Link to release in PDF format
TORONTO, ONTARIO, Jan 7, 2010 (Marketwire via COMTEX) -- Alamos Gold Inc. (TSX:AGI) ("Alamos" or the "Company") is pleased to report that in the fourth quarter ending December 31, 2009, it produced a record of 48,000 ounces of gold (before final refinery adjustments) at an expected total cash cost below $335 per ounce, which includes a 5% royalty. In 2009, Alamos exceeded the upper range of its production forecast and produced 178,500 ounces at an expected total cash cost below $335 per ounce.
Key operational metrics and production statistics for 2009 compared to 2008 are presented in tables 1 and 2 at the end of this press release.
The Company is also providing an update on mine operations and exploration activities, its 2010 operating guidance, and is announcing that it expects to release its 2009 year-end financial results on Tuesday, March 16, 2010 before the market opens. Senior management will also host a conference call at 11:00AM ET (8:00AM PT) that morning.
All amounts are in United States dollars unless stated otherwise.
Mulatos Fourth Quarter and 2009 Operations Update
Gold production at the Company's Mulatos Mine substantially exceeded forecasts in 2009, with full year production of 178,500 ounces. The Company began 2009 with plans to produce between 145,000 and 160,000 ounces of production at a total cash cost (including the 5% royalty) of $350 per ounce. Higher than budgeted recoveries in the first half of 2009 resulted in production exceeding budget and the Company raised its full-year production forecast to 160,000 to 170,000 ounces and reduced its total cash cost estimate to $335 per ounce. Continued operational and recovery improvements contributed to record gold production of 48,000 in the fourth quarter of 2009, resulting in the Company exceeding the top end of its full year production budget.
The primary factor driving higher gold production has been increased recoveries from the heap leach pad. In 2009, the "recovery ratio" of ounces produced divided by ounces stacked was 71%, compared to the budgeted level of 60%. The higher realized recoveries have resulted from a variety of operating initiatives, including a finer and more consistent product size being stacked on the heap, drum agglomeration, inter-lift liners, and use of the stacker-conveyor system.
In addition to recovery improvements, mining operations continue to benefit from a positive grade reconciliation relative to the block model. The Company also continues to encounter substantially less waste in the pit than predicted by the block model, as evidenced by a low waste-to-ore ratio of 0.97 during the fourth quarter (1.03 for all of 2009 compared to the budgeted waste-to-ore ratio of 1.30).
Mulatos 2010 Operating Budget
In 2010, the Company is forecasting gold production of 160,000 to 175,000 ounces from the Mulatos Mine at a total cash cost (including the 5% royalty) of $338 per ounce, assuming an average royalty cost of $50 per ounce.
The following key assumptions form the basis for the 2010 production budget:
- Average recoveries of 68% (as per model)
- Average crusher throughput of 13,500 tonnes per day
- Average grade of 1.51 grams per tonne of gold ("g/t Au")
- Waste-to-ore ratio of 0.75
- Mexican Peso to United States dollar foreign exchange rate of 13.55:1
The 2010 production forecast range incorporates the assumptions presented above, as well as incremental expected recovery benefits from the closing of the crushing circuit and the potential for continued positive grade reconciliations.
Closing of the crushing circuit will result in all ore being stacked on the leach pad passing a 3/8-inch screen, compared to the current open circuit process where approximately 70% of the crusher discharge product is less than 3/8 of an inch in size. Laboratory studies indicate that finer crushing could result in a four to seven percentage-point increase in recovery, which could result in corresponding increased production and lower costs per ounce. The closing of the crushing circuit was completed during the fourth quarter of 2009, and commissioning is expected to be completed shortly.
The Company also anticipates that it will continue to encounter zones of vuggy silica within the Mulatos Pit. This may result in higher than forecasted average ore grades, which should correspond to higher gold production and reduced costs per ounce. Production from vuggy silica, which is often well-fractured and contains higher grade gold concentrations, has been the primary source of the positive grade reconciliation experienced at Mulatos relative to the block model. The block model cannot adequately predict the full extent of vuggy silica within the 2010 mine plan. Accordingly, the forecast range of production for 2010 is based primarily on the grade of the block model, with the potential for additional upside due to the possible presence of higher grades from vuggy silica.
