Q1 2017 Production Results & Development Update

RNS Number : 5242E

Rambler Metals & Mining PLC

09 May 2017

 

9 May 2017

Rambler Releases Q1 2017 Production Results & Development Update

London, England - Newfoundland and Labrador, Canada - Rambler Metals and Mining plc (TSXV: RAB, AIM: RMM) ("Rambler" or "the Company"), a copper and gold producer, explorer, and developer today provides production results for first quarter ended  31 March 2017 ('Q1/17').

Q1/17 Production Summary

·     Copper feed grade of 1.13% with gold grades of 0.30 g/t.  Total mill throughput for the period ending was 75,438 dry metric tonnes ('dmt').  During the period the plant averaged 910 metric tonnes per day ('mtpd') during operational hours.

·     Average recoveries to concentrate for the quarter were: copper 96.6% and gold 64.0% with a concentrate grade of 28.2% and 5.2 g/t for copper and gold respectively.

o  The mill produced 2,930 dmt of concentrate containing saleable metal of 794 tonnes of copper and 391 ounces of gold.

Development Update

·     Mining focus in the first quarter was on the underground development necessary to achieve the company's growth target of sustainable production of 1,250 mtpd during the second half of the calendar year.

·     Heavy underground development into the Lower Footwall continued during the quarter.

·     Mill throughput averaged 910 mtpd per operational hour, with final plant modifications being made to allow for 1,250 mtpd.  All work to be completed over the coming months.

·     Rambler is on track to reach sustainable production of 1,250 mtpd during the second half of the calendar year.

Norman Williams, President and CEO, commented:

"The primary focus during the second quarter was on the development meters necessary to achieve our longer term mine plan of 1,250 mtpd, with a balance of development and stoping mineralization. As a result, mill feed grade was less than guidance for the period. This lower grade is a result of increased processing of low grade development ore while we continue to push underground headings in preparation for sustainable mining at 1,250 mtpd. We expect this trend to continue until the end of the second quarter when are expected to improve.  Completing the primary and secondary development now is necessary to support the higher mining rate in the long term mine plan.

"At the end of the period mill throughput averaged 910 mtpd, for operational ran. Only minor plant modifications remain to push for our target throughput of 1,250 mtpd. These modifications will be made over the coming months in time for sustained production from the mine."     

Q1 2017 Production Summary

The table below summarizes the production results for Q1/17 ending March 31, 2017.

Table 1 - Q1/17 Production Results with 2017 Guidance

(See Note 1 below)

PRODUCTION	Q1 2017		F2017 Guidance
Dry Tonnes Milled	75,438		350,000 - 400,000
Copper Recovery (%)	96.6		94 - 96
Gold Recovery (%)	64.0		65 - 70
Copper Head Grade (%)	1.13		1.3 - 1.6
Gold Head Grade (g/t)	0.3		0.5 - 1.0
CONCENTRATE
Copper grade (%)	28.2		26 - 28
Gold grade (g/t)	5.2		4.0 - 8.0
Dry Tonnes Produced	2,930		18,000 - 22,000
SALEABLE METAL
Copper (tonnes)	794		5,100 - 5,800
Gold (ounces)	391		4,400 - 5,100

Table 2 - Quarter over Quarter Results Comparison 

(see Note 1 below)

PRODUCTION		Q4/16	Q1/17		Q1/16	Q1/17
	Dry Tonnes Milled	72,036	75,438	5%	58,362	75,438	29%
	Copper Recovery	94.1	96.6	0%	96.3	96.6	0%
	Gold Recovery	70.5	64.0	-9%	71.4	64.0	-10%
	Copper Head Grade (%)	1.36	1.13	-17%	2.28	1.13	-50%
	Gold Head Grade (g/t)	0.56	0.3	-46%	1.72	0.3	-82%
CONCENTRATE
	Copper (%)	26.8	28.2	5%	27.1	28.2	4%
	Gold (g/t)	9.2	5.2	-44%	16.3	5.2	-68%
	Dry Tonnes Produced	3,168	2,930	-8%	4,260	2,930	-31%
SALEABLE METAL
	Copper Metal (tonnes)	850	794	-7%	1,107	794	-28%
	Gold (ounces)	865	391	-55%	2,096	391	-81%

ABOUT RAMBLER METALS AND MINING

Rambler is a mining and development company that in November 2012 brought its first mine into commercial production.  Rambler has a 100 per cent ownership in the Ming Copper-Gold Mine, a fully operational base and precious metals processing facility and year round bulk storage and shipping facility; all located on the Baie Verte peninsula, Newfoundland and Labrador, Canada.

