TORONTO, Jan. 23, 2012 /PRNewswire via COMTEX/ — Toronto Stock Exchange – EXN
Excellon Resources Inc. (“Excellon” or “the Company”) is pleased to report fourth quarter and year end production updates for 2011 and that it has exceeded both fourth quarter and annual silver production targets for 2011 by approximately 40% and 4.5% respectively. The Company also reports that at year-end, it held approximately US$22 million in cash.
In the fourth quarter the Company produced 484,617 ounces in concentrate compared to a budget target of 346,674 ounces of silver in concentrate.
Annual silver production totaled 1.38 million ounces in concentrate as compared to a budget target of 1.32 million ounces of silver in concentrate.
Guidance for 2012: Planned production for 2012 is estimated at 1.37 million ounces of silver in concentrate with a throughput of 72,000 tonnes at the Company’s Miguel Auza Mill.
Jeremy Wyeth, President and CEO states; “We are very pleased that we have been able to exceed our targets for the fourth quarter 2011, enabling us to meet our annual budget for 2011. This positions us well for 2012.”
Exploration Update: The Company has budgeted an estimated US$6.9 million for the 2012 Mexican drill program in and around the La Platosa Mine. Subject to change, depending on results, the budget will be split roughly evenly between the search for additional high-grade manto sulphides and the high-tonnage source of the manto mineralization. In addition the Company has allocated an estimated US$3.9 million for Canadian exploration drilling progammes at the Beschefer (Quebec) and DeSantis (Ontario) gold properties. The Company will fund all 2012 exploration programs through operational cash flow.
About Excellon Excellon, a mineral resource company operating in Durango and Zacatecas States, Mexico, and Ontario and Quebec, Canada, is committed to building value through production, expansion and discovery. Excellonis producing silver, lead and zinc from the high-grade manto Mineral Resource on its large, 100% owned Platosa Property, strategically located in the middle of the Mexican CRD/silver belt. Excellon’s focus is on expanding its operating capacity and increasing its Mineral Resources at Platosa where an exploration program focused on diamond drilling and advanced geophysical techniques is ongoing. The Platosa Property, not fully explored, has several geological indicators of a large mineralized system. Excellon also has ongoing gold exploration programs on the DeSantis Project, located near Timmins, Ontario and the Beschefer Project, located in northwestern Quebec. Both these projects host gold mineralization and significant potential for the discovery of more. Excellon’s exploration activities are fully funded through existing cash flow.
On behalf of
EXCELLON RESOURCES INC.
“Jeremy Wyeth” President and Chief Executive Officer