VANCOUVER,
Feb. 27, 2013 /CNW/ - Fire River Gold
Corp. (TSXV: FAU), (OTCQX: FVGCF), (FSE: FWR) (the "Company" or
"Fire River") is pleased to provide this operations update.
Since the previous operations update provided on November 29, 2012, the Company continues to make
progress, both in mine development and milling operations.
Mine Development
The Company implemented a new mine plan effective December 31, 2012 and the January 2013 results of mining operations were
encouraging.
The 2013 Mine Plan, focusing on high confidence
targets and conservative grades is starting to produce
results. Ore development headings, started in the latter part
of 2012, continue to demonstrate continuity with good grade being
realized. As confidence in the newly implemented mine plan
increased during the month, infrastructure and resources were put
in place to support additional development work and subsequent
production.
The first production stope in the Mystery Mine
was started and continues to deliver high grade ore. Additional
adjacent mineralization has increased the size of the zone and we
expect to exceed both the tonnage and grade forecast for this first
production area. Additional production areas are being designed and
a second Bazooka small diameter core drill has been purchased and
is awaiting delivery to site. Future plans are to ensure resource
identification and delineation keeps ahead of mining to sustain
continued focus on the Mystery Mine.
In the Crystal Mine, we have been concentrating
on mucking and hauling from two existing longhole stopes with
broken ore. Our Hagby diamond drill is nearly finished the 3100
zone drill program; and resumption of development is being
scheduled for the near future, with priority on nearby high
confidence targets. Design work and planning for access to
the 3550 zone is underway.
Mining statistics since October 31,
2012 include the following:
Period |
Mined Ore Tonnes |
Mined Waste Tonnes |
Development Metres |
Nov 2012 |
3,180 |
3,555 |
131.1 |
Dec 2012 |
3,045 |
4,140 |
179.2 |
Jan 2013 |
4,733 |
2,971 |
126.5 |
Milling Operations
Subsequent to the completion of the CIL (carbon
in leach) circuit in November 2012,
the operations team at Nixon Fork has made significant progress in
the processing plant. December saw improvement take place,
including repairs to the Larox tailings filter, purchasing of a
second Larox filter, replacement of the rod mill liners, and
repairs to the Falcon concentrator and the flotation cells.
During this time, the mill was shut down for 7 days resulting in an
unusually low plant availability in December.
Operating statistics since October 31, 2012 include the following:
Period |
Number
of Days |
Tonnage
Processed
(t) |
Tonnes
Per Day |
Plant
Availability
(%) |
Gold
Production
(oz) |
Recovery
(%) |
Nov 2012 |
30 |
3,895 |
130 |
70 |
921 |
73 |
Dec 2012 |
31 |
3,242 |
105 |
57 |
1,482 |
73 |
Jan 2013 |
31 |
5,387 |
174 |
86 |
2,032 |
71 |
"We are pleased to report that the first
quarter of fiscal 2013 saw an increase in gold produced of 46% over
the previous quarter, producing 4,435 ounces of gold, and 4,205
ounces sold. January production of 2,032 ounces far surpassed
the previous monthly production record of 1,502 ounces set in
February, 2012. Our operating team continues to work
diligently at removing bottlenecks and ramping up production.
We are seeing steady progress in all facets of our operations",
said Blane Wilson, the Company's
President and CEO.
Other Infrastructure
During the quarter the Company entered into an
agreement with a new fuel supply air carrier solely dedicated to
delivering fuel and providing a portion of the freight service to
the Nixon Fork project. This new fuel supplier will compliment our
other freight and fuel service providers already in place and
should significantly reduce downtime due to fuel shortages.
We anticipate this service to be operational by early March 2013.
ON BEHALF OF THE BOARD OF DIRECTORS
FIRE RIVER GOLD CORP.
"Blane W. Wilson"
Blane W.
Wilson
President and CEO
Cautionary Statement Regarding Forward-Looking
Information
Neither TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release. This news release
contains forward-looking statements regarding the business and
operations of Fire River Gold. In particular, statements regarding
use of proceeds and production targets in the upcoming years are
forward-looking statements. There can be no assurance that such
statements will prove to be accurate and actual results and future
events could differ materially from those anticipated in such
statements. Important factors that could cause actual results to
differ materially from Fire River's plans or expectations include
risks relating to the actual results of current exploration
activities, fluctuating gold prices, possibility of equipment
breakdowns and delays, exploration cost overruns, availability of
capital and financing, general economic, market or business
conditions, regulatory changes, timeliness of government or
regulatory approvals and other risks detailed herein and from time
to time in the filings made by Fire River with securities
regulators. Fire River expressly disclaims any intention or
obligation to update or revise any forward-looking statements
whether as a result of new information, future events or otherwise
except as otherwise required by applicable securities
legislation.
SOURCE Fire River Gold Corp.