ASANKO GOLD ANNOUNCES Q4 AND FULL YEAR 2017 PRODUCTION RESULTS Q4 and FY 2017 Highlights: FY 2017 gold production of 205,047 ounces and Q4 production of 51,550 ounces, in line with 2017 revised production guidance of 205 – 225,000 ounces
PRESS RELEASE
ASANKO GOLD ANNOUNCES Q4 AND FULL YEAR 2017
PRODUCTION RESULTS
Q4 and FY 2017 Highlights:
FY 2017 gold production of 205,047 ounces and Q4 production of 51,550 ounces, in line with 2017
revised production guidance of 205 – 225,000 ounces
US$62.6 million in gold revenue at an average realized price of US$1,264 per ounce for Q4
Record quarterly milling performance by the processing facility, with annualized rate of 5Mtpa
achieved for the month of December
Industry-leading safety record continued to be maintained with a rolling 12 month LTIFR of 0.17
Stable balance sheet with unaudited cash and immediately convertible working capital balances of
approximately US$55.5 million (December 31, 2017)
Vancouver, British Columbia, January 18 , 2018 – Asanko Gold Inc. (“Asanko” or the “Company”) (TSX,
NYSE American: AKG) announces production results for the fourth quarter (“Q4”) and full year (“FY”) of
2017 from the Asanko Gold Mine (“AGM”), located in Ghana, West Africa.
Commenting on the quarter Peter Breese, President and CEO, said “The Asanko Gold Mine delivered
another solid quarterly performance, producing 51,550 ounces and achieving 2017 revised guidance with
full year production of 205,047 ounces.
Highlights for the quarter include the opening up and commencement of ore mining operations at our
second satellite deposit, Dynamite Hill , record milling rates by the processing plant , which achieved the
design throughput rate of 5Mtpa on an annualized basis for December inspite of lower oxide tonnes be ing
fed to the mill than designed for , and high metallurgical recovery, which continue s to be above design at
94% at these elevated mill throughput rates.
Discussions with Red Kite are progressing on the refinancing of our existing debt facility and we expect to
update the market during Q1 2018 on the outcomes of these discussions, along with the publication of the
Project 5 Million Optimized Plan.”
Health and Safety
There were no lost time injuries (“LTI”) reported d uring the quarter and the 12 -month rolling lost time
injury frequency rate (“LTIFR”) per million man hours worked is 0.17.
Production
During the quarter, the AGM sourced ore from multiple pits , Nkran, Akwasiso , Dynamite Hill and Nkran
Extension as well as on surface stockpiles. Due to the ongoing Cut 2 push back at Nkran , focusing on waste
removal in line with the life of mine plan, and the establishment of the Dynamite Hill pit, the strip ratio
increased significantly , whilst o re tonnes and the average grade mined were lower compared to the
previous quarter. At Dynamite Hill, the second satellite deposit to be bought into production , ore mining
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operations commenced in Q4 2017 as per the plan, with the ramp up to full mining rates of approximately
70,000 tonnes per month expected in Q1 2018.
The processing plant achieved record milling rates of 1,087 million tonnes for the quarter including a n
annualized milling rate of 5 million tonnes per annum (“Mtpa”) for the month of December. Although
milling rates were elevated, m etallurgical recovery continued to exceed design levels at 94% , with higher
than design gravity recovery performance. This exceptional process ing plant performance highli ghts the
capability of the circuit to run at h igher throughput levels despite lower than planned softer oxide ores
being available to mill.
