By Nevsun Resources,
NEVSUN Resources Ltd. (TSX:NSU) (NYSE MKT:NSU) is pleased to confirm strong Q4 2014 production results which ensured we achieved our 2014 annual production guidance.
The 2014 highlights includes: Exceeded 21.6 million hours without a lost time injury (now over 3 years without an LTI); Produced 196 million pounds of copper in concentrate against guidance of 180 to 200 million pounds; Ended 2014 with a cash balance of $442 million; Executed a successful 27,300 metre exploration program; Progressing zinc expansion – on time and on budget.
Fourth Quarter (Q4) 2014 Highlights
> Produced 53 million pounds of copper
> Fourth successive quarter of copper recovery increases
> Improved Q4 2014 waste mining tonnage and daily milling throughput rates
> Successful exploration results at Harena
> Announced a 14% increase in the quarterly dividend
Cliff Davis, Nevsun CEO, commented,
“We are very pleased to have delivered on our 2014 guidance. The entire operating team at Bisha managed the transition to copper very well and they have delivered an incredible first year of commercial copper production. It was critical to ensure we maximized the high-grade phase of the supergene ore in 2014. With a solid year of operating experience in the copper phase under our belts, we are poised for a strong 2015. We were very pleased to see higher mining and milling rates milling during Q4 2014 which give confidence throughput rates can increase when feed grades gradually decline.“
The Company has previously announced drilling results in the largely under-explored Bisha VMS district. A key element of the Company’s organic growth strategy is to leverage opportunities in the immediate mine area to optimize and extend the mine life of Bisha.
“Our track record of operation and exploration success has given us the confidence to raise our dividend once again as a reward for our shareholders. With $442 million in the bank at December 31, 2014, or approximately US$2.21 per share, we are well positioned to fund external growth opportunities that arise that fit our external growth criteria: diversification, asset quality and return for our shareholders.”
A summary of the Company’s quarterly and full year operating results follow:
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| Q4 2014 | Q3 2014 | Q2 2014 | Q1 2014 | 2014 Year | |
| Mining | |||||
| Ore mined, tonnes | 617,000 | 481,000 | 697,000 | 487,000 | 2,282,000 |
| Waste mined, tonnes | 3,380,000 | 2,707,000 | 2,719,000 | 3,471,000 | 12,277,000 |
| Strip ratio | 5.5 | 5.6 | 3.9 | 7.1 | 5.4 |
| Milling | |||||
| Ore milled, tonnes | 573,000 | 477,000 | 386,000 | 353,000 | 1,789,000 |
| Copper feed grade, % | 4.9 | 6.3 | 6.6 | 6.1 | 5.9 |
| Processing | |||||
| Recovery % of copper | 85.7 | 85.6 | 84.6 | 83.5 | 85.0 |
| Copper in concentrate, mlbs | 52.5 | 56.4 | 47.4 | 39.7 | 196.0 |
| Copper in concentrate, tonnes | 23,800 | 25,600 | 21,500 | 18,000 | 88,900 |
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