PERTH, Western Australia, Oct. 28, 2018 (GLOBE NEWSWIRE) -- Perseus Mining Limited (“Perseus” or the “Company”) (TSX & ASX: PRU) wishes to update estimates of the Mineral Resources, Mineral Reserves and Life-of-Mine Plan for its Sissingué Gold Mine in Côte d’Ivoire. An executive summary is provided below. Full details of the resource, reserve and LOMP updates are included in the Company’s market release dated October 29, 2018 which is available for download from www.perseusmining.com, www.asx.com.au and www.sedar.com.

KEY POINTS

• Life of mine Mineral Reserves as at August 31, 2018 total 380,000 ounces of gold, a 9% increase compared to Reserves as at June 30, 2018
   
• Life of mine production averaging 78,000 ounces per annum for remaining 4.6 years of mine life including 86,000 ounces per annum for the next three years
   
• Life of mine after tax cash flows from July 1, 2018 of US$165 million (A$234 million) at gold price of US$1,200 per ounce, approximately A$0.23 per share
   
• US$32.1 million (A$46 million) cash or 30% of development costs, generated in first six months of commercial production
   
• Forecast life of mine All in Sustaining Costs (“AISC”) of US$756 per ounce, reflecting actual operating costs and forecast sustaining capital requirements
   
• Sissingué updated Resource estimate reconciles to within 2% of actual mine production to date
   
• Exploration drilling results at Sissingué and nearby Fimbiasso have the potential to increase the remaining mine life beyond 4.6 years

EXECUTIVE SUMMARY

• Mineral Resources for the Sissingué Gold Deposit have been independently estimated by MPR Geological Consultants Pty Ltd and reported outside the August 31, 2018 mining surface. Resources and Reserves for neighbouring deposits, Fimbiasso East and West, have not been updated;
   
• Measured and Indicated Mineral Resources for the Sissingué Gold Deposit total 7.7 million tonnes, grading 1.7 g/t gold and containing 423,000 ounces of gold at a cut-off grade of 0.6 g/t gold;
   
• Inferred Resources total 0.1 million tonnes, grading 0.9 g/t gold and containing 3,000 ounces of gold at a cut-off grade of 0.6 g/t gold;
   
• Mineral Resources have been estimated using Multiple Indicator Kriging (“MIK”) and are contained within optimal pit shells generated at a gold price of US$1,800 per ounce;
   
• Including the Fimbiasso East and West deposits, estimated Measured and Indicated Mineral Resources total 9.6 million tonnes, grading 1.8 g/t gold and containing 538,000 ounces of gold and Inferred Mineral Resources total 0.4 million tonnes grading 1.7 g/t gold and containing 20,000 ounces of gold;
   
• The Mineral Resources include Mineral Reserves totalling 5.8 million tonnes of ore, grading 2.1 g/t gold and containing 380,000 ounces of gold;
   
• The LOMP for Sissingué has been updated using the re-estimated Mineral Resources and Mineral Reserves;
   
• Sissingué’s estimated life of mine gold production from July 1, 2018 totals 357,000 ounces including approximately 86,000 ounces per annum for the first three years of production and approximately 78,000 ounces per annum over the current 4.6 year life of mine;
   
• Forecast average weighted AISC, including all direct production costs, royalties, waste stripping costs and sustaining capital expenditure, are estimated at approximately US$739 per ounce in the first three years of production and approximately US$756 per ounce over the current life of mine;
   
• The total sustaining capital cost estimate is US$21 million is included in the estimated AISC;
   
• The LOMP forecasts strong positive after tax cash flow totalling approximately US$165 million (or approximately A$0.23 per share at an A$:US$ exchange rate of 0.706), assuming a flat spot gold price of US$1,200 per ounce for unhedged ounces over the life of the mine starting from July 1, 2018 and assuming existing designated hedges for 64,000 ounces at a weighted average price of US$1,300 per ounce; and

• Recent exploration drilling on both the Sissingué Mining Lease and the nearby Fimbiasso Exploration Licence, all within trucking distance of the Sissingué processing facility, have the potential to further increases the mine life.