Mulatos 2010 Capital Budget
The Mulatos 2010 capital budget is $64.6 million and is composed primarily of mine development projects, including Escondida and La Yaqui. The paragraphs and tables below outline the planned 2010 capital expenditures for Mulatos.
Development and pre-stripping activities have been ongoing since the third quarter of 2009. The mining contractor is achieving budgeted levels and development continues to be on track for ore mining to commence in the fourth quarter of 2011. The 2010 budget of $39.5 million includes $24.1 million for mining approximately 15.6 million tonnes of waste. In 2010, the Company expects to begin construction of a 500 tonne-per-day gravity mill to process ore from Escondida. Anticipated mill construction spending in 2010 is $7.9 million. Leach pad expansion activities in 2010 are estimated at $7.5 million. These expenditures are necessary in order to accommodate the Company's anticipated reserve growth.
Mine Expansion Amount ($)
-------------------------------------------
Pre-stripping Activities $24.1 million
Mill/plant construction $7.9 million
Leach pad expansion $7.5 million
-------------------------------------------
Sub-total $39.5 million
Operating capital at Mulatos is expected to total $16.4 million in 2010. The Company plans to spend $7.5 million on a water treatment plant and $1.2 million on a new office complex in Hermosillo. Sustaining capital of $7.6 million includes $2.2 million related to mobile equipment component changes, $1.8 million in equipment purchases, $1.1 million in metallurgical and pit definition testing to support future mining activities, $1.0 million in crusher and process plant expenditures, and $1.5 million of other capital.
Mulatos Operating Amount ($)
-------------------------------------------
Water treatment plant $7.6 million
New office in Hermosillo $1.2 million
Sustaining capex $7.6 million
-------------------------------------------
Sub-total $16.4 million
Other development costs in 2010 include investing $1.5 million to advance the La Yaqui project towards production. The Company is currently evaluating its options with respect to developing La Yaqui into a small scale heap leach operation within a two-year period. Land acquisition costs in 2010 include expenditures on various exploration and other projects within the Mulatos District. Budgeted relocation costs for 2010 include monthly payments made to relocated residents as well as expected additional home purchases.
Other Development Amount ($)
-------------------------------------------
La Yaqui $1.5 million
Land acquisition $5.3 million
Mulatos relocation $1.9 million
-------------------------------------------
Sub-total $8.7 million
The Mulatos capital budget for 2010 currently excludes any potential costs associated with expanding the crushing circuit and throughput. The Company had retained external consultants to prepare a scoping study to evaluate the expected capital costs and benefits associated with increasing crusher throughput by up to 33% from current levels. The Company received the scoping study near the end of 2009 and is now working with its consultants to optimize the recommendations presented in the report. A significant increase in crusher throughput should result in a higher rate of gold production and correspondingly lower costs per ounce than would otherwise be possible at existing throughput levels. The Company expects to be able to share the findings of the optimized scoping study during the first quarter of 2010.
Mulatos Exploration Update
In 2009, the Company set another record in terms of the number of metres ("m") drilled: The Company drilled 72,300 m in 357 holes from seven project areas at Mulatos, which was nearly twice the 38,600 m drilled in 2008.
Drilling in the fourth quarter focused on completing in-fill and definition drilling at Gap, expanding the areas of known mineralization at the Puerto del Aire ("PdA") Extension, and definition drilling at San Carlos. The location of these near-pit exploration projects are identified in Figure 1. The Company also completed a resource estimate for Cerro Pelon in the fourth quarter, which will be disclosed shortly.
The 2009 drilling program at Gap has demonstrated the continuity of gold-bearing silicified units, which should result in the majority of the inferred resources at Gap being converted to the measured and indicated categories. Mineralized intervals typically grade in the 1 to 2 g/t Au range, and drilling has also identified localized zones of higher grade material that may be suitable for future mill feed. Drilling at Gap has also outlined new resources not previously included in the Company's December 31, 2008 inferred resource estimate. Relevant assay results and drill hole collar data are presented in tables 3 and 4, respectively.
An ongoing drill program at the PdA Extension continues to reveal the presence of a very large system of intense silica alteration concealed by post-mineral volcanic cover that has characteristics similar to both the high-grade Escondida and PdA zones. The results from widely spaced drill holes suggest that the zone remains open in all directions and appears to have a minimum drill-indicated strike length of 800 m, a width of at least 200 m, and ranges in thickness from 25 to 125 m. In the areas where drilling has been completed, mineralization typically begins about 175 to 200 m below surface and generally grades in the 1 to 3 g/t Au range, with localized zones of high-grade material. Relevant assay results and drill hole collar data from the PdA Extension are presented in tables 5 and 6, respectively.
