Telson Mining Corporation Reports First Quarter 2019 Financial Results
Telson Mining Corporation
TSX.V: TSN OTCPink: SOHFF
Frankfurt: TSGN.F
Shares Issued: 139,569,152
Page 1 of 3
Telson Mining Corporation Reports First Quarter 2019 Financial
Results
Vancouver, British Columbia, May 30, 2019
Telson Mining Corporation (“Telson” or the “Company” (TSX -V, OTC Pink -SOHFF, Frankfurt -TSGN (formerly
SQ82)) is pleased to report its first quarter 2019 summary financial and operating results. The full unaudited
consolidated interim financial statements (“Q1 Financial Statements”) and related management discussion
and analysis (“Q1 MD&A) for the three months ended March 31, 2019 can be found on the company website
at www.telsonmining.com as well as the SEDAR website.
Highlights for the three months ended March 31, 2019
Campo Morado Operational and Financial Highlights
• Mine operating profit of C$3.05 million for the three months ended March 31, 2019
• C1 Cash Cost of US$0.71 and AISC of US$1.01 per pound of zinc produced.
• Gross sales estimated at C$15,335,000 (US$11,435,000), generated by the sales of;
o approximately 20.0 million lbs of zinc concentrate with an average grade of 45%, and
o approximately 4.8 million lbs of lead concentrate with and average grade of 23%
• Ore processed during Q1 2019 was 148,318 tonnes with an average throughput of 1,765 tonnes
per day (“tpd”) and recovery of 69% from ore into zinc concentrate and 33% from ore into lead
concentrate
• Mined 152,147 tonnes of ore (average 1,811 tpd) grading 4.25% zinc, 1.14% lead, 118 g/t silver
and 1.08 g/t gold
• In Q1 2019 the Company produced 9,094 tonnes of zinc concentrate and 2,220 tonnes of lead
concentrate, containing an estimated 9.7 million pounds of zinc, 1.5 million pounds of lead,
212,692 ounces of silver and 895 ounces of gold
“After taking Campo Morado out of an extended period of care and maintenance just over one year ago, we
are very happy to report that for the first time in many years the mine has generated a significant operating
profit of C$3.05 million during Q1 2019.” States Antonio Berlanga, CEO, “This was achieved by the Campo
Morado operations team’s diligence and hard work in implementing efficiencies, correcting start-up
challenges and controlling costs. It is notable the Q1 average daily mill throughput rate was approximately
1,765 tonnes per day and that management is working towards increasing this rate towards 2,500 Tonnes
per day during 2019 and thereby expects to increase the operating profit margins through economics of
scale.”
Telson Mining Corporation
TSX.V: TSN OTCPink: SOHFF
Frankfurt: TSGN.F
Shares Issued: 139,569,152
Page 2 of 3
Tahuehueto Operational and Financial Highlights
• Produced 168 tonnes of lead concentrate grading approximately 39% lead, 6% copper, 80 g/t
gold, 840 g/t silver and sold 172 tonnes of lead concentrate for estimated cash proceeds of
US$606,000*
• Produced 218 tonnes of zinc concentrate grading an average of 44% zinc, 9 g/t gold, 68 g/t silver
and sold 320 tonnes of zinc concentrate for estimated cash proceeds of US$290,000*
• Total Tahuehueto estimated cash proceeds from pre-production in Q1 2019 were US$896,000*
• Average recoveries achieved during Q1 2019 toll milling were 81% gold, 86% silver, 90% lead,
60% zinc and 88% copper
• Pre-production mining produced approximately 21,613 tonnes of ore
• Telson advanced a total of 579 meters of underground development, 97 meters within ore which
supplied the pre-production toll milling feed and 482 meters in waste preparing the mine for
future commercial production. Development included the Level 12 decline, the El Perdido
development drift, El Creston development drift, the Haulage level portal and the main access
decline for Level 20
* Cautionary note – As require under IFRS, pre-commercial production revenues, costs and expenses incurred are
capitalized to Mineral Interest and Development Assets up to the total of capitalized development asset. Any excess
in revenues over the development asset, if any, is presented in the statement of income and comprehensive income
as recovery of expenses under other income.
About Telson Mining Corporation
Telson Mining Corporation is a Canadian based mining company with two Mexican gold, silver and base metal
mining projects. Effective May 15, 2018 Telson declared commercial production at its 100% owned Campo
Morado Mine, which is currently producing zinc and lead concentrates with gold, silver and copper as by-
products.
Telson's 100% owned Tahuehueto Project, located in north- western Durango State, Mexico is currently in
construction development. Pre-production commenced at Tahuehueto in August 2017, currently mining at a
rate averaging approximately 100 tonnes per day and shipping ore to a third -party toll mill for processing.
Management has a targeted timeline at Tahuehueto to be producing with its own on-site mineral processing
plant, with a designed capacity of at least 1,000 tonnes per day by the end of 2019.
Visit: www.telsonmining.com
Qualified Persons
This press release was prepared under the supervision and review of Ralph Shearing, P.Geol., President and
Director of Telson Mining Corporation, a Professional Geologist registered in Alberta as a member of the
professional association APEGA, and a Qualified Person as defined by NI 43-101.
Telson Mining Corporation
TSX.V: TSN OTCPink: SOHFF
Frankfurt: TSGN.F
Shares Issued: 139,569,152
Page 3 of 3
On behalf of the board of directors
(signed) “Ralph Shearing”
Ralph Shearing, P.Geol, President and Director
Cautionary Note Regarding Production Decisions and Forward-Looking
Statements
Statements contained in this news release that are not historical facts are “forward-looking information” or “forward-
looking statements” (collectively, “Forward- Looking Information”) within the meaning of applicable Canadian
securities laws. F orward Looking Information includes, but is not limited to, disclosure regarding possible events,
conditions or financial performance that is based on assumptions about future economic conditions and courses of
action; the timing and costs of future activities on the Company’s properties, such as production rates and increases;
success of exploration, development and bulk sample processing activities, and timing for processing at its own
mineral processing facility on the Tahuehueto project site. In certain cases, Forward-Looking Information can be
identified by the use of words and phrases such as “plans”, “expects”, “scheduled”, “estimates”, “forecasts”, “intends”,
“anticipates” or variations of such words and phrases. In preparing the Forward- Looking Information in this news
release, the Company has applied several material assumptions, including, but not limited to, that the current
exploration, development, environmental and other objectives concerning the Campo Morado Mine and the
Tahuehueto Project can be achieved, the continuity of the price of gold and other metals, economic and political
conditions and operations. Forward- Looking Information involves known and unknown risks, uncertainties and
other factors which may cause the actual results, performance or achievements of the Company to be materially
different from any future results, performance or achievements expressed or implied by the Forward- Looking
Information. There can be no assurance that Forward- Looking Information 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 Information. Except as required by law, the Company does not
assume any obligat ion to release publicly any revisions to Forward- Looking Information contained in this news
release to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information about Telson Mining Corporation, please contact:
Glen Sandwell
Corporate Communications Manager
Tel: +1 (604) 684-8071