Avion Gold Corporation OTCQX:AVGCF is
pleased to announce record second quarter 2012 production of approximately
28,637 ounces of gold from its Tabakoto operation in Mali, West Africa. The
Company has now set two consecutive quarterly records for the amount of gold
produced in one quarter with year to date gold production of 54,894 ounces after
refinery adjustments. Avion is well on its way to achieving its upgraded
production guidance of 95,000 to 102,000 ounces of gold for 2012.
During the second quarter of 2012, the Company milled 191,500 tonnes of ore at
an average grade of 5.05 g/t Au, with a 92.5% mill recovery.
Avion's Chief Operating Officer, Mr. Andrew Bradfield, commented on the second
quarter 2012: "The Tabakoto Mine has had two consecutive record production
quarters that were achieved despite a military coup in the first quarter of
2012, and subsequent destabilization of the Malian government. The Tabakoto
underground mine continues to produce higher than expected ore grades with a
lower amount of ore dilution at higher processing recoveries than planned, that
when combined with good open pit grades resulted in an excellent quarter."
Andrew Bradfield, P.Eng., the Chief Operating Officer of the Company, and a
qualified person under National Instrument 43-101, has reviewed and approved the
scientific and technical information in this press release.
About Avion Gold Corporation
Avion is a Canadian-based gold mining company focused in West Africa that holds
80% of the Tabakoto and Segala gold projects in Mali. Gold production commenced
at these projects in 2009 with approximately 51,290 ounces produced. 2010
production was 87,630 ounces of gold. 2011 production was 91,200 ounces of gold.
The current mineral reserve estimate (as of January 1, 2012) of 6.91 million
tonnes grading 3.73 g/t Au totaling 827,100 ounces of gold (proven and
probable), for the Tabakoto project property, demonstrates several sources of
excellent grade open pit and good grade underground mineral resources thus
providing significant flexibility for Avion's future mining plans. The Company
has developed an underground mine at the Tabakoto deposit, and is developing
another underground mine at the Segala deposit. The Tabakoto project property
also contains several producing open pit mines. Production sustainability will
continue to be supported by exploration programs over an approximately 600 km2
exploration package that both surrounds and is near to the Company's existing
mine infrastructure, and contains mineral resources on the Kofi property.
Additionally, mineral resources have grown considerably at Avion's 1,600 km2
Hounde exploration property in Burkina Faso. Avion has a highly skilled
management team, with a focus on growth and consolidation within West Africa.
Cautionary Notes
This press release contains "forward-looking information" within the meaning of
applicable Canadian securities legislation. Except for statements of historical
fact, certain information contained herein constitutes forward-looking
statements which include statements regarding production estimates for 2012, the
impact of the political and social conditions in Mali on the Company,
management's assessment of Avion's targeted production, future plans, operations
and mineral resource estimates and are based on Avion's current internal
expectations, estimates, projections, assumptions and beliefs, which may prove
to be incorrect. Generally, forward-looking information can be identified by the
use of forward-looking terminology such as "plans", "expects" or "does not
expect", "is expected", "budget", "scheduled", "estimates", "forecasts",
"intends", "anticipates" or "does not anticipate", or "believes", or variations
of such words and phrases or state that certain actions, events or results
"may", "could", "would", "might" or "will be taken", "occur" or "be achieved".
Forward-looking information is subject to known and unknown risks, uncertainties
and other factors that may cause the actual results, level of activity,
performance or achievements of the Company to be materially different from those
expressed or implied by such forward-looking information, including but not
limited to those risks described in the annual information form of the Company
which is available under the profile of the Company on SEDAR at www.sedar.com.
Although the Company has attempted to identify important factors that could
cause actual results to differ materially from those contained in
forward-looking information, there may be other factors that cause results not
to be as anticipated, estimated or intended. There can be no assurance that such
information will prove to be accurate, as actual results and future events could
differ materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance on forward-looking information. The
Company does not undertake to update any forward-looking information, except in
accordance with applicable securities laws.