In November 2009, the Company began resource definition drilling at San Carlos with the objectives of upgrading the established inferred resources to the measured and indicated categories, expanding the known limits of the mineralized system, in-fill and step-out from previous strongly mineralized intercepts, and further defining a high-grade structural zone. The Company has drilled a total of 6,694 m in 27 holes since this program commenced and field observations have been very encouraging. Assays are pending and the results are expected to be announced shortly.
Mulatos 2010 Exploration Budget
In 2010, an aggregate of 43,500 m of RC and core drilling is planned at Mulatos as follows:
Project Area Drilling (m)
-------------------------------------------
San Carlos 8,250
PdA Extension 10,400
El Carricito 3,600
East Estrella 3,000
El Salto 2,000
Cerro Pelon 4,000
El Halcon 4,000
El Realito 2,250
-------------------------------------------
Sub-total 43,500
Alamos also has reconnaissance-level exploration activities planned for Las Carboneras, San Nicolas, and on the south and west sides of Cerro Pelon.
The Company currently has three reverse circulation ("RC") rigs and one core rig operating at Mulatos. The core rig and two of the RC rigs are scheduled to complete the definition drilling program at San Carlos during the first quarter. The remaining RC rig is scheduled to be conducting in-fill and extension drilling at the PdA Extension until the end of May. The Company also anticipates that it will be able to start drilling at El Carricito, a large regional target, and commence reconnaissance-level exploration work on the south and west sides of the Cerro Pelon area by the end of the first quarter.
The total Mulatos exploration budget for 2010 is $7.0 million, with $5.6 million allocated for exploration activities, and the remaining $1.4 million allotted for administrative expenditures related to exploration. The Company expects that the majority of the exploration costs in Mexico in 2010 will be expensed.
2010 Agi Dagi and Kirazli Exploration and Development Budget
As disclosed in the Company's press release dated January 6, 2010, Alamos expects to spend approximately US$12.8 million in Turkey on development and exploration activities related to Kirazli and the Deli, Baba, and Camyurt zones at Agi Dagi during 2010. The Company intends to drill 34,000 m at a cost of US$6.8 million, which includes 5,000 m of in-fill and extension drilling at Kirazli, 20,000 m of in-fill and extension drilling at the Deli and Baba zones, 5,000 m of exploration drilling at Camyurt, and 4,000 m of drilling to gather additional geotechnical and metallurgical data. The 2010 development budget of US$6.0 million is related primarily to the completion of a scoping study in the first quarter of 2010, environmental impact assessments, initiation of a pre-feasibility study, and other corporate and administrative expenditures related to establishing operations in Turkey. The Company expects that the majority of its 2010 exploration and development costs in Turkey will be capitalized.
Notice of 2009 Year-End Financial Results and Conference Call
Alamos expects to release its 2009 year-end financial results on Tuesday, March 16, 2010 before the open of the TSX.
The Company's senior management will host a conference call on Tuesday, March 16, 2010 at 11:00AM ET (8:00AM PT) to discuss the financial results and to provide an update of the Company's operating, exploration, and development activities.
The conference call may be accessed via webcast or telephone as follows:
Via webcast:
A live audio webcast of the meeting will be available on the Company's website at www.alamosgold.com.
Via telephone:
For those preferring to listen to the conference call via telephone, please dial 416-695-6623 or toll-free at 1 800-355-4959 if you are calling from outside the Greater Toronto Area. To ensure your participation, please call at least five minutes prior to the scheduled start of the call.
Instant replay archive:
Please dial (416) 695-5800 or the toll-free access number 1 (800) 408-3053, pass code 6413365, followed by the # key.
The conference call should be available for replay from Tuesday, March 16, 2010 at 1:00PM EST to Tuesday, March 30, 2010 at 11:59 PM ET.
The webcast will be archived for 180 days on the Company's website.