Rambler's ongoing Phase II plans are to increase mine and mill production to 1,250 mtpd by mid calendar 2017.  This initial expansion has been fully funded through CEII's investment.  Rambler will also continue advancing engineering studies on ore pre-concentration (DMS) and shaft rehabilitation with a view to further increase production to 2,000 mtpd at the Ming Mine. In addition, Rambler has initiated a detailed study at the mill with a goal to increase the gold recovery and production rate in the copper concentrator.

Along with the Ming Mine, Rambler also owns 100 per cent of the former producing Little Deer/ Whales Back copper mines and has strategic investment in the former producing Hammerdown gold mine.

Rambler is dual listed in London under AIM:RMM and in Canada under TSX-V:RAB.

For further information, please contact:

Norman Williams, CPA,CA President and CEO Rambler Metals & Mining Plc Tel No: 709-800-1929 Fax No: 709-800-1921	Peter Mercer Vice President, Corporate Secretary Rambler Metals & Mining Plc Tel No: [phone] Fax No: [phone]
Nominated Advisor (NOMAD)	Investor Relations
David Porter, Craig  Francis Cantor Fitzgerald Europe Tel No: [phone]	Nicole Marchand Investor Relations Tel No: 416- 428-3533 [e-mail]

Website: www.ramblermines.com 

Larry Pilgrim, P.Geo., is the Qualified Person responsible for the technical content of this release and has reviewed and approved it accordingly. Mr. Pilgrim is an independent consultant contracted by Rambler Metals and Mining Canada Limited.  Tonnes referenced are dry metric tonnes unless otherwise indicated.

Note 1: Results reported are accurate and reflective as of the date of release.  The Company performs regular auditing and reconciliation reviews on its mining and milling processes as well as stockpile inventories, following which past results may be adjusted to reflect any changes.  

Neither TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ('MAR'). Upon the publication of this announcement via Regulatory Information Service ('RIS'), this inside information is now considered to be in the public domain.

Caution Regarding Forward Looking Statements:

Certain information included in this press release, including information relating to future financial or operating performance and other statements that express the expectations of management or estimates of future performance constitute "forward-looking statements".  Such forward-looking statements include, without limitation, statements regarding copper, gold and silver forecasts, the financial strength of the Company, estimates regarding timing of future development and production and statements concerning possible expansion opportunities for the Company.  Where the Company expresses or implies an expectation or belief as to future events or results, such expectation or belief are based on assumptions made in good faith and believed to have a reasonable basis.  Such assumptions include, without limitation, the price of and anticipated costs of recovery of, copper concentrate, gold and silver, the presence of and continuity of such minerals at modeled grades and values, the capacities of various machinery and equipment, the availability of personnel, machinery and equipment at estimated prices, mineral recovery rates, and others.  However, forward-looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements.  Such risks include, but are not limited to, interpretation and implications of drilling and geophysical results; estimates regarding timing of future capital expenditures and costs towards profitable commercial operations.  Other factors that could cause actual results, developments or events to differ materially from those anticipated include, among others, increases/decreases in production; volatility in metals prices and demand; currency fluctuations; cash operating margins; cash operating cost per pound sold; costs per ton of ore; variances in ore grade or recovery rates from those assumed in mining plans; reserves and/or resources; the ability to successfully integrate acquired assets; operational risks inherent in mining or development activities and legislative factors relating to prices, taxes, royalties, land use, title and permits, importing and exporting of minerals and environmental protection.  Accordingly, undue reliance should not be placed on forward-looking statements and the forward-looking statements contained in this press release are expressly qualified in their entirety by this cautionary statement.  The forward-looking statements contained herein are made as at the date hereof and the Company does not undertake any obligation to update publicly or revise any such forward-looking statements or any forward-looking statements contained in any other documents whether as a result of new information, future events or otherwise, except as required under applicable security law

 

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