Shares Listed: Toronto Stock Exchange - Ticker Symbol - ARZ NYSE
Amex - Ticker Symbol - AZK U.S. Registration: (File 001-31893)
VANCOUVER, Jan. 11 /PRNewswire-FirstCall/ -- Aurizon Mines Ltd.
(TSX:ARZ; NYSE Amex:AZK) is pleased to announce its 2009 gold
production results and future production plans. 2009 Gold
Production Gold production from Aurizon's 100% owned Casa Berardi
mine for the year ended December 31, 2009, totalled 159,261 ounces
from the processing of 688,676 tonnes at an average grade of 7.8
grams of gold per tonne. Recoveries for the year averaged 92.6%.
Gold production was ahead of the Company's 2009 guidance of 150,000
to 155,000 ounces and it is anticipated that total cash costs per
ounce will be in line with the Company's guidance of US $414 per
ounce for 2009. Fourth Quarter 2009 Gold Production Ore processed
in the fourth quarter 2009 amounted to 172,343 tonnes at an average
grade of 7.2 grams of gold per tonne. Metallurgical recoveries of
91.9% resulted in gold production of 36,459 ounces in the quarter.
Forecast Gold Production for 2010 It is estimated that Casa Berardi
will produce between 145,000 to 155,000 ounces of gold in 2010 at
an average grade of 6.7 grams of gold per tonne. Average daily mine
production is estimated at 2,000 tonnes per day, up from 2009. The
slight decrease in gold production for 2010 is attributable to
lower average gold grades being included in the 2010 mine plan,
particularly in the first part of the year. Definition drilling and
resulting geological interpretation has caused modifications to the
stope design for the Lower Inter zone, which has resulted in mining
a larger mineralized envelope containing lower grade ore.
Approximately 43% of production will come from the Lower Inter
Zone, 48% from Zone 113, and the residual 9% from smaller zones and
development material. Assuming a Canadian/U.S. dollar exchange rate
of 1.05, total cash costs per ounce for the year are anticipated to
approximate US$490 per ounce in 2010. Onsite mining, milling and
administration costs are expected to average $104 per tonne, in
line with 2009 performance. Sustaining capital expenditures at Casa
Berardi are estimated to be $20.7 million in 2010 and will include
development of the upper and lower portions of Zone 113,
underground infrastructure, and equipment replacement of $2.6
million. Future Gold Production From 2011 onwards, annual gold
production of 160,000 to 170,000 ounces is anticipated at total
cash costs approximating US $425 per ounce, as higher grade areas
are included in the mine plan. It is anticipated that the mine plan
will be revised to incorporate the final results of the extensive
drill programs currently in progress. "Casa Berardi contributed
another strong performance, exceeding targets, and producing
approximately 159,000 ounces for the third consecutive year," said
David Hall, President and Chief Executive Officer. "2010 will be a
transitional year as we prepare Casa Berardi for increased
production in 2011 and beyond. We will have an active year of
exploration with a total of fourteen drill rigs operating at our
projects to follow up on the encouraging drill results at Casa
Berardi and the positive pre-feasibility study completed at Joanna
in 2009." Casa Berardi Gold Mine, Quebec At Casa Berardi, surface
exploration will focus on testing the depth extension of the Lower
Inter zone, infill drilling of the Principal zone, and testing the
depth and lateral extensions of the East mine area. In addition,
drill rigs will be active underground, performing infill drilling
on zones 113, Lower Inter and zones 124-1 and 124-2 within the
Principal zones area, and exploration drilling on zones 118 and
123, and on the depth extension of zone 113. The exploration drift
on the 550 metre level will be extended to the east by
approximately 600 metres to provide drill access to test the area
between the lower part of the Principal zones and upper parts of
zones 118 and 123. A total of $3.8 million will be invested at Casa
Berardi in the first quarter, 2010, comprising 33,000 metres of
drilling, with up to eleven (11) rigs active. Additional
exploration programs and budgets for the balance of the year will
be developed to reflect the results achieved in the first quarter
of 2010. Joanna Gold Project, Quebec At Joanna, a $3.4 million
surface exploration program, comprising 28,000 metres of drilling,
will test targets to the north and south of the Hosco deposit;
perform infill drilling on the Heva deposit; test a potential
satellite pit, approximately 700 metres west of the proposed Hosco
pit; and test potential extensions of the Hosco pit. Three (3)
drill rigs will be active on the Project during this time. In
addition, work has commenced under the direction of BBA Inc.,
Montreal, Quebec, on a final feasibility study, which is
anticipated to be completed in the fourth quarter, 2010. Kipawa
Gold - Rare Earth Elements Property, Quebec At Kipawa, an
exploration drill program is under consideration as follow up on
the work performed in the 2009 field program. Corporate Development
Aurizon continues to focus on its organic growth within the Abitibi
area, whilst evaluating accretive opportunities within North
America to enhance its reserve and production profile. 2009 Year
End Financial Results Aurizon expects to release fourth quarter and
2009 year end financial results on or about March 18, 2010, and
will hold a conference call to discuss the results. Details of the