QA/QC Programs
Mulatos exploration programs are conducted under the supervision of Herve Thiboutot, P.Eng., Vice President Exploration of the Company, and by Ken Balleweg, B.Sc. Geological Engineering, M.Sc. Geology, Registered Professional Geologist, Mexico Exploration Manager. Both are Qualified Persons as defined by National Instrument 43-101 of the Canadian Securities Administrators. Strict sampling and QA/QC protocol are followed, including the insertion of standards, blanks, and duplicates on a regular basis. Sample intervals are usually 1.5 m. Samples are sent to ALS Chemex Inc. in Hermosillo, Mexico for sample preparation and then to Vancouver, British Columbia for analysis. Analytical method is fire assay with atomic adsorption finish and gravimetric finish for individual samples with a gold concentration greater than 5.0 g/t Au. Composites presented in the assay results tables include intervals at greater than 0.5 g/t Au over a 3-m minimum width, no assay are cut unless indicated.
About Alamos
Alamos is an established Canadian-based gold producer that owns and operates the Mulatos Mine in Mexico, and has exploration and development activities in Mexico and Turkey. The Company employs over 450 people in Mexico and is committed to the highest standards of environmental management, social responsibility, and health and safety for its employees and neighbouring communities. Alamos has over US$148 million cash on hand, is debt-free, and unhedged to the price of gold. Alamos' common shares are traded on the Toronto Stock Exchange under the symbol "AGI".
Cautionary Non-GAAP Statements
The Company believes that investors use certain indicators to assess gold mining companies. They are intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared with GAAP. "Total cash costs" as used in this analysis is a non-GAAP term typically used by gold mining companies to assess the level of gross margin available to the Company per ounce of gold by subtracting these costs from the unit price realized during the period. This non-GAAP term is also used to assess the ability of a mining company to generate cash flow from operations. There may be some variation in the method of computation of "total cash costs" as determined by the Company compared with other mining companies. In this context, "total cash costs" reflects the per ounce cash operating costs allocated from in-process and dore inventory associated with ounces of gold sold in the period, plus applicable royalties. "Total cash costs" may vary from one period to another due to operating efficiencies, waste-to-ore ratios, grade of ore processed, gold recovery rates and gold prices during the period.
Cautionary Note
No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This News Release includes certain "forward-looking statements". All statements other than statements of historical fact included in this release, including without limitation statements regarding forecast gold production, gold grades, recoveries, waste-to-ore ratios, total cash costs, potential mineralization and reserves, exploration results, and future plans and objectives of Alamos, are forward-looking statements that involve various risks and uncertainties. These forward-looking statements include, but are not limited to, statements with respect to mining and processing of mined ore, achieving projected recovery rates, anticipated production rates and mine life, operating efficiencies, costs and expenditures, changes in mineral resources and conversion of mineral resources to proven and probable reserves, and other information that is based on forecasts of future operational or financial results, estimates of amounts not yet determinable and assumptions of management.
Exploration results that include geophysics, sampling, and drill results on wide spacings may not be indicative of the occurrence of a mineral deposit. Such results do not provide assurance that further work will establish sufficient grade, continuity, metallurgical characteristics and economic potential to be classed as a category of mineral resource. A mineral resource which is classified as "inferred" or "indicated" has a great amount of uncertainty as to its existence and economic and legal feasibility. It cannot be assumed that any or part of an "indicated mineral resource" or "inferred mineral resource" will ever be upgraded to a higher category of resource. Investors are cautioned not to assume that all or any part of mineral deposits in these categories will ever be converted into proven and probable reserves.
Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as "expects" or "does not expect", "is expected", "anticipates" or "does not anticipate", "plans", "estimates" or "intends", or stating that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved) are not statements of historical fact and may be "forward-looking statements." Forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements.
