Mexico-based McEwen Mine Sees First Gold Production

McEwen Mining Inc. (NYSE:MUX,TSX:MUX) announced that it achieved first gold production at its El Gallo Phase I mine in Mexico. The company anticipates that the mine will produce 10,000 ounces of gold during the remainder of the year and 30,000 ounces in 2013.

As quoted in the press release:

The El Gallo Phase I is proceeding with the remaining commissioning activities, with commercial production anticipated to be achieved late this year.

The El Gallo Phase II, where a feasibility study was completed on September 10^th, is forecasted to produce an additional 5.2 million ounces of silver and 6,000 ounces of gold per year, for combined production of 135,000 ounces of gold and gold equivalent per year.

Rob McEwen, chief owner of McEwen, commented:

We are excited to see our second mine start production. I believe McEwen Mining is at a critical point, where we begin to deliver on our promise of production growth. Our objective is to increase production from 105,000 ounces of gold and gold equivalent in 2012 to 290,000 ounces of gold and gold equivalent in 2015. I would like to thank all of our employees and contractors, who played an important role in the construction of the mine.

Click here to read the full McEwen Mining Inc. (NYSE:MUX,TSX:MUX) press release.