call, including times and contact numbers, will be announced closer
to the date. Aurizon also expects to release, at approximately the
same time, an updated mineral reserves and resources estimate for
the Casa Berardi mine. Quality Control Information of a scientific
or technical nature in this news release was prepared under the
supervision of Martin Bergeron, P.Eng., Vice President, Operations
and a qualified person under National Instrument 43-101. About
Aurizon Aurizon is a gold producer with a growth strategy focused
on developing its existing projects in the Abitibi region of
north-western Quebec, one of the world's most favourable mining
jurisdictions and prolific gold and base metal regions, and by
increasing its asset base through accretive transactions. Aurizon
shares trade on the Toronto Stock Exchange under the symbol "ARZ"
and on the NYSE Amex under the symbol "AZK". Additional information
on Aurizon and its properties is available on Aurizon's website at
http://www.aurizon.com/. Non GAAP Information Aurizon has included
a non-GAAP performance measure of total cash costs per ounce of
gold in this release. Aurizon reports total cash costs on a sales
basis. In the gold mining industry, this is a common performance
measure but does not have any standardized meaning, and is a
non-GAAP measure. Total cash costs are calculated in accordance
with a standard developed by The Gold Institute, which is the
accepted standard for reporting cash costs of production in North
America. The Company believes that, in addition to conventional
measures, prepared in accordance with GAAP, certain investors use
this information to evaluate the Company's performance and ability
to generate cash flow. Accordingly, it is intended to provide
additional information and should not be considered in isolation or
as a substitute for measures of performance prepared in accordance
with GAAP. Forward-looking Information Estimates regarding
production, costs and expected recoveries at Casa Berardi in 2010
and the Company's budgets and planned exploration and development
programs on its various properties for 2010 constitutes
'forward-looking information' within the meaning of applicable
Canadian securities legislation and will be updated if required
under applicable Canadian securities laws. This information is
provided as general guidance only and is based on assumptions and
subject to risks as described below. Readers are cautioned that
actual results may vary from the forward-looking information
disclosed. FORWARD-LOOKING STATEMENTS This news release contains
"forward-looking statements" and "forward-looking information"
within the meaning of applicable securities regulations in Canada
and the United States (collectively, "forward-looking
information"). The forward-looking information contained in this
news release is made as of the date of this news release. Except as
required under applicable securities legislation, the Company does
not intend, and does not assume any obligation to update this
forward-looking information. Forward-looking information includes,
but is not limited to, statements regarding the Company's
expectations and estimates as to future gold production, total cash
costs per ounce, onsite mining, milling and administration costs
and sustaining capital expenditures at Casa Berardi, the Company's
expected expenditures and planned programs on its properties for
2010. In addition, forward-looking information includes statements
with respect to estimated mineral reserves and resources,
anticipated effects of drill results on the Company's projects,
timing and expectations of future development, exploration, and
work programs. Often, but not always, forward-looking information
can be identified by the use of words such as "plans", "expects",
"is expected", "budget", "scheduled", "estimates", "forecasts",
"intends", "anticipates" or "believes", or the negatives thereof or
variations of such words and phrases or statements that certain
actions, events, or results "may", "could", "would", "might", or
"will", be taken, occur or be achieved. The forward-looking
information expresses, as at the date of this news release, the
Company's plans, estimates, forecasts, and expectations, as to
future events or results and are based on certain assumptions that
the Company believes are reasonable, and the further assumptions
that past operational performance will continue, there will be no
material disruption in operations, demand for and the price of gold
will be sustained or will improve, the supply of gold will remain
stable, that the general business and economic conditions will not
change in a material adverse manner, that financing will be
available if an when needed on reasonable terms and that the
Company will not experience any material accident, labour dispute,
or failure of plant and equipment. However, forward-looking
information involves known and unknown risks, uncertainties and
other factors which may cause the actual results, performance or
achievements of the Company to be materially different from any
future results, performance or achievements expressed or implied by
the forward-looking information. Such factors include, among
others, conclusions of economic evaluations, the risk that actual
results of development and exploration activities will be different
than anticipated, that cost of labour, equipment or materials will
increase more than expected, that the future price of gold will
decline, that the Canadian dollar will strengthen against the U.S.