There can be no assurance that forward-looking statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Alamos' expectations include, among others, risks related to international operations, the actual results of current exploration activities, conclusions of economic evaluations and changes in project parameters as plans continue to be refined as well as future prices of gold and silver, as well as those factors discussed in the section entitled "Risk Factors" in Alamos' Annual Information Form. Although Alamos has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
To view Figure 1: Mulatos Pit Area, please visit the following link: http://media3.marketwire.com/docs/mula.jpg
Table 1: Production Summary & Statistics (1,2)
Cha-
Q1 Q2 Q3 Q4 nge
2009 2009 2009 2009 2009 2008 (%)
----------------------------------------------------------------------------
Ounces of Gold
Produced(3) 46,000 42,000 42,500 48,000 178,500 151,000 18%
Ore mined (tonnes,
000s) 1,047 1,026 1,155 1,092 4,281 4,780 (9%)
Waste mined (tonnes,
000s) 1,532 1,081 751 1,064 4,428 6,559 (32%)
----------------------------------------------------------------------------
Total Material
(tonnes, 000s) 2,579 2,107 1,906 2,156 8,748 11,339 (23%)
Waste-to-Ore Ratio
(x) 1.46 1.05 0.65 0.97 1.03 1.37 (25%)
Ore Crushed (tonnes,
000s) 1,068 1,072 1,119 1,037 4,296 4,741 (9%)
Grade (g/t Au) 1.71 1.92 1.68 1.93 1.81 2.01 (10%)
----------------------------------------------------------------------------
Contained Ounces
Stacked 58,715 66,172 60,439 64,345 249,672 306,299 (18%)
Ounces
Produced (Au) 46,000 42,000 42,500 48,000 178,500 151,000 18%
Ratio of Gold
Production to
Contained Ounces
Stacked 78% 63% 70% 75% 71% 49% 45%
(1) All amounts for Q4-2009 and 2009 YTD are preliminary and based on
initial end of period estimates. Final adjustments may be required.
(2) Certain numbers may not compute due to the effects of rounding and
truncation.
(3) Before final refinery settlements, which may result in increases or
decreases to reported gold production.
Table 2: Unaudited Summary of Gold Sales and Costs (1)
Cha-
Q1 Q2 Q3 Q4 nge
2009 2009 2009 2009 2009 2008 (%)
----------------------------------------------------------------------------
Gold Sales (ounces) 40,058 45,420 43,201 49,145 177,824 151,560 17%
Realized Gold Price
Per Ounce $887 $924 $956 $1,071 $964 $877 10%
----------------------------------------------------------------------------
Revenues (000s) $35,521 $41,978 $41,283 52,649 $171,431 $132,974 29%
less less
Total Cash Cost per than than
Ounce Sold (2) $353 $324 $314 $335 $335 $389 --
Average London PM Fix $908 $956 $960 $1,101 $974 $872 12%
(1) Certain numbers may not compute due to the effects of rounding and
truncation.
(2) Total cash costs for Q4-2009 and YTD 2009 are preliminary estimates.
Final adjustments may be required.
Table 3: Gap and Escondida - Select Composite Intervals
Include intervals at greater than 0.5 g/t Au over a 3m minimum width, no assay cut (unless indicated)
----------------------------------------------------------------------------
Drill Hole Drilling Total Depth From To Interval Gold
(Azimuth/Inclination) Method (m) (m) (m) (m) (g/t)
----------------------------------------------------------------------------
09EE166 RC 213.41 54.88 57.93 3.05 0.97
325 degrees/-70 degrees 125 146.34 21.34 1.95
Inc.126.52 129.57 3.05 6.88
150.91 164.63 13.72 1.06
----------------------------------------------------------------------------
09EE167 RC 152.44 97.56 109.76 12.2 1.49
145 degrees/-72 degrees 112.8 114.33 1.53 6.22
140.24 143.29 3.05 0.52
----------------------------------------------------------------------------
09EE168 RC 152.44 137.2 144.82 7.62 1.97
325 degrees/-80 degrees
----------------------------------------------------------------------------
09EE169 RC 213.41
325 degrees/-80 degrees No Intervals
----------------------------------------------------------------------------
09EE170 RC 182.93 38.11 53.35 15.24 4.42
305 degrees/-80 degrees Inc.48.78 50.3 1.52 34.90
56.4 70.12 13.72 27.70
Inc.57.93 64.02 6.09 59.24
73.17 109.76 36.59 1.22
Inc.76.22 77.74 1.52 5.32
115.85 137.2 21.35 1.27
167.68 181.4 13.72 0.92
----------------------------------------------------------------------------
09EE171 RC 182.93 22.86 25.91 3.05 0.98
312 degrees/-65 degrees 62.5 65.55 3.05 1.48
