| ||Rusoro Mining Ltd. ("Rusoro" or "the Company") is pleased to report that the permit to initiate the off shore portion of gold sales from the Company's operations has been received and will be effective November 1, 2010. The permit was issued through the Central Bank of Venezuela (CBV) and has authorized the sale of approximately 50% of the gold produced from the Choco 10 and Isidora mines from August 11, 2010 through September 30, 2010 and signals the implementation of the country's new gold sale directive. Going forward authorizations for future offshore gold sales will be granted automatically through the CBV.|
Andre Agapov, President and CEO of the Company stated, "This is a significant development for Rusoro in our quest to move forward with the planned expansion at our Venezuelan operations. Our ability to sell a significant portion of our production off shore will afford the Company a great deal of flexibility with the expansion capital requirements as we move forward."
Rusoro is also extremely pleased to report that the Ministry of the People's Power for the Environment (MinAmb) has issued the authorization to affect Natural Resources for the Company's Increible 6 Gold Project. The permit is the final step in the permitting process toward the commencement of mining activities at Increible 6, which is located 6km from Rusoro's Choco mill.
Concerning the inclusion of the Increible 6 project into the Company's production profile, VP of Exploration Greg Smith comments, "The inclusion of the soft oxidized saprolite from Increible 6 in our current mining operations will have an immediate impact on our gold production. In 2009, supplementing the hard rock being processed with oxidized material increased the tonnage processed and production two fold and we expect that bringing Increible 6 on line will have a similar positive impact."
With the permitting process completed the Company will now accelerate surface activities at the project which includes the upgrading of existing roads, keeping the Company on track for the shipment of mineralized material from Increible 6 to the Choco mill in 2010.
The Increible 6 Deposit consists of 1,587,000 ounces indicated (23.5 Mt @ 2.11g/t Au) and 1,100,000 ounces inferred (17.5 Mt @ 1.95g/t Au) (see News Release - Nov. 15, 2007), which Rusoro has advanced through discovery, delineation and now development.
Increible 6, along with Choco 10, was the subject of a scoping study (PA), which evaluated the expansion options at the existing and operating Choco Mill. The PA is detailed in a report dated June 2, 2009 and titled "Technical Report on the Preliminary Assessment of the Expansion of Production at Choco 10, Bolivar State, Venezuela". The PA outlined favourable economics for a significant expansion to 20,000 tonnes per day which would result in production of an average of 558,000 oz Au/yr at a cash cost of US$331/oz Au over the 12 year life of mine. The PA results were reported in the news release dated May 19, 2009, which is available on SEDAR at www.sedar.com. A Feasibility Study is currently underway and scheduled to be completed in Q1 2011.
Qualified Person: Mr. Gregory Smith, P.Geo, the Vice-President, Exploration of the Company, is the Qualified Person as defined by National Instrument 43-101, and is responsible for the accuracy of the technical and scientific information within this news release.
ON BEHALF OF THE BOARD
Andre Agapov, President & CEO
Forward-looking statements: This document contains statements about expected or anticipated future events and financial results that are forward-looking in nature and as a result, are subject to certain risks and uncertainties, such as general economic, market and business conditions, the regulatory process and actions, technical issues, new legislation, competitive and general economic factors and conditions, the uncertainties resulting from potential delays or changes in plans, the occurrence of unexpected events, and the Company's capability to execute and implement its future plans. Actual results may differ materially from those projected by management. For such statements, we claim the safe harbour for forward-looking statements within the meaning of the Private Securities Legislation Reform Act of 1995.
"Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release."
You can view the Next News Releases item: Fri Nov 5, 2010, Rusoro Issues Warrants
You can view the Previous News Releases item: Thu Sep 2, 2010, Rusoro Grants and Re-Prices Incentive Stock Options
You can return to the main News Releases page, or press the Back button on your browser.