Santa Fe Gold Enters into Contract with Korean Smelter to Sell Gold Silver Concentrates Valued at $12 Million
ALBUQUERQUE, N.M.--(BUSINESS WIRE)-- Santa Fe Gold Corporation (OTCBB: SFEG) is pleased to announce it has contracted with LS Nikko to sell a minimum of 360 metric tons of high-value gold-silver concentrates for delivery during 2013. At recent precious metals prices, the contract is valued at approximately $12 million. The concentrates will be shipped to LS Nikko’s Onsan Smelter in Korea. The Company will be paid for the contained gold and silver less customary charges. Santa Fe’s Lordsburg flotation mill produces gold and silver concentrates from its Summit mine located in southwest New Mexico.
“We are pleased to have reached agreement for the sale of concentrates to LS Nikko,” said Pierce Carson, President and Chief Executive Officer. “We believe there are strategic advantages in developing multiple outlets for our high quality products. In 2012 we sold concentrates to a German smelter and silica flux material to two Arizona smelters.”
In addition to concentrate sales, during 2013 the Company anticipates continuing to sell a substantial portion of Summit output in the form of silica flux material to the two Arizona smelters. Sale of silica flux involves direct shipment of ore with only minimal processing required.
Santa Fe is focused on increasing gold and silver production from its Summit mine and in February 2013 began operating two 10-hour shifts, seven days a week, up from the previous five day schedule.
About Santa Fe Gold
Santa Fe Gold is a U.S.-based mining and exploration enterprise focused on acquiring and developing gold, silver, copper and industrial mineral properties. Santa Fe controls: (i) the Summit mine and Lordsburg mill in southwestern New Mexico, which began commercial production in 2012; (ii) a substantial land position near the Lordsburg mill, comprising the core of the Lordsburg Mining District; (iii) the Mogollon gold-silver project, within trucking distance of the Lordsburg mill; (iv) the Ortiz gold property in north-central New Mexico; (v) the Black Canyon mica deposit near Phoenix, Arizona; and (vi) a deposit of micaceous iron oxide (MIO) in western Arizona. Santa Fe Gold intends to build a portfolio of high-quality, diversified mineral assets with an emphasis on precious metals.
To learn more about Santa Fe Gold, visit www.santafegoldcorp.com.
Cautionary Note Regarding Forward-Looking Statements:
This press release contains forward-looking statements and forward-looking information (collectively, “forward-looking statements”) within the meaning of applicable US securities legislation. All statements, other than statements of historical fact, included herein are forward-looking statements. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. The Company cautions investors that any forward-looking statements by the Company are not guarantees of future results or performance, and that actual results may differ materially from those in forward looking statements as a result of various factors, including, but not limited to, variations in the nature, quality and quantity of any mineral deposits that may be located, variations in the market price of any mineral products the Company may produce or plan to produce, the Company's inability to obtain any necessary permits, consents or authorizations required for its activities, the Company's inability to produce minerals from its properties successfully or profitably, to continue its projected growth, to raise the necessary capital or to be fully able to implement its business strategies, and other risks and uncertainties disclosed in the Company’s Annual Report on Form 10-K for the year ended June 30, 2012 and its most recent quarterly reports filed with the United States Securities and Exchange Commission (the “SEC”), and other information released by the Company and filed with the appropriate regulatory agencies. All of the Company's US public disclosure filings may be accessed via www.sec.gov and readers are urged to review these materials.
Santa Fe Gold Corp
Pierce Carson, President and Chief Executive Officer
Torrey Hills Capital
KEYWORDS: United States Asia Pacific North America New Mexico South Korea