74.7 118.9 44.2 2.04
123.48 141.77 18.29 2.67
----------------------------------------------------------------------------
09EE172 RC 190.55 32.01 39.63 7.62 1.38
0 degrees/-90 degrees 112.8 117.38 4.58 1.34
120.43 128.05 7.62 4.05
Inc.121.95 125 3.05 6.97
----------------------------------------------------------------------------
09EE173 RC 152.44 16.76 53.35 36.59 1.39
325 degrees/-80 degrees Inc.18.29 19.81 1.52 5.76
67.07 91.46 24.39 1.14
94.51 108.23 13.72 0.70
117.38 123.48 6.1 0.83
149.39 152.44 3.05 1.76
----------------------------------------------------------------------------
09EE174 RC 152.44 106.71 120.43 13.72 0.83
325 degrees/-80 degrees
----------------------------------------------------------------------------
09EE175 RC 167.68 120.43 123.48 3.05 0.54
325 degrees/-75 degrees
----------------------------------------------------------------------------
09EE177 RC 182.93 88.41 92.99 4.58 0.80
325 degrees/-75 degrees 121.95 135.67 13.72 0.76
164.63 167.68 3.05 0.57
----------------------------------------------------------------------------
09EE178 RC 213.41
325 degrees/-60 degrees No Intervals
----------------------------------------------------------------------------
09EE181 RC 254.57 112.8 144.82 32.02 1.77
0 degrees/-90 degrees Inc.134.15 135.67 1.52 10.80
172.26 182.93 10.67 0.65
192.07 207.32 15.25 0.86
219.51 222.56 3.05 0.64
231.71 237.8 6.09 4.77
Inc.231.71 234.76 3.05 8.51
----------------------------------------------------------------------------
09EE182 RC 213.41 173.78 176.83 3.05 0.65
325 degrees/-80 degrees 181.4 187.5 6.1 0.79
201.22 204.27 3.05 0.59
207.32 222.55 15.23 0.94
----------------------------------------------------------------------------
09EE183 RC 274.39 146.34 153.96 7.62 3.74
325 degrees/-70 degrees Inc.147.87 149.39 1.52 12.70
187.5 198.17 10.67 0.88
201.22 213.41 12.19 0.97
228.66 233.23 4.57 0.96
242.38 260.67 18.29 0.74
----------------------------------------------------------------------------
09EE184 RC 213.41
325 degrees/-75 degrees No Intervals
----------------------------------------------------------------------------
09EE185 RC 231.71 172.26 181.4 9.14 0.62
325 degrees/-80 degrees 184.45 192.07 7.62 0.79
204.27 216.46 12.19 0.78
----------------------------------------------------------------------------
09EE186 RC 243.9 152.44 163.11 10.67 0.67
0 degrees/-90 degrees 173.78 176.83 3.05 0.89
199.7 205.79 6.09 0.75
----------------------------------------------------------------------------
09EE187 RC 198.17 153.96 157.01 3.05 0.80
0 degrees/-90 degrees
----------------------------------------------------------------------------
09EE192 RC 243.9 178.35 189.02 10.67 0.88
0 degrees/-90 degrees
----------------------------------------------------------------------------
09EE196 RC 248.48 175.3 185.98 10.68 4.17
0 degrees/-90 degrees 195.12 201.22 6.1 1.16
207.32 228.66 21.34 0.83
----------------------------------------------------------------------------
09EE197 RC 274.39 141.77 155.49 13.72 0.89
325 degrees/-80 degrees 160.06 176.83 16.77 1.15
187.5 198.17 10.67 0.71
216.46 239.33 22.87 0.69
----------------------------------------------------------------------------
09EE198 RC 198.17 140.24 146.34 6.1 0.73
325 degrees/-80 degrees 158.54 182.93 24.39 0.91
----------------------------------------------------------------------------
09EE199 RC 259.15 185.98 231.71 45.73 1.03
325 degrees/-80 degrees
----------------------------------------------------------------------------
09EE200 RC 274.39 152.44 173.78 21.34 1.15
325 degrees/-70 degrees 185.98 211.89 25.91 1.00
216.46 221.04 4.58 0.50
225.61 236.28 10.67 0.94
239.33 245.43 6.1 0.78
----------------------------------------------------------------------------
09EE201 RC 202.74 138.72 143.29 4.57 0.56
0 degrees/-90 degrees 160.06 170.73 10.67 0.92
185.98 196.65 10.67 1.45
----------------------------------------------------------------------------
09EE202 RC 259.15 153.96 158.54 4.58 2.93
325 degrees/-80 degrees 189.02 198.17 9.15 0.67
201.22 207.32 6.1 0.58
219.51 230.18 10.67 1.32
----------------------------------------------------------------------------
09EE203 RC 182.93 121.95 138.72 16.77 1.02
325 degrees/-75 degrees 141.77 161.59 19.82 0.76
----------------------------------------------------------------------------
09EE204 RC 274.39
