Jul 11 2012
Santa Fe Gold Corporation (OTCBB: SFEG) is pleased to report that preliminary results for its fiscal year ended June 30, 2012 indicate that sales increased over 80% as compared to sales in fiscal 2011. The results reflect record production at the Summit silver-gold mine in southwest New Mexico. The company reported recently that the Summit mine had successfully completed ramp up to the targeted production rate of 10,000 tons per month. Revenues are expected to continue to increase substantially over the next several quarters as the mine reaches higher grade portions of the ore body.
“Our focus now is on optimizing the operation to reduce costs. We expect significant savings will be achievable in power costs at the mine and in trucking costs of silica flux to the Arizona smelters, among others.”
"We are pleased to see the mine overcome equipment difficulties encountered earlier in the year," said Pierce Carson, CEO. "We expect this month, July, to set a record for mining and processing throughput and a record for shipments of concentrates and silica flux to the smelters.
"Our focus now is on optimizing the operation to reduce costs. We expect significant savings will be achievable in power costs at the mine and in trucking costs of silica flux to the Arizona smelters, among others."
The Company also is re-evaluating the mining plan and ore schedule for the potential to bring revenues forward and maximize cash flow. By modifying the development plan and implementing a work schedule of three shifts per day, it may be possible both to access richer parts of the ore body earlier and to increase production levels to 12,000 tons per month.
Additional announcements reflecting material developments can be anticipated soon including the appointment of new directors to Santa Fe's board.
About Santa Fe Gold:
Santa Fe Gold is a U.S.-based mining and exploration enterprise focused on acquiring and developing gold, silver, copper and industrial mineral properties. Santa Fe controls: (i) the Summit mine and Lordsburg mill in southwestern New Mexico, which began commercial production in 2012; (ii) a substantial land position near the Lordsburg mill, comprising the core of the Lordsburg Mining District; (iii) the Ortiz gold property in north-central New Mexico; (iv) the Black Canyon mica deposit near Phoenix, Arizona; and (v) a deposit of micaceous iron oxide (MIO) in western Arizona. Santa Fe Gold intends to build a portfolio of high-quality, diversified mineral assets with an emphasis on precious metals.
To learn more about Santa Fe Gold, visit www.santafegoldcorp.com.
Cautionary Note Regarding Forward-Looking Statements:
This press release contains forward-looking statements and forward-looking information (collectively, "forward-looking statements") within the meaning of applicable US and Canadian securities legislation. All statements, other than statements of historical fact, included herein are forward-looking statements. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. The Company cautions investors that any forward-looking statements by the Company are not guarantees of future results or performance, and that actual results may differ materially from those in forward looking statements as a result of various factors, including, but not limited to, variations in the nature, quality and quantity of any mineral deposits that may be located, variations in the market price of any mineral products the Company may produce or plan to produce, the Company's inability to obtain any necessary permits, consents or authorizations required for its activities, the Company's inability to produce minerals from its properties successfully or profitably, to continue its projected growth, to raise the necessary capital or to be fully able to implement its business strategies, and other risks and uncertainties disclosed in the Company's Annual Report on Form 10-K for the year ended June 30, 2011 and its most recent quarterly reports filed with the United States Securities and Exchange Commission (the "SEC"), and other information released by the Company and filed with the appropriate regulatory agencies. All of the Company's US public disclosure filings may be accessed via www.sec.gov and its Canadian public disclosure filings may be accessed via www.sedar.com, and readers are urged to review these materials.