You take your chances. Bad newsLuckily, LMA has a variety of operating properties and will spin this as short term and insignificant, but this is bad news and shows the chances you take operating in politically dangerous countries.
ITY Mine Update
PARIS, Feb 24, 2011 (Marketwire via COMTEX News Network) --
La Mancha Resources Inc. (TSX: LMA) (hereinafter "La Mancha" or the "Company") reports that it proceeded, earlier today, to the orderly interruption of its Ity mine activities in Cote d'Ivoire. Approximately 4,300 ounces of gold (2,000 ounces attributable to La Mancha) have been produced by the mine since the restart of its activities in mid-January 2011. For its 2011 production guidance, La Mancha had incorporated a conservative production target of a minimum of 12,000 ounces of gold for the Ity mine as it had assessed its production to be vulnerable to the country's current political situation.
Dominique Delorme, President and CEO of La Mancha, noted: "We expect that the situation will continue to rapidly evolve in the area surrounding the mine for the time to come. Luckily, our ability to quickly suspend and restart activities at the Ity mine gives us the flexibility to adapt ourselves to the evolution of the political situation, which should allow Ity to meet this year's gold production target while assuring the safety of our employees and their family."
Despite the Ity mine's current situation, La Mancha's consolidated production remains in line with its 2011 guidance of 115,000 to 135,000 attributable ounces of gold.
ABOUT THE ITY MINE La Mancha owns a 45.9% interest in the Ity mine, located in the Zouan Hounien region, in western Cote d'Ivoire. At the end of December 2010, under the same political context, the Ity mine had suspended its activities for a two week period. La Mancha expects that approximately 13% of its 2011 consolidated gold production to come from the Ity mine.
ABOUT LA MANCHA RESOURCES INC: La Mancha Resources Inc. is an international gold producer with operations, development projects and exploration activities in Africa, Australia and Argentina. La Mancha's shares trade on the Toronto (TSX) under the symbol "LMA". For more information on the Company, visit its website at https://www.lamancha.ca/.