Primero Mining Corp. Updates Cerro Del Gallo Project Status and Plans

Primero Mining Corp.  (TSX:P, NYSE:PPP,ASX:PPM) announced reductions in spending  for the Cerro del Gallo project in Mexico.

As quoted in the press release:

Primero has reduced its estimated capital spending in 2013 for the Cerro del Gallo project to approximately $15 million (on a 100% ownership basis) in order to advance the project to a construction decision and expects to complete all outstanding permitting, land acquisition, basic engineering of the mine and the processing facilities, and a preliminary exploration program, including condemnation drilling, in 2013. The Company expects to make a construction decision early in the fourth quarter of 2013, with Cerro del Gallo potentially adding a minimum of approximately 95,000 gold equivalent ounces (on a 100% ownership basis) of annual production starting in mid-2015.

Primero’s President and CEO, Joseph Conway, said:

Development of the Cerro del Gallo project is an important next phase for Primero. Although the project offers the Company diversification and low-risk, low-cost growth in a mining friendly jurisdiction that we’re very experienced in, we remain focused on maximizing shareholder value.

To view the whole press release, click here.