VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 01/16/13 -- Amerigo Resources Ltd. (TSX: ARG) ("Amerigo" or the "Company") is pleased to announce production results for the fourth quarter of 2012 from Minera Valle Central ("MVC"), the Company's operations located near Rancagua, Chile. MVC produced 13.56 million pounds of copper and 290,705 pounds of molybdenum during the three months ended December 31, 2012, for a total of 51.7 million pounds of copper and 1,057,717 pounds of molybdenum for the full year.
Dr. Klaus Zeitler, Amerigo's President and CEO, stated, "We are pleased to report that since start-up twenty years ago, annual copper and molybdenum production from MVC has steadily increased and is now at record levels. Total copper production of 51.7 million pounds in 2012 was 11% higher than the previous record of 46.6 million pounds set in 2010. Molybdenum production of 1,057,717 pounds was 35% higher than the previous record of 785,068 pounds set in 2011. Both copper and molybdenum production surpassed our guidance for Q4-2012 and 2012. I am now looking forward to improved financial results in 2013 due to significantly lower power costs and lower capital outlays."
Key operating and sales metrics are shown below.
--------------------------------------------------------------------------Production Metrics: Q4-2012 Q3-2012 Q2-2012 Q1-2012 Q4-2011--------------------------------------------------------------------------Copper Production (million lbs) 13.56 12.70 11.57 13.88 12.09--------------------------------------------------------------------------Molybdenum Production (lbs) 290,705 321,788 228,932 216,292 195,729--------------------------------------------------------------------------Ore milled (Tonnes 000's) 14,727 14,139 13,631 13,617 15,449--------------------------------------------------------------------------Copper Grade (%) 0.155 0.149 0.156 0.168 0.154--------------------------------------------------------------------------Copper Recovery (%) 27.0 27.3 24.7 27.5 23.0--------------------------------------------------------------------------Molybdenum Grade in copper concentrates (%) 0.73 0.88 0.76 0.68 0.69--------------------------------------------------------------------------Molybdenum Recovery (%) 85.9 83.8 75.5 68.8 68.4--------------------------------------------------------------------------Sales Metrics: Q4-2012 Q3-2012 Q2-2012 Q1-2012 Q4-2011--------------------------------------------------------------------------Copper sales(1) (Million lbs) 13.71 13.02 10.76 14.08 12.42--------------------------------------------------------------------------Copper price at end of period ($US/lb) 3.59 3.75 3.37 3.85 3.43--------------------------------------------------------------------------Prior period copper sales subject to final pricing during period (Million lbs) N/A N/A N/A 4.42 0.87--------------------------------------------------------------------------Average final settlement price for prior period copper sales ($US/lb) N/A N/A N/A 3.6485 3.3328--------------------------------------------------------------------------Company's Recorded Copper Price ($US/lb)(2) 3.49 3.52 3.74 3.55 3.40--------------------------------------------------------------------------Molybdenum sales (lbs) 286,075 337,818 243,263 303,547 164,059--------------------------------------------------------------------------Molybdenum price at end of period ($US/lb) 11.35 11.513 13.10 14.570 13.413--------------------------------------------------------------------------Power Costs (per kwh) $0.1824 $0.1659 $0.1947 $0.2151 $0.1813--------------------------------------------------------------------------(1) Copper sales per the Company's records, which may differ from copper sales per the smelter. All differences between Company and smelter records for a quarter will be recorded as settlement adjustments in subsequent quarters until settled.(2) Copper price recorded for the Company's financial statements for the quarter before smelter and refinery charges and settlement adjustments to prior periods' sales. The Company calculates this number by dividing quarterly dollar sales as recorded in its financial statements (calculated based on copper deliveries per the smelter) over quarterly copper sales per the Company's own records.
