Wesdome 2009 Production Tops 96,000 Ounces

 

TORONTO, ON - Wesdome Gold Mines Ltd. reported its 2009 gold production and sales figures.

Gold production from Wesdome's 100%-owned Eagle River and Kiena mines for the year ended December 31, 2009 totalled 96,152 ounces exceeding our initial 75,000 ounce forecast by 28%. Sales for the year totalled $103 million with 92,700 ounces sold at an average price of $1,112.50 per ounce. In 2008, 86,100 ounces were sold at an average price of $931.25 per ounce. Unsold gold bullion inventory at year end, 2009, stood at 14,000 ounces.

The Eagle River mine, Wawa, Ontario, produced 60,754 ounces from 132,000 tonnes milled at an average recovered grade of 14.3 gAu/tonne. Grades exceeded expectations again. The Kiena mine, Val d'Or, Quebec, produced 35,398 ounces from 302,000 tonnes at an average recovered grade of 3.6 gAu/tonne. Lower grades in the mining sequence were offset by higher tonnages.

In the fourth quarter, Wesdome's production totalled 21,194 ounces. Sales during the quarter totalled $28.0 million with 24,000 ounces sold at an average price of $1,167.39 per ounce.

The Eagle River mine produced 12,503 ounces of gold from 30,000 tonnes milled at an average recovered grade of 13.0 gAu/tonne. The Kiena mine produced 8,691 ounces from 89,000 tonnes milled at an average recovered grade of 3.0 gAu/tonne.

In the fourth quarter sales exceeded production and gold prices were strong. This will translate to a strong 4th quarter financial performance.

For 2010 Wesdome forecast approximately 70,000 ounces production with about 38,000 ounces from Eagle River and about 32,000 ounces from Kiena. We expect lower grades at Eagle River, however, refinement in the mining sequence and grade estimates in progress may lead to positive changes in the outlook. Gold sales to date in 2010 have averaged $1,168.00 per ounce.

The company’s address is 8 King St. East, Suite 1305, Toronto, ON, M5C 1B5, (416) 360-3743, fax: (416) 360-7620, email: [email protected], www.wesdome.com.