Vancouver, B.C. - Starcore International Mines Ltd. (the “Company”) is pleased to announce production results for the fiscal year ended July 31, 2011 at its San Martin Mine in Queretaro, Mexico.
The 12 months production saw 288,500 tonnes milled at an average head grade of 2.08 g/t gold and 36 g/t silver resulting in the production of 21,500 gold equivalent ounces. This compared well with budgeted production forecast of 20,464 equivalent ounces during the same time frame.
This production surplus was the result of a 5% increase in tonnage, 30% increase in silver grade and a nearly 10% increase in silver recovery above budget estimates. These factors were slightly offset by slightly lower than forecast gold grade and recovery.
Of particular interest in the fiscal year ended July 31, 2011 is the contribution that the newly discovered SAM vein has made to production. During this timeframe a total of 51,800 tons were produced from the SAM vein with an average grade of 3.03 g/t gold and 63 g/t silver. This tonnage has come from 3 stopes developed along 200 meters of strike length. An additional 150 meters of strike length is open before intersecting the area 30 limit fault the other side of which offers additional exploration upside.
“Production results in fiscal 2010-2011 show that our production planning and budgeting is becoming much better at predicting the future,” said Robert Eadie, Chairman and Chief Executive Officer of the Company. “We are gaining confidence in the deposit as indicated by the significant contribution of newly found structures like the SAM vein. We fully expect that the SAM vein along with the newly discovered ore in the Pilotos area will help us meet production targets in the next fiscal year.”
David Gunning, P.Eng., a director of the Company and Chief Operating Officer, is the Company’s qualified person on the project as required under NI 43-101and has prepared the technical information contained in this press release.
The Company also reports that it has appointed Deloitte & Touche LLP, Chartered Accountants, as auditors of the Company for the July 31, 2011 fiscal year.
The appointment follows the resignation of the former auditors, PricewaterhouseCoopers LLP, Chartered Accountants at the request of the Company. The Company reports that there have been no reservations in the report of PricewaterhouseCoopers LLP for the audits of the most recently completed fiscal period and, in the opinion of the Company, prior to the appointment of PricewaterhouseCoopers LLP, there were no reportable events. A reportable event is an occurrence in relationship between the reporting issuer and the former auditor which may have been a contributing factor in the change.
A reporting package has been filed with the regulators and will be included in the management materials sent to shareholders for the next annual general meeting of the Company.
ON BEHALF OF STARCORE INTERNATIONAL
Signed “Robert Eadie”
Robert Eadie, Chairman & Chief Executive Officer
FOR FURTHER INFORMATION PLEASE CONTACT: Telephone: 1-604-602-4935
Toll Free: 1-866-602-4935 / Facsimile: 1-604-602-4936
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