Proactiveinvestors United Kingdom Orosur Mining

RNS press release - Orosur Mining Inc. Issue of Ordinary Shares upon E

Fri, 18 May 2012 07:00:00 +0100

Orosur Mining shares move to main Toronto Stock Exchange

Mon, 14 May 2012 07:33:00 +0100

Orosur Mining (LON:OMI, TSE:OMI) shares begin trading on the main Toronto Stock Exchange today (May 14).

The firm's shares are being delisted from the Toronto venture exchange, on which the company has been listed since 2000.

The gold producer and explorer said that the shares will be traded under the symbol OMI.

Its shares have been trading on London's AIM market since 2004.

Last month, Orosur revealed it had increased sales in its third quarter to US$26 million from US$21.6 mln in the comparative period.

It produced 13,668 ounces of gold in the three months to February 29 this year - compared to 16,573 for 2011.

During the quarter, 406,219 tonnes of ore were processed at a grade of 1.12 g/t gold and a recovery of 93.3 per cent, said the company.

The average gold price for the quarter increased to US$ 1,691 per ounce from US$ 1,368 in Q3 of the previous year, while the average cash operating cost was US$1,104 per ounce (US$483 per ounce).

Net income in the three months decreased to US$ 5 million compared to a profit of US$ 6.3 million in the corresponding period.

RNS press release - Orosur Mining Inc. to Commence Trading on the Toro

Mon, 14 May 2012 07:00:00 +0100

Orosur Mining looks to maximise production for full year - UPDATE

Fri, 13 Apr 2012 13:21:00 +0100

---Adds broker comment----

Orosur Mining (LON:OMI, CVE:OMI) increased sales in its third quarter to US$26 million from US$21.6 mln in the comparative period, it said today.

The firm produced 13,668 ounces of gold in the three months to February 29 this year - compared to 16,573 for 2011.

Chief executive David Fowler told investors that, as previously announced, the quarter's production was affected by the delay in increasing stope production from the Arenal Deeps project in Uruguay.

He said that now mining from alternative open pit sources was being accelerated to maximise production for the fiscal year.

"This has impacted cash costs for the quarter and fiscal year but maximises cashflow.

"Stope production is increasing as expected in the 4th quarter and we look forward to Arenal making a more significant contribution to our production profile and lowering cash costs in the coming years," he said.

The firm received the mining permit for Arenal Deeps last month on March 1, which allows ore exploitation from all levels of the project.

"All of the mining equipment and personnel necessary to ramp up stope production are now on site and production levels are expected to reach design capacity in the fourth quarter of fiscal 2012," Orosur added.

During the third quarter 406,219 tonnes of ore were processed at a grade of 1.12 g/t gold and a recovery of 93.3 per cent, said the company.

The average gold price for the quarter increased to US$ 1,691 per ounce from US$ 1,368 in Q3 of the previous year, while the average cash operating cost was US$1,104 per ounce (US$483 per ounce).

Net income in the three months decreased to US$ 5 million compared to a profit of US$ 6.3 million in the corresponding period.

It ended the third quarter with US$15.4 million in cash and net debt of US$6.376 million.

Yesterday, the company unveiled first pass drilling results from the Mahoma project in Uruguay, which Fowler said today he had been "very pleased" with.

They confirmed the narrow high grade gold results historically drilled on the Veta II area.

The group will now expand its drilling programme with a view to defining a NI 43-101 resource for Mahoma.

This should provide the basis for a feasibility study outlining an operation that produces 25,000 ounces of gold that could be processed at the San Gregorio mine some 400 kilometres to the north.

Canaccord Genuity, which maintains its 'buy' rating, said with the Arenal Deeps permit in place, it expected higher grade underground production to increase in Q4/12, which should reduce cash costs.

"We view the target production of 55-57.5koz as achievable, but believe it requires a smooth underground ramp up as well as stable grades from the open pits. This, in conjunction with the timing of the final permit for the second tailings storage facility, represents a short-term risk, but we think is priced in already at these levels," it said in a note.

Analyst Dmitry Kalachev added that broker reckoned the firm looked inexpensive - trading at 0.23 times the broker's NAV (net asset value) at spot gold versus the peer group average of 0.54 times.

"We expect the stock to rerate on delivery of the underground ramp up and potential exploration success at Mahoma, Talca and Pantanillo," he added.

Canaccord has lowered its target price to 84 pence a share from 115 pence - using a flat US$1,750 per ounce gold price, 5 per cent discount rate and a reduced target multiple of 0.40 (from 0.50) to account for the near-term operating risks.

