TIDMTSG

RNS Number : 0990Y

Trans-Siberian Gold PLC

21 January 2014

Trans-Siberian Gold plc

Asacha mining and production update

LONDON: 21 January 2014 - Trans-Siberian Gold plc ("TSG" or the "Company") (TSG.L) reports that mine development at Asacha in the fourth quarter of 2013 comprised approximately 730 metres, while ore extraction (including ore from stoping and mine development) amounted to 53,651 metric tonnes, the highest quarterly total to date. In the same period, 42,391 mt was processed through the Asacha plant, also the highest quarterly total to date and approximately 13% above the plant's nominal capacity.

During the period dilution continued to affect the grade of ore delivered to the plant, however the previously reported measures to reduce dilution, including changes to mine development and stoping methods, are expected to lead to significantly higher grades from the recently developed areas to be mined in 2014.

Mining and production at Asacha in 2013 is shown in the following table.

 
                        1(st)      2(nd)      3(rd)           Oct          Nov                 4th 
                      quarter    quarter    quarter          2013         2013      Dec    quarter     total     total 
                         2013       2013       2013                                2013       2013      2013      2012 
------------------  ---------  ---------  ---------  ------------  -----------  -------  ---------  --------  -------- 
 Mine development 
  (metres)                396        795        751           266          161      303        730     2,672     4,124 
------------------  ---------  ---------  ---------  ------------  -----------  -------  ---------  --------  -------- 
 Ore extracted 
  (tonnes)             45,352     47,923     38,647        18,202       17,616   17,833     53,651   185,573   127,646 
------------------  ---------  ---------  ---------  ------------  -----------  -------  ---------  --------  -------- 
 Ore processed 
  (tonnes)             35,585     35,298     41,941        14,870       13,110   14,411     42,391   155,215   136,154 
------------------  ---------  ---------  ---------  ------------  -----------  -------  ---------  --------  -------- 
 Average 
  gold grade 
  (g/t)                  6.36       6.60       6.63          5.34         5.26     6.29       5.64      6.29      6.54 
------------------  ---------  ---------  ---------  ------------  -----------  -------  ---------  --------  -------- 
 Average 
  silver 
  grade 
  (g/t)                  9.80      10.77      10.79         10.12        10.62    10.50      10.40     10.45     11.79 
------------------  ---------  ---------  ---------  ------------  -----------  -------  ---------  --------  -------- 
 Gold recovery 
  rate (%)              94.52      93.58      94.95         94.94        94.14    94.50      94.54     94.43     95.41 
------------------  ---------  ---------  ---------  ------------  -----------  -------  ---------  --------  -------- 
 Silver 
  recovery 
  rate (%)              78.81      70.28      75.43         74.87        75.46    80.12      77.13     75.44     68.49 
------------------  ---------  ---------  ---------  ------------  -----------  -------  ---------  --------  -------- 
 Gold in 
  dore (oz)             6,826      6,929      8,611         2,421        2,093    2,786      7,300    29,666    27,920 
------------------  ---------  ---------  ---------  ------------  -----------  -------  ---------  --------  -------- 
 Silver 
  in dore 
  (oz)                  8,791      8,416     10,878         3,644        3,355    4,052     11,051    39,136    35,924 
------------------  ---------  ---------  ---------  ------------  -----------  -------  ---------  --------  -------- 
 Gold refined 
  (oz)                  6,833      7,117      7,306         3,683        1,421    3,310      8,414    29,670    27,588 
------------------  ---------  ---------  ---------  ------------  -----------  -------  ---------  --------  -------- 
 Silver 
  refined 
  (oz)                  8,865      8,826      8,491         5,630        2,087    5,127     12,844    39,026    35,110 
------------------  ---------  ---------  ---------  ------------  -----------  -------  ---------  --------  -------- 
 

TSG intends to report Asacha's first quarter 2014 production in April 2014.

On 30 September 2013 TSG reported that it had been agreed with Sberbank that a gold price hedge programme would be implemented for the revised five year term of the bank's loan facilities, with gold price protection for the initial 12 month period to be put in place by 1 November 2013. It was subsequently agreed with the bank to defer the start of the price protection programme with an amendment to the interest rate until such commencement at an annual cost of approximately US$250,000. Discussions continue with the bank and a further announcement will be made in due course.

Ends

 
  Contacts TSG                                                Contacts TSG 
                                                                                                  + 44 (0) 1480 811871 
 Simon Olsen                          + 44 (0) 7770 484965                         Simon Olsen    + 44 (0) 7770 484965 
 
                                                                                                       +44 (0) 207 894 
 Cantor Fitzgerald Europe             +44 (0) 207 894 7000            Cantor Fitzgerald Europe                    7000 
 Tom Sheldon / Stewart Dickson                               David Foreman / Stewart Dickson 
  (Corporate                                                 (Corporate 
  Finance)                                                   Finance) 
 Jeremy Stephenson (Corporate                                Jeremy Stephenson (Corporate 
  Broking)                                                   Broking) 
 

This information is provided by RNS

The company news service from the London Stock Exchange

END

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