GOLD: Richmont says ‘yes’ to commercial production at Monique

QUEBEC – Having completed the bulk sampling phase at its Monique gold project 25 km east of Val d'Or, Richmont Mines of Montreal has decided to ramp up production to commercial levels. The open pit is expected to have a life of 19 months are a mining rate of 22,500 tonnes per month.

The 8,494-tonne Monique bulk sample yielded 717 oz of gold from a head grade of 2.86 g/t Au at a mill recovery rate of 95.1%. Commercial production of 4,500 oz is expected over the last three months of the year, bringing Richmont's 2013 output to 72,000 oz of gold.

The Monique deposit has open pit proven and probable reserves o 485,249 tonnes grading 2.29 g/t Au and containing 33,991 oz of gold. There are also 107,531 indicated tonnes at 4.88 g/t Au containing 16,858 oz of gold.

Richmont said that total capital expenditures at Monique will be $10.9 million to generate an internal rate of return of 3% (using US$1,350/oz gold price).

The history of the property is available at Richmont-Mines.com.