Orosur Mining looks to maximise production for full year

Fri, 13 Apr 2012 10:11:00 +0100

Orosur Mining (LON:OMI, CVE:OMI) increased sales in its third quarter to US$26 million from US$ 21.6 mln in the comparative period, it said today.

The firm produced 13,668 ounces of gold in the three months to February 29 this year - compared to 16,573 for 2011.

Chief executive David Fowler told investors that, as previously announced, the quarter's production was affected by the delay in increasing stope production from the Arenal Deeps project in Uruguay.

He said that now mining from alternative open pit sources was being accelerated to maximise production for the fiscal year.

"This has impacted cash costs for the quarter and fiscal year but maximises cashflow.

"Stope production is increasing as expected in the 4th quarter and we look forward to Arenal making a more significant contribution to our production profile and lowering cash costs in the coming years," he said.

The firm received the mining permit for Arenal Deeps last month on March 1, which allows ore exploitation from all levels of the project.

"All of the mining equipment and personnel necessary to ramp up stope production are now on site and production levels are expected to reach design capacity in the fourth quarter of fiscal 2012," Orosur added.

During the third quarter 406,219 tonnes of ore were processed at a grade of 1.12 g/t gold and a recovery of 93.3 per cent, said the company.

The average gold price for the quarter increased to US$ 1,691 per ounce from US$ 1,368 in Q3 of the previous year, while the average cash operating cost was US$1,104 per ounce (US$483 per ounce).

Net income in the three months decreased to US$ 5 million compared to a profit of US$ 6.3 million in the corresponding period.

It ended the third quarter with US$15.4 million in cash and net debt of US$6.376 million.

Yesterday, the company unveiled first pass drilling results from the Mahoma project in Uruguay, which Fowler said today he had been "very pleased" with.

They confirmed the narrow high grade gold results historically drilled on the Veta II area.

The group will now expand its drilling programme with a view to defining a NI 43-101 resource for Mahoma.

This should provide the basis for a feasibility study outlining an operation that produces 25,000 ounces of gold that could be processed at the San Gregorio mine some 400 kilometres to the north.

RNS press release - Orosur Mining Inc. Announces Results for the Third

Fri, 13 Apr 2012 07:00:00 +0100

Orosur Mining reports encouraging first pass drill results from Mahoma gold project

Thu, 12 Apr 2012 09:11:00 +0100

Orosur Mining (LON:OMI, CVE:OMI) said first pass drilling on the Mahoma project in Uruguay has confirmed the narrow high grade gold results historically drilled on the Veta II area.

The group will now expand its drilling programme with a view to defining a NI 43-101 resource for Mahoma.

This should provide the basis for a feasibility study outlining an operation that produces 25,000 ounces of gold that could be processed at the San Gregorio mine some 400 kilometres to the north.

Orosur has completed 24 drill holes for 1,815 metres from an initial planned drill programme of approximately 3,000 meters, comprising 2,000 metres of reverse circulation and 1,000 metres of diamond drilling.

This work is expected to be followed by infill drilling to target an initial measured and indicated resource of 250,000 tonnes.

Among the results from the completed holes were interceptions of 0.45 metres with 21.86 grammes per tonne gold, 0.30 metres at 56.17 g/t, 0.32 metres at 46.60 g/t and 0.45 metres at 41.05 g/t.

One hole even found 0.40 metres with 100.63 g/t gold.

The Mahoma project area contains four principal gold bearing quartz veins that were previously mined via shallow open pits, but contains additional quartz veins that have not yet been explored.

The project is located approximately 130 kilometres from Montevideo.

Four principal veins have been identified; veins I, II, IIB and IV. Vein II is the longest and most consistent that has been historically drilled and mined. It has a drilled strike length of 900 metres and a shallow open pit extends along 450 metres of its strike length.

Mahoma was previously operated by American Resource Corporation and produced 16,419 ounces between 1993 and 1997.

A pre-mining non-NI 43-101 probable reserve of 281,000 tonnes at a diluted grade of 9.36 g/t was estimated by Watts, Griffis and McOuat.

RNS press release - Orosur Mining Inc Announces Drill Results for the

Thu, 12 Apr 2012 07:02:00 +0100

RNS press release - Orosur Mining Inc. Announces 2012 Third Quarter Co

Thu, 12 Apr 2012 07:00:00 +0100

Orosur Mining sees encouraging grades on latest drilling at Talca, Chile

Tue, 06 Mar 2012 16:16:00 +0000

Orosur Mining (LON:OMI, CVE:OMI) said today latest results from drilling at its Talca prospect in Chile showed signs of high grade gold mineralisation.

Initial assay results from three holes drilled during 2012 at Talca defined 2 metres at 5.7 g/t gold in hole number Talca 12-23-RC on the Metallera fault.