dollar, that mineral reserves and resources are not as estimated,
that actual costs or actual results of reclamation activities are
greater than expected; that changes in project parameters as plans
continue to be refined may result in increased costs, of unexpected
variations in mineral reserves and resources, grade or recover
rates, of failure of plant, equipment or processes to operate as
anticipated, of accidents, labour disputes and other risks
generally associated with mining, unanticipated delays in obtaining
governmental approvals or financing or in the completion of
development or construction activities, as well as those factors
and other risks more fully described in Aurizon's Annual
Information Form filed with the securities commission of all of the
provinces and territories of Canada and in Aurizon's Annual Report
on Form 40-F filed with the United States Securities and Exchange
Commission, which are available on Sedar at http://www.sedar.com/
and on Edgar at http://www.sec.gov/. Although the Company has
attempted to identify important factors that could cause actual
actions, events or results to differ materially from those
described in forward-looking information, there may be other
factors that cause actions, events or results to not be as
anticipated, estimated or intended. There can be no assurance that
forward-looking information will prove to be accurate, as actual
results and future events could differ materially from those
anticipated in such statements. Readers are cautioned not to place
undue reliance on forward-looking information due to the inherent
uncertainty thereof. CAUTIONARY NOTE TO US READERS AND INVESTORS As
a British Columbia corporation, the Company is subject to certain
rules and regulations issued by the British Columbia Securities
Commission ("BC Securities Commission"). The Company is required to
provide detailed information regarding its properties including
mineralization, drilling, sampling and analysis, security of
samples and mineral resource and mineral reserve estimates.
Further, the Company describes mineral resources associated with
its properties utilizing terminology such as "indicated" or
"inferred" which terms are recognized by Canadian regulations but
are not recognized by the United States Securities and Exchange
Commission ("SEC"). Cautionary Note to U.S. Readers and Investors
Regarding Mineral Resources The SEC allows mining companies, in
their filings with the SEC, to disclose only those mineral deposits
they can economically and legally extract or produce. The Company
may use certain terms in this document, such as "mineral
resources", "indicated mineral resources" and "inferred mineral
resources" that are recognized and mandated by Canadian securities
regulators but are not recognized by the SEC. This News Release may
use the term "indicated" mineral resources. U.S. readers are
cautioned that while that term is recognized and required by
Canadian regulations, the SEC does not recognize it. U.S. readers
and investors are cautioned not to assume that any part or all of
mineral deposits in this category will ever be converted into
mineral reserves. This News Release may also use the term
"inferred" mineral resources. U.S. readers are cautioned that while
this term is recognized and required by Canadian regulations, the
SEC does not recognize it. "Inferred resources" have a great amount
of uncertainty as to their existence, and great uncertainty as to
their economic and legal feasibility. It cannot be assumed that all
or any part of an inferred mineral resource will ever be upgraded
to a higher category. Under Canadian rules, estimates of inferred
mineral resources may not form the basis of feasibility or
pre-feasibility studies, except in rare cases. U.S. readers and
investors are cautioned not to assume that part or all of an
inferred resource exists, or is economically or legally mineable.
DATASOURCE: Aurizon Mines Ltd. CONTACT: AURIZON MINES LTD., David
Hall, President and C.E.O., Telephone: (604) 687-6600, Toll Free:
1-888-411-GOLD, Fax: (604) 687-3932; Martin Bergeron, Vice
President, Operations, Telephone: (819) 874-4511, Fax: (819)
874-3391, Web Site: http://www.aurizon.com/, Email: ; or Renmark
Financial Communications Inc., 2080 Rene-Levesque Blvd. West,
Montreal, QC, H3H 1R6; Barry Mire: ; Maurice Dagenais: ; Media:
Valerie Lacasse: , Tel: (514) 939-3989, Fax: (514) 939-3717
Copyright