325 degrees/-65 degrees No Intervals
----------------------------------------------------------------------------
09EE205 RC 182.93 117.38 120.43 3.05 0.77
0 degrees/-90 degrees 138.72 150.91 12.19 1.99
----------------------------------------------------------------------------
09EE206 RC 289.63 219.51 231.71 12.2 5.17
325 degrees/-75 degrees Inc.221.04 225.61 4.57 10.80
242.38 257.62 15.24 0.87
260.67 266.77 6.1 1.00
271.34 274.39 3.05 4.86
----------------------------------------------------------------------------
09EE207 RC 182.93 109.76 128.05 18.29 0.78
325 degrees/-75 degrees 141.77 166.16 24.39 0.70
169.21 172.26 3.05 1.20
179.88 182.93 3.05 0.88
----------------------------------------------------------------------------
09EE208 RC 243.9 222.56 225.61 3.05 0.82
325 degrees/-83 degrees
----------------------------------------------------------------------------
09EE209 RC 182.93 97.56 115.85 18.29 1.11
325 degrees/-65 degrees 118.9 170.73 51.83 1.21
----------------------------------------------------------------------------
09EE210 RC 182.93 96.04 125 28.96 2.19
325 degrees/-50 degrees Inc.108.23 109.76 1.53 15.75
Final 128.05 144.82 16.77 0.69
----------------------------------------------------------------------------
09EE211 RC 259.15 233.23 236.28 3.05 1.39
325 degrees/-75 degrees 245.43 248.48 3.05 0.63
----------------------------------------------------------------------------
09EE212 RC 152.44 19.81 22.86 3.05 0.66
0 degrees/-90 degrees 36.59 42.68 6.09 0.75
45.73 64.02 18.29 0.62
70.12 77.74 7.62 0.64
80.79 125 44.21 2.48
----------------------------------------------------------------------------
09EE213 RC 152.44 41.16 47.26 6.1 0.90
325 degrees/-70 degrees 94.51 99.09 4.58 0.76
117.38 120.43 3.05 0.53
123.48 128.05 4.57 1.00
----------------------------------------------------------------------------
09EE214 RC 152.44 13.72 38.11 24.39 2.22
325 degrees/-70 degrees 41.16 50.3 9.14 0.63
57.93 65.55 7.62 1.02
71.65 86.89 15.24 1.28
126.52 141.77 15.25 0.82
146.34 152.44 6.1 0.62
----------------------------------------------------------------------------
09EE215 152.44 18.29 28.96 10.67 1.03
0 degrees/-90 degrees 45.73 48.78 3.05 0.56
51.83 57.93 6.1 0.68
68.6 71.65 3.05 0.83
80.79 118.9 38.11 0.90
----------------------------------------------------------------------------
09EE216 RC 152.44
0 degrees/-90 degrees No Intervals
----------------------------------------------------------------------------
Table 4: Gap and Escondida - Drill Hole Collar Data
-------------------------------------------
Drill Total Depth Easting Northing
Hole (m) (m) (m)
-------------------------------------------
09EE166 213.41 721,819 3,172,297
-------------------------------------------
09EE167 152.44 721,760 3,172,436
-------------------------------------------
09EE168 152.44 721,757 3,172,441
-------------------------------------------
09EE169 213.41 721,853 3,172,214
-------------------------------------------
09EE170 182.93 721,862 3,172,347
-------------------------------------------
09EE171 182.93 721,862 3,172,348
-------------------------------------------
09EE172 190.55 721,749 3,172,366
-------------------------------------------
09EE173 152.44 721,899 3,172,367
-------------------------------------------
09EE174 152.44 721,701 3,172,348
-------------------------------------------
09EE175 167.68 721,691 3,172,302
-------------------------------------------
09EE176 152.44 721,911 3,172,349
-------------------------------------------
09EE177 182.93 721,672 3,172,324
-------------------------------------------
09EE178 213.41 721,576 3,172,290
-------------------------------------------
09EE179 182.93 721,877 3,172,355
-------------------------------------------
09EE180 152.44 721,894 3,172,289
-------------------------------------------
09EE181 254.57 721,536 3,172,186
-------------------------------------------
09EE182 243.9 721,672 3,172,149
-------------------------------------------
09EE183 274.39 721,590 3,172,107
-------------------------------------------
09EE184 213.41 721,920 3,172,199
-------------------------------------------
09EE185 231.71 721,656 3,172,169
-------------------------------------------
09EE186 243.9 721,567 3,172,050
-------------------------------------------
09EE187 198.17 721,590 3,172,267