There were two intercepts of 1 metre at 10 g/t gold in holes Talca 12-29-RC and Talca 12-30-RC in the southern sector.

“These results are encouraging and consistent with expectations for these targets,” Orosur added.

A 3,000 metre drill campaign has commenced at the Pantanillo project, also in Chile, with three targets to be tested.

David Fowler, chief executive, said: “Initial drilling in the southern sector at Talca is encouraging with intercepts confirming the potential for multiple narrow high grade gold mineralisation over a potential strike length of 500 metres.”

This sector and the Metallera central zones, which have been significant historical production areas, are the focus of current drilling, he said.

The intercepts of 10 g/t gold were over 500m west of the intersection between the vein sets and the Metalera Fault system. Assays for other holes drilled in Sector Sur are pending with results expected by the end of March, Fowler added.

The company’s objective is to define the first Inferred NI-43101 resource calculation during calendar 2012.

The drilling at Pantanillo will consist of 3,000 metres of aimed at discovering new oxide resources.

Results of this program are expected to be received in May and June 2012.

Earlier today, Orosur said its Arenal Deeps gold project in Uruguay had got the green light for production after it received the mining permits on March 1.

The process took a month longer than the time-table set out in the company’s second quarter report.

RNS press release - Orosur Mining update on Chile

Tue, 06 Mar 2012 15:15:00 +0000

Orosur Mining says Arenal Deeps fully permitted; production to be marginally lower than planned

Tue, 06 Mar 2012 07:37:00 +0000

Orosur Mining said its Arenal Deeps gold project in Uruguay has the green light for production after it received the mining permits on March 1.

RNS press release - News

Tue, 06 Mar 2012 07:00:00 +0000

Orosur Mining starts drilling at Mahoma gold project, Uruguay - UPDATE

Mon, 05 Mar 2012 14:54:00 +0000

---Adds broker comment and share price---

South America focused gold group Orosur Mining (LON:OMI, CVE:OMI) has started drilling on its 100 per cent owned and previously producing Mahoma project in Uruguay, which could ultimately add up to 30,000 ounces to annual production from the country.

In all, it is planning to drill 3,000 metres, comprising 2,000 metres of reverse circulation and 1,000 metres of diamond drilling.

Orosur has held the property since 2009, however, issues with land access had previously prevented exploration. These issues were resolved in the second half of 2011, and exploration can now be conducted.

Mahoma was previously operated by American Resource Corporation and produced 16,419 ounces, from processing 73,431 tonnes at an average grade of 6.98 grammes per tonne with 91.6 per cent recovery, between 1993 and 1997.

Chief executive David Fowler said: “We are pleased to have commenced drilling at the high grade Mahoma vein system in Uruguay. With a historical non NI43-101 compliant reserve of 281,000 tonnes at a grade 9.36 g/t au and significant exploration upside, we believe that Mahoma could ultimately deliver an increase in Orosur’s Uruguayan production by 25,000 to 30,000 ounces per annum with minimal capital.”

The project area contains four principal gold bearing quartz veins that were previously mined via shallow open pits. The area is located approximately 130 kilometres from Montevideo and 405 kilometres from the San Gregorio mine in the Florida Greenstone belt.

The Mahoma area is expected to contain additional quartz veins that have not yet been explored.

The four principal veins have been identified as veins I, II, IIB and IV. The II vein is the longest and most consistent that has been historically drilled and mined. It has a drilled strike length of 900 metres and a shallow open pit along 450 metres of its strike length.

Orosur’s initial drill programme is designed to confirm historical drill results for vein II, vein IIB and vein I.

This work is expected to be followed by infill drilling to target an initial measured and indicated resource of 250,000 tonnes. If this programme is successful a feasibility study to develop an underground operation producing 25,000 to 30,000 ounces per annum is planned.

This study is likely to be based on ore being trucked to the San Gregorio mine thereby limiting capital expenditure on processing plant and simplify permitting as no cyanide will be used at the site.

The company operates the only producing gold mine in Uruguay, San Gregorio, and has assembled an exploration portfolio of high quality assets in Uruguay and Chile.

Broker Cannacord Genuity said the main issue for Mahoma will be the high transportation costs.

However, it pointed out that the company planned to send ore from another deposit - Crucera (22,000 ounces at 4.6g/t open pit reserve) - to be processed at the San Gregorio plant, also 400km away, at a positive margin.

"Mahoma looks likely to be larger and have higher grades than Crucera. We expect Mahoma to be an underground operation, which should partly offset the positive impact of higher grades on costs," said Cannacord, maintaining its 'buy' recommendation on the stock and 115 pence a share target.

As at 3.05pm, Orosur shares were up 0.93 per cent, at 54 pence.

