Revett Provides Troy Mine Update and Reports Full Year 2012 Production Results
SPOKANE VALLEY, WASHINGTON -- (Marketwire) -- 01/22/13 -- Revett Minerals Inc. (NYSE MKT: RVM) (NYSE Amex: RVM) (TSX: RVM) provides an update on underground assessment and monitoring activities and announces fourth quarter and full year 2012 production results from the Troy Mine, located in northwest Montana. Currency is reported in United States dollars unless otherwise indicated.
Troy Mine Update:
Following the suspension of underground mining activities in mid-December 2012, the Company has been able to re-enter some underground areas for assessment and monitoring purposes. The main mechanical and equipment areas such as the crusher and conveyor system are unaffected by recent ground instability, but there has been some groundfall along the underground main haulage route at a structural cross fault. The Company has recommenced scaling and pumping activities in the North Ore Body and is currently evaluating options for regaining access to the Lower Quartzite and A & C Beds. Remedial measures will be determined after examination of the ore body from the South Adit, which is currently scheduled for the week of January 28th. The company does not as yet have a firm date for the resumption of production activities.
Underground operations were suspended by the Company as a safety measure and the Company has not been issued any citations or assessed any fines by MSHA during the recent occurrence of ground instability. The Company must continue to coordinate with MSHA as it re-enters additional underground areas and believes that the operational measures taken by management were the correct decisions and that the long term mining plan at the Troy Mine remains intact. A further update will be issued once full access to all mining areas has been completed.
The company has fulfilled its 2012 concentrates sales requirements and has no outstanding hedges. We will provide 2013 operations guidance once a firm date to recommence production has been set.
Troy Mine Fourth Quarter and Full Year 2012 Operating Summary:
-- For the full year of 2012, net cash from operations(1)was $18.7 million
compared to $28.2 million for 2011. Net cash from operations(1) for the
fourth quarter ended December 31, 2012 was $0.2 million.
-- Mill throughput for the full year of 2012 averaged 3,588 tpd compared to
3,957 tpd for the full year of 2011. Fourth quarter 2012 throughput was
204,969 tons processed, averaging 3,203 tpd for the period.
-- Silver production for the full year of 2012 was 1,112,089 ounces
compared to 1,291,010 ounces for the full year of 2011. Fourth quarter
2012 silver production totaled 161,133 ounces averaging throughput
grades of 0.94 oz/ton.
-- Copper production for the full year of 2012 was 7,555,215 pounds
compared to 10,651,494 pounds for the full year of 2011. Fourth quarter
2012 copper production totaled 1,007,982 pounds averaging throughput
grades of 0.32%.
-- There were zero lost time incidents reported during the fourth quarter
of 2012. The MSHA calculated Incidence Rate for the Troy Mine for the
full year 2012 is 4.04 as compared to a national underground average for
the first nine months of 2012 of 2.49.
John Shanahan, President and CEO stated, "We remain committed to being the safest and best mining operation that we can be and continue to be confident that we will return to full operations soon. Despite the challenges near year-end, the correct operating decisions were made with safety and the longevity of the Troy Mine in mind. The Troy Mine remains our bridge to Rock Creek and we remain focused on realizing our objective to becoming a major US based producer of silver and copper."
Production Summary
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Fourth Quarter Full Year
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2012 2011 2012 2011
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Mill Production
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Mill Feed (st) 204,969 378,723 1,194,871 1,416,572
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Mill Feed Rate (stpd) 3,203 4,208 3,588 3,957
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Silver
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Feed Grade - Oz/Ton Ag 0.94 0.94 1.08 1.07
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Mill Recovery - Ag 83.27% 84.13% 86.08% 84.85%
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Recovered Ounces 161,133 300,420 1,112,089 1,291,010
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Copper
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Feed Grade - % Cu 0.32% 0.38% 0.38% 0.46%
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Mill Recovery - Cu 77.07% 82.01% 82.53% 82.02%
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Recovered Pounds 1,007,982 2,352,307 7,555,215 10,651,494
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Concentrate Inventory
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- Dry Short Tons 163 457
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- Silver (oz) 14,958 37,565
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- Copper (lbs) 121,558 328,331
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Sales
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- Silver (oz) 137,292 378,786 1,010,752 1,136,843
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- Copper (lbs) 970,954 3,221,206 7,304,096 10,157,018
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Net Cash from Operations(1) $0.2m $10.2m $18.7m $28.2m
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(1) Net cash from operations is before capital expenditures and exploration and is a non GAAP measure. The Company believes that net cash from operations is a benchmark for performance and is well understood and widely reported in the mining industry.
Release of Financial Results and Conference Call
Revett plans to release financial results for the full year 2012 on Monday, March 11, 2013 and hold a conference call on Tuesday, March 12, 2013 at 11:30am Eastern Time. To join the conference call dial 888-231-8191 or 1-647- 427-7450 internationally.
About Revett
Revett, through its subsidiaries, owns and operates the producing Troy Mine in Lincoln County, Montana and development-stage Rock Creek project located in Sanders County, Montana, USA. The proven reserves at the Troy Mine and significant resources at the Rock Creek project form the basis of our plan to become a premier mid-tier base and precious metals producer. Revett plans on expanding production through exploration in and around its current properties, as well as through targeted business combinations of advanced stage projects.
John Shanahan, President & CEO
Except for the statements of historical fact contained herein, the information presented in this news release may contain "forward-looking statements" within the meaning of applicable Canadian securities legislation and The Private Securities Litigation Reform Act of 1995. Generally, these forward looking statements can be identified by the use of forward-looking terminology such as "plans", "expects", or "does not expect", "is expected", "is not expected", "budget", "schedule", "estimates", "forecasts", "intends", "anticipates", "or does not anticipate" or "believes" or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking statements contained in this news release include statements relating to the Company's long term mining plan, and the Company's expectation that operations will resume soon, enabling the Company to provide 2013 operations guidance. Actual results will depend upon the results of the assessments conducted, the views of MSHA and decisions made my management having regard to the nature of the geotechnical conditions and the safety of Revett's employees. Forward looking statements, including future-oriented financial information, are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to significant business and economic uncertainties, risks and contingencies and those factors discussed in the section entitled "Risk Factors" in the Form 10-K filed on SEDAR at www.sedar.com and with the SEC on EDGAR. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Revett Minerals does not undertake to update any forward-looking statements except as required by applicable securities laws.
Contacts:
Revett Minerals Inc.
Monique Hayes
Corporate Secretary / Director of Investor Relations
(509) 921-2294
www.revettminerals.com