AGM Key Production
Statistics
Units Q1 2017 Q2 2017 Q3 2017 Q4 2017 FY 2017
Total Tonnes Mined 000 t 6,637 7,506 8,519 11,494 34,156
Waste Tonnes Mined 000 t 5,620 6,458 7,339 10,692 30,108
Ore Tonnes Mined 000 t 1,017 1,048 1,180 802 4,048
Strip Ratio W:O 5.5:1 6.2:1 6.2:1 13.3:1 7.4:1
Average Gold Grade
Mined g/t 1.8 1.5 1.8 1.5 1.7
Ore Treated 000 t 908 887 862 1,087 3,744
Gold Feed Grade g/t 2.0 1.7 1.9 1.5 1.8
Gold Recovery % 95 94 94 94 94
Gold Produced oz 58,187 46,017 49,293 51,550 205,047
Sales and Liquidity
Gold production for the quarter was 51,550 ounces with gold sales of 49,561 ounces at an average realized
price of US$1,264 per ounce, generating gold sales revenue of US$62.6 million. At December 31, 2017 the
Company’s balance sheet had approximately US$ 49.3 million in unaudited cash, US$ 2.1 million in gold
receivables and US$4.1 million in dore (with a market value of US$5.9 million).
Qualified Person Statement
Frederik Fourie, Asanko Senior Mining Engineer (Pr.Eng) is the Asanko Qualified Person, as defined by
Canadian National Instrument 43-101 (Standards of Mineral Disclosure), who has approved the preparation
of the technical contents of this news release.
Enquiries:
For further information please visit: www.asanko.com, email: [email protected] or contact:
Alex Buck - Manager, Investor and Media Relations
Toll-Free (N.America): 1-855-246-7341
Telephone: +44-7932-740-452
Email: [email protected]
Rob Slater – Executive, Corporate Development and Strategy
Telephone: +27-11-467-2758
Email: [email protected]
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About Asanko Gold Inc.
Asanko’s vision is to become a mid -tier gold mining company that maximizes value for all its stakeholders.
The Company’s flagship project is the multi-million ounce Asanko Gold Mine located in Ghana, West Africa.
Asanko is managed by highly skilled and successful technical, operational and financial professionals. The
Company is strongly committed to the highest standards for environmental management, social
responsibility, and health and safety for its employees and neighbouring communities.
Forward-Looking and other Cautionary Information
This release includes certain statements that may be deemed "forward -looking statements". All statements in this
release, other than statements of historical facts, that address estimated resource quantities, grades and contained
metals, possible future mining, exploration and development activities, are forward -looking statements. Although the
Company believes the forward -looking statements are based on reasonable as sumptions, such statements should not
be in any way construed as guarantees of future performance and actual results or developments may differ materially
from those in the forward -looking statements. Factors that could cause actual results to differ mater ially from those in
forward-looking statements include market prices for metals, the conclusions of detailed feasibility and technical
analyses, the timely renewal of key permits, lower than expected grades and quantities of resources, mining rates and
recovery rates and the lack of availability of necessary capital, which may not be available to the Company on terms
acceptable to it or at all. The Company is subject to the specific risks inherent in the mining business as well as general
economic and busin ess conditions. For more information on the Company, Investo rs should review the Company's
Annual Form 40-F filing with the United States Securities Commission and its home jurisdiction filings that are available
at www.sedar.com.
Neither Toronto Stock Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility
for the adequacy or accuracy of this release.
Cautionary Note to US Investors Regarding Mineral Reporting Standards:
Asanko has prepared its disclosure in accordance with the requirements of securities laws in effect in Canada, which
differ from the requirements of US securities laws. Terms relating to mineral resources in this press release are defined
in accordance with Natio nal Instrument 43 -101 - Standards of Disclosure for Mineral Projects under the guidelines set
out in the Canadian Institute of Mining, Metallurgy, and Petroleum Standards on Mineral Resources and Mineral
Reserves. The Securities and Exchange Commission (t he “SEC”) permits mining companies, in their filings with the SEC,
to disclose only those mineral deposits that a company can economically and legally extract or produce. Asanko uses
certain terms, such as, “measured mineral resources”, “indicated mineral resources”, “inferred mineral resources” and
“probable mineral reserves”, that the SEC does not recognize (these terms may be used in this press release and are
included in the public filings of Asanko which have been filed with securities commissions or similar authorities in
Canada).