Goldgroup Mining Inc. ("Goldgroup" or the "Company") (TSX:GGA) (OTC:GGAZF) (BMV SIX:GGAN.MX) is pleased to announce that the Company has produced 285 ounces of gold from the initial gold production in December 2013 from its Cerro Prieto heap-leach mine located in Sonora, Mexico. Goldgroup is also pleased to announce that the Cerro Colorado mine, which is also located in Sonora, Mexico, continues to leach gold and the Company expects this to continue well into 2014.
Keith Piggott, Chairman, President & CEO of Goldgroup, commented: "We have now successfully completed the phase 1 development of the Cerro Prieto mine and are now beginning to produce gold. We are impressed with the Cerro Prieto production thus far as it has met target levels of recovery of gold in the amount of time that we have been leaching. Coming off a corrective year in 2013 for the gold sector, we are optimistic about the fundamentals for gold as well as Goldgroup's prospects into 2014 and beyond."
The Company wishes to make clear that it is not basing its production decision on a preliminary economic assessment ("PEA") demonstrating the potential viability of mineral resources or a feasibility study ("FS") of mineral reserves demonstrating economic and technical viability, and as a result there is increased uncertainty and multiple technical and economic risks of failure which are associated with this production decision. These risks, among others, include areas that would be analyzed in more detail in a PEA or FS, such as applying economic analysis to resources or reserves and more detailed metallurgy.
About Goldgroup
Goldgroup is a Canadian-based gold production, development, and exploration Company with significant upside in a portfolio of projects in Mexico, including its flagship 100%-owned advanced stage gold development project Caballo Blanco in the state of Veracruz, and a 50% interest in DynaResource de Mexico, S.A. de C.V., which owns 100% of the high-grade gold exploration project, San José de Gracia located in the state of Sinaloa. The Company also operates its 100%-owned Cerro Prieto and Cerro Colorado heap-leach gold mines, both in the state of Sonora.
Goldgroup is led by a team of highly successful and seasoned individuals with extensive expertise in mine development, corporate finance, and exploration in Mexico. Goldgroup's mission is to increase gold production, mineral resources, profitability and cash flow, building a leading gold producer in Mexico.
Source: Goldgroup Mining Inc.