-------------------------------------------
09EE188 228.66 721,594 3,172,056
-------------------------------------------
09EE189 213.41 721,613 3,172,234
-------------------------------------------
09EE190 243.9 721,506 3,172,137
-------------------------------------------
09EE191 289.63 721,388 3,171,975
-------------------------------------------
09EE192 243.9 721,531 3,172,037
-------------------------------------------
09EE193 213.41 721,481 3,172,218
-------------------------------------------
09EE194 243.9 721,531 3,172,036
-------------------------------------------
09EE195 251.52 721,561 3,172,105
-------------------------------------------
09EE196 248.48 721,452 3,172,154
-------------------------------------------
09EE197 274.39 721,619 3,172,110
-------------------------------------------
09EE198 198.17 721,586 3,172,220
-------------------------------------------
09EE199 259.15 721,548 3,172,074
-------------------------------------------
09EE200 274.39 721,619 3,172,110
-------------------------------------------
09EE201 202.74 721,541 3,172,219
-------------------------------------------
09EE202 259.15 721,474 3,172,077
-------------------------------------------
09EE203 182.93 721,540 3,172,220
-------------------------------------------
09EE204 274.39 721,457 3,172,011
-------------------------------------------
09EE205 182.93 721,849 3,172,312
-------------------------------------------
09EE206 289.63 721,370 3,172,006
-------------------------------------------
09EE207 182.93 721,848 3,172,312
-------------------------------------------
09EE208 243.9 721,386 3,172,056
-------------------------------------------
09EE209 182.93 721,848 3,172,313
-------------------------------------------
09EE210 182.93 721,848 3,172,313
-------------------------------------------
09EE211 259.15 Pending Survey
-------------------------------------------
09EE212 152.44 721,883 3,172,448
-------------------------------------------
09EE213 152.44 721,961 3,172,344
-------------------------------------------
09EE214 152.44 721,919 3,172,383
-------------------------------------------
09EE215 152.44 Pending Survey
-------------------------------------------
09EE216 152.44 721,971 3,172,332
-------------------------------------------
Table 5: PdA and PdA Extension - Select Composite Intervals
Include intervals at greater than 0.5 g/t Au over a 3m minimum width, no assay cut (unless indicated)
----------------------------------------------------------------------------
Drill Hole Drilling Total Depth From To Interval Gold
(Azimuth/Inclination) Method (m) (m) (m) (m) (g/t)
----------------------------------------------------------------------------
09PA181 RC 341.46
150 degrees/-80 degrees No Intervals
----------------------------------------------------------------------------
09PA182 RC 349.09 304.88 315.55 10.67 0.86
0 degrees/-90 degrees 323.17 326.22 3.05 0.54
----------------------------------------------------------------------------
09PA183 RC 324.7 306.4 309.45 3.05 3.05
330 degrees/-60 degrees
----------------------------------------------------------------------------
09PA184 RC 365.85
150 degrees/-60 degrees No Intervals
----------------------------------------------------------------------------
09PA185 RC 385.67 286.59 295.73 9.15 0.88
0 degrees/-90 degrees 358.23 373.48 15.25 1.24
376.52 379.57 3.05 0.69
----------------------------------------------------------------------------
Table 5: PdA and PdA Extension - Drill Hole Collar Data
-------------------------------------------
Drill Total Depth Easting Northing
Hole (m) (m) (m)
-------------------------------------------
09PA181 341.46 722,257 3,171,895
-------------------------------------------
09PA182 349.09 722,123 3,172,070
-------------------------------------------
09PA183 324.7 722,345 3,172,015
-------------------------------------------
09PA184 365.85 722,347 3,172,011
-------------------------------------------
09PA185 385.67 722,121 3,171,736
-------------------------------------------
09PA186 327.74 722,556 3,172,095
-------------------------------------------
SOURCE: Alamos Gold Inc. Alamos Gold Inc.
John A. McCluskey
President and Chief Executive Officer
(416) 368-9932
Alamos Gold Inc.
Jeremy Link
Manager, Investor Relations
(416) 368-9932
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