To discuss any aspect of this announcement, please contact:

Managing Director:                              Jeff Quartermaine at telephone +61 8 6144 1700 or email jeff.quartermaine@perseusmining.com

General Manager BD & IR:                  Andrew Grove at telephone +61 8 6144 1700 or email andrew.grove@perseusmining.com

Media Relations:                                  Nathan Ryan at telephone +61 4 20 582 887 or email nathan.ryan@nwrcommunications.com.au (Melbourne)

Competent Person Statement:
All production targets for Sissingué referred to in this report are underpinned by estimated Ore Reserves which have been prepared by competent persons in accordance with the requirements of the JORC Code. 

Mr Nicolas Johnson, MAIG, has updated estimates of Mineral Resources at Sissingué Gold Mine.  Mr Johnson is an employee of MPR Geological Consultants Pty Ltd.  Mr Johnson has sufficient experience, which is relevant to the style of mineralisation and type of deposit under consideration and to the activity that he has undertaken to qualify as a Competent Person as defined in the JORC Code2012 and a Qualified Person as defined in NI43-101. Mr Johnson has no economic, financial or pecuniary interest in the company and consents to the inclusion in this report of the matters based on this information in the form and context in which it appears and has approved the inclusion of technical and scientific information in this report.

Mr Gary Brabham, FAusIMM, MAIG, has provided the drill hole data and geological interpretations pursuant to estimation of Mineral Resources at Sissingué Gold Mine.  Mr Brabham has also compiled and reviewed the consolidated information in this report concerning the Mineral Resources of the Sissingué Gold Mine.  Mr Brabham is the Group Geologist for Perseus Mining Limited and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity undertaken to qualify as a Competent Person as defined in the JORC Code 2012 and a Qualified Person as defined in NI43-101. Mr Brabham consents to the inclusion in this report of the matters based on this information in the form and context in which it appears and has approved the inclusion of technical and scientific information in this report.

Mr Paul Thompson, who is a Fellow of the Australasian Institute of Mining and Metallurgy and is an employee of Perseus Mining Limited has compiled and reviewed the consolidated information on the Ore Reserves of the Sissingué Gold Mine in this report. Mr Thompson has sufficient experience, which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he has undertaken to qualify as a Competent Person as defined in the JORC Code 2012 and a Qualified Person as defined in NI43-101 and consents to the inclusion in this report of the matters based on this information in the form and context in which it appears and has approved the inclusion of technical and scientific information in this report.

The JORC Table 1 contained in Appendix 1 refers to the Sissingué Mineral Resource and Ore Reserves only. In respect of the Fimbiasso East and West deposits, previously Bélé East and West respectively, the Company confirms that material assumptions underpinning the estimates of Mineral Resources and Ore Reserves described in market announcements dated February 20, 2017 and March 31, 2017 respectively continue to apply with the exception that the reported resources are now constrained to a US$1,800/oz pit shell as advised in a market announcement dated August 29, 2018.

Caution Regarding Forward Looking Information:
This report contains forward-looking information which is based on the assumptions, estimates, analysis and opinions of management made in light of its experience and its perception of trends, current conditions and expected developments, as well as other factors that management of the Company believes to be relevant and reasonable in the circumstances at the date that such statements are made, but which may prove to be incorrect. Assumptions have been made by the Company regarding, among other things: the price of gold, continuing commercial production at the Edikan Gold Mine and the Sissingué Gold Mine without any major disruption, development of a mine at Yaouré, the receipt of required governmental approvals, the accuracy of capital and operating cost estimates, the ability of the Company to operate in a safe, efficient and effective manner and the ability of the Company to obtain financing as and when required and on reasonable terms. Readers are cautioned that the foregoing list is not exhaustive of all factors and assumptions which may have been used by the Company. Although management believes that the assumptions made by the Company and the expectations represented by such information are reasonable, there can be no assurance that the forward-looking information will prove to be accurate. Forward-looking information involves known and unknown risks, uncertainties, and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any anticipated future results, performance or achievements expressed or implied by such forward-looking information. Such factors include, among others, the actual market price of gold, the actual results of current exploration, the actual results of future exploration, changes in project parameters as plans continue to be evaluated, as well as those factors disclosed in the Company's publicly filed documents. The Company believes that the assumptions and expectations reflected in the forward-looking information are reasonable.  Assumptions have been made regarding, among other things, the Company’s ability to carry on its exploration and development activities, the timely receipt of required approvals, the price of gold, the ability of the Company to operate in a safe, efficient and effective manner and the ability of the Company to obtain financing as and when required and on reasonable terms.   Readers should not place undue reliance on forward-looking information.  Perseus does not undertake to update any forward-looking information, except in accordance with applicable securities laws.