Colossus Minerals Inc (COLUF)

[Tommy]

$COLUF - $CSI.V - Colossus Minerals Provides Development Update

http://www.colossusminerals.com/media/Press-Releases/Press-Release-Details/2013/Colossus-Minerals-Provides-Development-Update-9232013/default.aspx

..."TORONTO, ONTARIO--(Marketwired - Sept. 23, 2013) - Colossus Minerals Inc. (the "Company" or "Colossus") (TSX:CSI)(OTCQX:COLUF) provides a development update for its 75% owned Serra Pelada gold-platinum-palladium Mine. The Serra Pelada Mine is a joint venture between Colossus and Cooperativa de Mineração dos Garimpeiros de Serra Pelada ("COOMIGASP") located in the State of Pará, Brazil.

HIGHLIGHTS

The Company is on track with its dewatering program expansion. As of September 17, 2013, six of the originally planned ten wells are pumping and total dewatering output is approximately 800 m3 per hour. Currently, total output exceeds the recharge rate by approximately 75% and total output is expected to reach approximately 1,500 m3 per hour by December 2013.

Underground development has progressed according to the plan detailed in the Company's July 15, 2013 press release. In August, the Company advanced on four separate development faces achieving advance in the main decline, ventilation access drift, the north access and a permanent pumping station. The Company achieved 85 metres of development in August over 24 days resulting in an advance rate in excess of 3.5 metres per day. According to plan, the Company stopped development for a period of 7 days to complete the first phase of the ventilation system expansion.

The Company plans to continue the decline development to have multiple access drives ready for mining in 2014. Five access drives will be developed to commence feeding the process plant late in the fourth quarter of 2013. Commissioning of individual unit operations commenced in August and will continue throughout September and early into the fourth quarter.

The bulk sample will be processed once management is satisfied with process plant operating effectiveness.

The first phase of ventilation expansion is complete. The second phase of the expansion is 55% complete with shaft sinking progressing well.

Tailings dam construction is progressing well with 85% of the project complete to date. The tailings dam is expected to be complete ahead of process plant start-up.

Claudio Mancuso, Chief Executive Officer commented, "After the setback related to dewatering experienced in July, the Company's dewatering and underground development activities are progressing according to the remediation plan communicated in mid-July. Completion of the first phase of the ventilation system expansion provides a four-fold increase in underground airflow and allows us to begin ramping up development with increased manpower and equipment in September. The underground team achieved development on four separate faces in August and we remain on track to have five access drives ready to enter the Central Mineralized Zone in December." " ...