Veris Gold Reports Increase In Production

 

VANCOUVER - Veris Gold Corp. reported that 44,319 payable ounces were produced in the third quarter of 2014, representing an 18% increase from the 37,544 ounces produced in the three month period ending September 30, 2013; 45,216 ounces were sold in Q3-14 a 6% increase from the 42,760 ounces sold in Q3-13 primarily due to the improvement in mining at Starvation Canyon and improved overall mill recoveries. Gold revenue in Q3-14 was $57.3 million compared to $57.0 million in Q3-13, driven by a 6% increase in gold ounces sold offset by a 4% decrease in the price-per-ounce of gold sold in Q3-14 compared to Q3-13; Total mine production from underground and surface for Q3-14 was 319,513 tons containing an estimated 51,678 ounces of gold, a 16% increase from the 275,825 tons mined in Q3-13 and an 11% increase in contained ounces of gold compared with 46,637 ounces mined in Q3-13. The primary contributor to the increase in tons as well as contained ounces arose from the significant increase in mined ore produced from the Starvation Canyon mine, approximately 32,478 tons (57%) higher than Q3-13. With the transition to contract mining in the SSX-Steer the Company focused primarily on placing the necessary backfill during the quarter to recover from the deficit built up however this mine continued to produce at levels comparable to the 2013 quarter.

In Q3-14 the Jerritt Canyon roaster facility achieved total average throughput of 3,590 tons per day ("TPD"), 5% more than the 3,419 TPD achieved in Q3-13, which included a 10 day shutdown.

Development of Saval 4, the fourth underground mine at Jerritt Canyon continued throughout the third quarter of 2014, completing the primary access portal and substantially advancing the secondary access to allow for the commencement of production. The Company will mine the Saval 4 using existing equipment and crews at a scheduled mining rate between 250 and 350 tons per day grading approximately 0.22 opt. Commercial production, determined based on the mine achieving these planned tonnage rates on a consistent basis, is expected to be achieved late in the fourth quarter of 2014.