:

The start-up phase to full production continues despite slower progress than originally. From the 4. July 2011 until the end of March 2012 the mine produced 25.875 tons of ore grading approximately. 15,5 g/t Gold. Were able total 12.875 Ounces of gold are mined. Were made from this material also 175 tonnes of copper concentrate to Glencore Ltd.. sold contained 5.994 Ounces of gold. The dore production in the same period was 1.180 Ounces of gold.

Processing:

The mill began its work on 4. July 2011 on using gravity separation and flotation common than two application methods. The construction of the CIL circuit was in March 2012 completed, was added to the leaching process as a third method of application and thus it allows us Doré at the mine to produce directly. The construction of the project took longer because of the following reasons: It had to be replaced a lot of old material with the existing plant to the new process to get going and some modifications to the original design were necessary for the CIL process optimization. The addition of the CIL circuit should not only increase the total gold output of the processed ore, It should also be installed, a process could also deploy the residual gold from the historic high grade tailings ponds. This can 7-8 g / t gold are operated. Furthermore, about. 20% of gold production in the form of Doré and 80% come from the copper concentrate to. .

Since the start until mid-January 2012, The mill was processing an average of 130 metric tons per day operated (mtpd), what the final tailings dam was transformed into ponds with. That was in January Absetzlagersystem 2012 is changed away from wet depositions filtered down to a line then the dam which then allows dry storage. The addition of leaching as a third application process in April 2012 showed a conversion of the mill towards a zero-residue processing. This process changes the results in a number of requirements in picking and down-time for various reasons including the availability of the final mechanical Absetzfilter what clean water is spilling over from the Absetzverdicker and the main pumps can work better at what a rate of 92 MTPD previously resulted in 2012. Each request is treated, that we always get a stable job and improve the mill, which increases uptime and throughput. We expect that the mill throughput of their full 150 MTPD achieve over the next four weeks.

Mining:

The mine was operated as a heap in the first quarter due to delays in the commissioning of the mill. This allowed the mining company focused on the development of six new zones to focus on the future exploitation and thus to obtain a large stock of crushed ore and abgebohrtem from the slot tunnel. Currently, the stock of broken material about. 14.000 tons of ore grading estimated 22 g/t Gold. One of the last tunnel close to the 160 m ü.N.N. of Zone 3300 resulted in a sample from the Haufwerkgrenze values ​​of 81 g/t Gold.

The tunnel opening by means of cross-hole technique was successful and resulted in two tunnels in the area 3300, a tunnel between 208 and 220 m ü.N.N. and another between the levels 240 MASL and 270 mASL. This mining method will be pursued and results in the greatest possible material for the mill with additional material coming from selective cuts and tunnels filled.

The mine was successfully mined outside of the known resources. Until today about. half of the mill feed and half of the currently fractured rock bearing exploited from sources that were not intended as a current resource. Through the experience gained in the last six months, the mine management could change the approach to Erzbestimmung and thus determine the selectivity of the mining methods are used to. Generally speaking, diamond drilling are effective for the determination of the mineralized zones and the contact layers but not useful for the determination of the tunnel for mine design. After the diamond drilling, to determine the location of the zones, a Erzabbaustrecke developed through the zone and a small bazooka-type drill is used to 15 to 25 m long to drill holes to help the, to determine the higher degree of mineralization. The company owns and operates both the bazooka and the drill Hagby.

Financing:

At the 4. April 2012 were the remaining 7,5 My. $ paid by Sprott Resource Lending Partnership as a loan so that lending a total of 12,75 My. Which makes up USD by Waterton Global Value LP (“Waterton”) are provided. Purpose of the center of Waterton is, to supply the site with additional working capital and to lift the first repayment of other borrowed while to master the requirements in the initial phase.

View:

The commissioning of the mill and the start of full production is in full swing. The production target for 2012 is 29.000 Ounces mined gold. For the year 2013 are then 40.000 Ounces and 50.000 Ounces for 2014 sought. One assumes full production be able to announce when a period of 30 successive days which follow 100 t be achieved per day throughput (Two thirds of our budgeted throughput) a +90% Gold output in the next three months.

Despite some delays in our operating costs are very close to our budget for the 2012 of 29,6 My. $ for the calendar year. If we achieve our production goals should be the operating costs of approximately. 950 $ per ounce and are projected for the improvements they should then 750 $ fall per ounce in 2013 and 600 $ dann in pro Unze 2014. Our ability to find additional resources outside of the known resources supports our assessment, that if the project realize its full economic potential, then it will be possible to operate the operating too loosely above the current limits of the currently existing mineral inventory.

On behalf of the Board, I look forward to informing you about further corporate developments to.

Richard Goodwin
President

For more information: Such: +1 (604) 261-0580
Email: info@firerivergold.com or visit www.firerivergold.com
Suite 340 -1200 West 73rd Avenue
Vancouver BC V6P 6G5
Canada

For the correctness of the translation is any liability assumed! Please note original English message!

Which filings can be found at:
http://www.irw-press.at/press_html.aspx?messageID=25159

This press release contains certain forward looking statements and such statements involve risks and uncertainties. The results or events may differ materially from actual results or events. Any forward-looking statement speaks only as of the date and the state of press release. Unless it is required by applicable securities laws, actual results may differ materially from those anticipated or obligation to update statements. Whether as a result of new information, future events occur as a result or results, or.

Weder TSX Venture Exchange noch der Regulation Service Provider (as in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. It is only the original English press release.

This entry was posted in News of the corporations, the rare earth metals and and tagged , , , , , , , , , , , , , , , , , , , , , , . Bookmark the permalink.

Leave a Reply