True Gold Mining Inc. ("True Gold" or the "Company") today provided a general corporate update on the construction of its Karma Gold Project ("Karma" or the "Project") in Burkina Faso.
Construction activities and local procurement have ramped up and we are on schedule for first gold pour by the end of Q1-2016. With over 250 staff onsite, we are underway with excavation of the storm and raw water ponds as well as site preparation for the heap-leach pad.
Key construction highlights include:
- Full construction resumed June 1, 2015
- Komatsu PC3000 excavator and mine fleet (4 of 6 Komatsu 785, 100T trucks) commissioned
- Clearing started on cells 1, 2 and 3 of the heap-leach pad
- Excavation started on raw and storm water ponds
- Excavation and backfill started for hard rock crusher area
- Foundations for ADR building nearing completion
- Employment ramped up with over 250 staff active on site
- Arrival of Hard Rock Crusher MV 2000 VSI
- WA800 wheel loader assembly started
- Temporary Fuel storage farm completed
- Construction of main haul road initiated
- ADR building structural steel delivered to site
Upcoming activities in the coming weeks:
- Arrival of ADR plant to site
- Erection of ADR building steel
- Assembly of the hard rock crusher
- Commissioning of WA800 wheel loader
Christian Milau, True Gold's CEO commented, "I am extremely pleased with the speed and efficiency our team has demonstrated in getting back to work since mid-May. Over the last few weeks we have made significant progress towards first gold pour. The site is buzzing with energy and excitement of being back at work and I want to thank our team for their dedication and diligence in getting Karma back on track. The local communities, suppliers, and the government, have been extremely supportive of the return to work."
To view the latest photos of construction efforts at Karma please click here: http://truegoldmining.com/our-projects/karma-project#field-project-tab-tab-7X.
Timeline and Capital Expenditures Remaining to Production
The project remains funded to complete construction and is on schedule for first gold pour by the end of the first quarter of 2016. As of May 31, 2015, True Gold estimates that capital expenditures to projected initial production are approximately $70 million.
The Company has approximately $29 million in cash and cash equivalents, with $63 million available under the Franco-Nevada - Sandstorm Gold Financing Agreement.
The Company, Government of Burkina Faso and representatives of the community of Ramatoulaye recently reached an accord in support of the mine. The tripartite agreement assures the operation of the mine in a peaceful climate and benefits all stakeholders. The parties are committed to ensuring the security of properties, people, and ongoing dialogue supporting the construction of the mine.
Scott Heffernan, P. Geo., Vice President Exploration of True Gold is the designated Qualified Person for this news release within the meaning of National Instrument 43-101 Standards of Disclosure for Mineral Projects and has reviewed and verified that the technical information contained in this release is accurate and approves of the written disclosure of same.
About True Gold
True Gold Mining Inc. is where gold comes to life. We are committed to growing a successful gold exploration, development and production company, by focusing on projects with low costs, low technical risks and solid economics. The Company's board, management and technical teams have proven track records in gold exploration, development, operations and production worldwide.
Additional information about the Company and its activities may be found on the Company's website at www.truegoldmining.com and under the Company's profile at www.sedar.com.
ON BEHALF OF THE BOARD
Christian Milau, President & CEO