Orosur Mining starts drilling at Mahoma gold project, Uruguay

Mon, 05 Mar 2012 07:35:00 +0000

South America focused gold group Orosur Mining (LON:OMI, CVE:OMI) has started drilling on its 100 per cent owned and previously producing Mahoma project in Uruguay, which could ultimately add up to 30,000 ounces to annual production from the country.

In all, it is planning to drill 3,000 metres, comprising 2,000 metres of reverse circulation and 1,000 metres of diamond drilling.

Orosur has held the property since 2009, however, issues with land access had previously prevented exploration. These issues were resolved in the second half of 2011, and exploration can now be conducted.

Mahoma was previously operated by American Resource Corporation and produced 16,419 ounces, from processing 73,431 tonnes at an average grade of 6.98 grammes per tonne with 91.6 per cent recovery, between 1993 and 1997.

Chief executive David Fowler said: “We are pleased to have commenced drilling at the high grade Mahoma vein system in Uruguay. With a historical non NI43-101 compliant reserve of 281,000 tonnes at a grade 9.36 g/t au and significant exploration upside, we believe that Mahoma could ultimately deliver an increase in Orosur’s Uruguayan production by 25,000 to 30,000 ounces per annum with minimal capital.”

The project area contains four principal gold bearing quartz veins that were previously mined via shallow open pits. The area is located approximately 130 kilometres from Montevideo and 405 kilometres from the San Gregorio mine in the Florida Greenstone belt.

The Mahoma area is expected to contain additional quartz veins that have not yet been explored.

The four principal veins have been identified as veins I, II, IIB and IV. The II vein is the longest and most consistent that has been historically drilled and mined. It has a drilled strike length of 900 metres and a shallow open pit along 450 metres of its strike length.

Orosur’s initial drill programme is designed to confirm historical drill results for vein II, vein IIB and vein I.

This work is expected to be followed by infill drilling to target an initial measured and indicated resource of 250,000 tonnes. If this programme is successful a feasibility study to develop an underground operation producing 25,000 to 30,000 ounces per annum is planned.

This study is likely to be based on ore being trucked to the San Gregorio mine thereby limiting capital expenditure on processing plant and simplify permitting as no cyanide will be used at the site.

The company operates the only producing gold mine in Uruguay, San Gregorio, and has assembled an exploration portfolio of high quality assets in Uruguay and Chile.

RNS press release - Exploration Update

Mon, 05 Mar 2012 07:00:00 +0000

Orosur Mining: Browning becomes executive chairman as Caron steps down

Tue, 17 Jan 2012 07:21:00 +0000

Ralph Browning, non-exec director of Orosur Mining (LON:OMI), has been appointed executive chairman with immediate effect as Mario Caron steps down as chairman.

Caron will continue as a non-executive director, the firm revealed today.

Finance executive Browning, 48, has been a director at the company since 2010 and David Fowler, the firm's CEO and managing director, said he was delighted at the appointment:

"Ralph's experience in corporate development and international transactions will be invaluable as we look to build a leading gold producer in South America.”

"I wish to thank Mario Caron for his leadership and dedication to the development of our company, exemplified by the recent successful commissioning of Orosur’s first underground mine at Arenal Deeps in Uruguay and the acquisition of the prospective ‘Mina Talca’ exploration properties in Chile."

Browning is also chairman of London quoted GMA Resources Plc, the firm said today.

Caron joined the Orosur board as chairman in October 2009. He has recently been appointed as CEO of Aldridge Minerals Inc. and is stepping down to dedicate more time to this role, the firm said.

Last week, Orosur revealed that the capital and operating costs of its Pantanillo Norte project in Chile will be in the order of US$178 million, according to a PEA of the planned gold mine.

The study ascribed a net present value of US$32.2 million to the development and an internal rate of return of 17 per cent at an 8 per cent discount rate.

The payback on the project is predicted to be 45 months, while the total cash cost of mining the gold is predicted to be in the order of US$581 an ounce. Output, meanwhile, is slated to be 97,000 ounces a year.

RNS press release - Change of Chairman

Tue, 17 Jan 2012 07:00:00 +0000

Orosur Mining's Fowler "pleased" with the results of Pantanillo Norte preliminary assessment

Thu, 12 Jan 2012 07:52:00 +0000

The capital and operating costs of Orosur Mining’s Pantanillo Norte project in Chile will be in the order of US$178 million, according to a Preliminary Economic Assessment of the planned gold mine. Prepared by AMEC E&C Services, the study ascribes a net present value of US$32.2 million to the development and an internal rate of return of 17 per cent at an 8 per cent discount rate.

RNS press release - News

Thu, 12 Jan 2012 07:02:00 +0000