Semafo (SMF.TO) restore production at Kiniero, Mali
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PRESS RELEASE
SEMAFO TSX-SMF
FOR IMMEDIATE RELEASE
KINIERO MINE UPDATE
Montreal, Quebec, October 24, 2007 ---- SEMAFO (TSX-SMF) is pleased to provide an update on operations at the Kiniero mine. Following a full geological review initiated and directed by Semafo’s qualified person, Michel Crevier, a series of initiatives were implemented in order to restore the mine to satisfactory economic production during the fourth quarter of 2007. Principal aspects of these initiatives included:
* Mill shutdown / maintenance work originally scheduled for December took place in September in order to ensure ongoing availability and satisfactory throughput.
* A shift in mining planning from the Northeast Gobele D and Gobele C pits to the West Balan pit.
* Pit stripping of West Balan was completed in late September, access road is also completed.
* We are awaiting imminently the mining permit.
* Semafo’s Mining Operations Manager since 2004, Patrick Moryoussef, mining engineer, has relocated to Guinea as an expatriate and has assumed the position of Mine Manager, Kiniero Mine.
"Kiniero’s gold production of 20,400 oz. for the first three quarters of 2007 and particularly that of the third quarter has been inadequate to say the least," said Benoit Desormeaux, Chief Operating Officer, Semafo. "We are confident, however, that we have taken the necessary steps to rectify the situation and look forward to stable production for the remainder of 2007 and into 2008."
In light of the situation, the 2007 Kiniero production forecast has been revised to 28,000-30,000 ounces with an outlook of 40,000 oz. for 2008.
About SEMAFO
Semafo is a Canadian-based mining company conducting exploration, development and production activities in West Africa. The Company currently operates two gold mines, the Kiniero mine in Guinea and the Samira Hill mine in Niger. A third mine, the Mana gold project in Burkina Faso, is under construction with plant commissioning scheduled for December 2007. Semafo is committed to evolve in a conscientious manner to become a major player in its geographical area of interest, while maintaining values and strengthening relationships to increase shareholder value.
FORWARD-LOOKING STATEMENTS
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For more information contact:
SEMAFO:
Benoit La Salle, President & CEO
Tel : (514) 744-4408
E-Mail : blasalle@semafo.com
Renmark : Tina Cameron
Tel : (514) 939-3989
E-Mail : tcameron@renmarkfinancial.com
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