BLAINE, WASHINGTON--(Marketwire - Dec. 16, 2009) - Century Mining Corporation (TSX VENTURE:CMM) ("Century" or the "Company") is pleased to announce the appointment of Paul Keller, P.Eng. as VP North America and General Manager of the Lamaque Gold Project.
Mr. Keller brings over 25 years of extensive operational, engineering, and mine development experience. Mr. Keller recently held the position of COO, VP Operations for Crowflight Minerals Ltd., and previously held other senior mine management roles with Williams Operating Corporation, Teck-Corona Operating Corporation and Rio Algom Limited. Mr. Keller brings a solid track record of mine start-ups from construction to production, mine and mill facility design, optimization of engineering operations, improved safety and cost reductions primarily for underground mining operations. Mr. Keller is a Professional Engineer (P.Eng, Mining) registered in Ontario and Manitoba, and will be commencing employment immediately with Century.
"Paul Keller, as our senior operating professional in Val-d'Or, will play an integral role in the advancement and start up of the Lamaque Gold Project in Québec, Canada. Paul brings a wealth of underground mine engineering and development experience, a hands-on management style and team leadership approach that fit well into our mining group. Century is pleased to have Paul join our team as we continue to take the steps to commence production by the summer of 2010. Mine development will commence as soon as the mine financing is complete," commented Margaret Kent, President & CEO of Century.
Century Purchases Remaining Royalty Interest
Century and Teck Resources Limited ("Teck") have agreed to eliminate all royalties and future payments that may affect portions of the Lamaque underground mine owned by Century. Upon receipt by Teck of 1,500,000 common shares of Century and CDN$750,000, Century and Teck have agreed to terminate Teck's royalty agreement and eliminate all purported obligations in favour of Teck including, without limitation, any obligation of Century to pay Teck any future royalties from the Lamaque mine.
Century Updates on Closing of Financing
Management continues to finalize the completion of documentation and closing of the previously reported US$33 million prepaid gold facility with a major international bank and the $21 million private placement. Further to previous press releases, the Company expects that the closing of these financings will be prior to December 25, 2009.
About Century Mining Corporation
Century Mining Corporation is a junior gold producer. The Company owns and is working towards the start up of the Lamaque Gold Project in Québec, Canada that historically has produced over 9.2 million ounces of gold. In Peru, Century's wholly-owned subsidiaries own an 82.6% interest in the San Juan Mine, where the Company accounts for 100% of gold production. Total gold production for 2007 and 2008 was 63,124 and 14,252 ounces of gold, respectively.
On behalf of Century Mining Corporation,
Margaret M. Kent, Chairman, President & CEO
1 comment:
In 2006, Century bought back Sigma-Lamaque Complex gold production royalties from SGF Mines Inc. I thought that transaction allowed us to be 100% royalty free.
As such, this Teck Resources royalty buy out comes as a surprise to me. I guess the original SGF royalty was only for the Sigma side of the complex (as that was the only side Century was mining back then). Also, Teck Resources (formally Teck Cominco and Teck Corp) only owned the Lamaque side of the operation (Placer Dome owned the Sigma side).
It's hard to tell for sure why they are settling with Teck Resources at this particular moment. This could be one reason for the delay in closing off the financings (if Century had to spend time negotiating settlement with Teck due to closing off all liens on the property being a prerequisite to accessing the US$33M prepaid gold sales funding).
If this move is not due to a lien settlement prior to financing close off then perhaps wanted to eliminate the royalties prior to exploration on the Lamaque side. It's better to eliminate the royalties now as it will get more expensive later on if the gold price increases and once we start moving the 2 million ounces into 43-101 within the deep plugs (although that's a couple of years away, after dewatering). Of course, they could have located other places (near surface) on the Lamaque side that could be drilled earlier, prior to dewatering (other than all the near surface places that will be drilled on the Sigma side of course).
Ok, one other thought came to me while I was typing. We have 1.7M newly discovered ounces in the Cross-Over section (1000 ft or 300 meters of the surface). That is in between both the Sigma and Lamaque sides. That could be another reason for urgently eliminating the Teck Royalties. Given that this is a shared area, their royalty agreement might have partially kicked in for them.
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