Gold Production FY 2009
Uruguay Mineral Exploration Inc
June 9, 2009
SYMBOLS: UME (TSXV), UGY (AIM)
Gold Production for 2009 Financial Year
Uruguay Mineral Exploration Inc (“UME or the “Company”), a gold
production and exploration company, announced today that it has produced
70,147 ounces of gold for the financial year to May 31, 2009. Ore
processed for the year was 1,361,696 tonnes at a gold grade of 1.73 g/t
with recovery averaging 92.7%.
In comparison to the previously disclosed target range of 72,000 to
75,000 ounces, lower production was due to waste being encountered in an
area where high grade ore was expected in the San Gregorio East pit in
May. The area had previously been mined and filled with waste. Mining
has progressed into hard rock.
The Company’s cash position at the end of the financial year was $US 9.5
million, in accordance with the company’s projected range of $US 8 to 10
million. Higher gold prices, costs reductions and other initiatives
implemented since the end of calendar 2008 offset the reduction in
The Company’s forecast production for the 2010 financial year is 60,000
ounces of gold. The overall production shortfall experienced during 2009
was attributable to the Arenal open pit that is now completed.
Production during 2009 from other ore sources, which form the basis of
the 2010 mine plan, were in line with or exceeded expectations.
Forward Looking Statements
All statements, other than statements of historical fact, contained or
incorporated by reference in this news release, including any
information as to the future financial or operating performance of the
Company, constitute “forward-looking statements” within the meaning of
certain securities laws, including the “safe harbour” provisions of the
Securities Act (Ontario) and the United States Private Securities
Litigation Reform Act of 1995 and are based on expectations estimates
and projections as of the date of this news release. There can be no
assurance that such statements will prove to be accurate, such
statements are subject to significant risks and uncertainties, and
actual results and future events could differ materially from those
anticipated in such statements. Forward-looking statements include,
without limitation success of exploration activities; permitting time
lines; the failure of plant; equipment or processes to operate as
anticipated; accidents; labour disputes; requirements for additional
capital title disputes or claims and limitations on insurance coverage.
The Company disclaims any intention or obligation to update or revise
any forward looking statements whether as a result of new information,
future events and such forward-looking statements, except to the extent
required by applicable law.
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
Editors’ note: Uruguay Mineral Exploration Inc. is a gold producer and
exploration company focused on identifying and developing mineral
opportunities in Latin America. UME is a fully integrated mining
company, possessing the skills necessary to explore and develop its
discoveries. The Company operates the only producing gold mine in
Uruguay (San Gregorio), and is also the leading mineral exploration
company in Uruguay having assembled an exploration portfolio based on
gold, base metals (copper, nickel, lead, zinc) and diamond prospects.
Uruguay Mineral Exploration Inc. is quoted in Canada (TSXV) and London
(AIM) and Matrix Corporate Capital LLP is its Nominated Adviser and
For further information, please contact:
Matrix Corporate Capital LLP
+44 20 3206 7209
+44 20 3206 7206