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VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 03/14/13 -- Aurizon Mines Ltd. (TSX: ARZ)(NYSE MKT: AZK) is pleased to announce its unaudited financial results for the year ended December 31, 2012. All dollar amounts are in Canadian dollars unless otherwise stated. Our financial results are prepared in accordance with International Financial Reporting Standards ("IFRS").
2012 FINANCIAL HIGHLIGHTS
-- Revenue of $224 million from 133,990 ounces of gold sold at an average realized price of US$1,658 per ounce-- Net profit of $32 million, or $0.19 per basic share, and EBITDA of $92 million-- Cash and cash equivalents balance of $204 million and debt-free at year- end-- Cash flow from operations of $62 million
2012 OPERATING HIGHLIGHTS
-- Casa Berardi produced 136,848 ounces of gold at total cash costs of US$696 per ounce, in-line with previous guidance of 137,000 ounces and US$695 per ounce-- 693,859 tonnes of ore milled at unit mining costs of $140 per tonne-- Replenishment of Casa Berardi mineral reserves to 1,461,000 ounces of gold (net of mining depletion) at December 31, 2012. A successful drilling program resulted in a 6% increase in the average underground mineral reserve grade to 7.1 grams/tonne and an 11% increase in mineral reserves, before mining depletion, compared to 2011.-- Successful transition from contractor to owner-operated mining at Casa Berardi-- Self-funded capital investments at Casa Berardi of $75 million are facilitating transition into Zones 118 and 123 and increased operational flexibility-- Completed the 2012 drill program at Heva, with an in-pit and underground mineral resource estimate to be completed within the first half of 2013-- Positive feasibility study received on the Joanna-Hosco deposit of the advanced stage Heva-Hosco gold property
From the President and Chief Executive Officer, George Paspalas
2013 is a transition year at Casa Berardi where we are completing the required infrastructure to commence mining new areas east of the production shaft. These new mining areas will be the foundation of future underground production at Casa Berardi. With year-end cash and cash equivalent balances of $204.2 million together with strong operating cash flows, we expect that Aurizon will be able to easily fund the capital and exploration projects planned for 2013.
Production performance at Casa Berardi was consistent with Aurizon's revised expectations for 2012 at 136,848 ounces, and we are very encouraged by the increase in underground reserve grades announced on February 14, 2013, and the potential for both surface and underground zone extensions around the Principal area at Casa Berardi, and are looking forward to the forthcoming resource estimate at the Heva project.
We are committed to maximizing the value of Casa Berardi, and a successful completion of the transition phase will allow us to once again achieve historical production levels.
Regarding the two bids for the Company, we continue to urge Aurizon Shareholders to compare the actual consideration available under each of the two bids. Based on the closing share prices of Hecla and Alamos on March 13, 2013, and assuming that all shareholders elected to receive either cash or shares, the Hecla Arrangement will provide total consideration of CAD$4.60 per Aurizon share, (including cash consideration of $3.11 per Aurizon share), which represents a CAD$0.31 per share premium to the total consideration of the unsolicited bid by Alamos of CAD$4.29 per share, (including cash consideration of $2.04 per Aurizon share).
