(FSE: GKW) (“Gold Horizons Mining Co. Ltd.” or the “Company”) is pleased to report our senior joint venture partner Atlantis Gold SAC has contracted with a local contractor the necessary heavy equipment needed to develop both the road leading into the processing plant as well as the actual site itself. Starting Tuesday, November 13th, we expect a D-7 Cat will begin constructing a new road approximately 2.6 miles in length leading directly up to the processing plant. This new road travels along a relatively flat sandy surface and is expected to take no more than 3 days to complete. No large boulders or steep mountains confront us thereby making this road construction simple and straightforward. This is the first step in preparing the processing plant for the cement contractors.
The next step will be the arrival of a 950 Cat front loader. This machine will cut into the side of the valley making the necessary elevations for each component of the processing plant, i.e. ore bins, conveyors, crushers, mills as well as the various tank installations. The design is a step down layout, (please see the attached architectural drawing). The front loader is expected to spend approximately 40 to 50 hours preparing the site for the cement slabs to be laid in position. CEO and President, Scott Francis, comments: “the Company is pleased to be physically breaking ground this week. We have an ambitious schedule and are targeting full completion of the processing plant infrastructure as well as installation of all the equipment within a 60 to 90 day time frame.”
Upon completion of the first circuit the plant will begin processing up to 50 tons of mineral per day. With the continued support of our investors the Company will continue to purchase the necessary equipment in order to ramp up daily gold production to match the processing plant’s full capacity. Working the mine and processing plant 26 days per month with an expected 6 g/ton of gold the mine will produce approximately 7 kilos of gold per month. Over the next 24 months the Company plans to double or triple this production figure.
Gold Horizons Mining Co. Ltd is currently closing out their Rights Offering. The Company will utilize the funds raised to increase monthly production at the mine and at the same time complete the new processing plant.
Gold Horizons Mining Co. Ltd is a start up gold and silver producer as well as an exploration company operating in Arequipa, Peru. The Company is committed to building long-term shareholder value through strategic opportunity and identification in the mineral resource sector. The Company specializes in small mine development, specifically underground, narrow vein mining. The Company’s strategy has evolved to include the processing of its own mineral, which has lowered the total costs by up to 50% per ounce. The Company, in partnership with its Peruvian joint venture partners, locates, develops, and operates near production ready mineral projects in Peru.
Forward Looking Statements
This press release contains “forward-looking information. Except for statements of historical fact, certain information contained herein constitutes forward-looking statements, which include statements regarding production estimates and targeted production for 2012. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “feel”,”anticipate”, “expect”, “proposed”, “potential”, “plan”, “believe”, “prepares”, “consider”, and “estimated”. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information.
Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.