TORONTO and NEW YORK, October 23,
2018 /PRNewswire/ --
Mountain Province Diamonds Inc. ("Mountain Province", the "Company") (TSX: MPVD) (NASDAQ:
MPVD) today announces production results for the third quarter ended September 30, 2018 ("Q3 2018")
from the Gahcho Kué Diamond Mine ("GK Mine"). The Company also provides the details of its Q3 conference call which will take
place on November 13th, 2018 at 11:00am EDT.
Q3 2018 Production Highlights
(all figures reported on a 100% basis unless otherwise stated)
- The plant treated 759,000 tonnes during the quarter, 8% less than the same quarter last year as a result of a planned
maintenance shut down in the plant.
- 1,819,000 carats were recovered at an average grade of approximately 2.40 carats per tonne in Q3 2018. Q3 2018
recovered grade of 2.40 carats per tonne, was 8% higher than the same quarter last year and increases the year to date grade
profile to 2.21 carats per tonne.
- Ore tonnes mined in Q3 2018 were 1,155,000 tonnes, or 3% higher than the same quarter last year.
Q3 Production Statistics[1]
2018 Q3 2017 Q3 YOY Variance Total tonnes mined (ore and waste) 11,592,000 8,313,000 39% Ore tonnes mined 1,155,000 1,123,000 3% Ore tonnes treated 759,000 823,000 -8% Carats recovered 1,819,000 1,825,000 - Carats recovered (49% share) 891,000 894,000 - Recovered grade (carats per tonne) 2.40 2.22 8% [1] All figures reported are on 100% basis unless otherwise stated
Q3 2018 Production Summary
The GK Mine operations had another solid quarter with over 11.6 million tonnes of material being mined. The recovered grade
also continues to outperform expectations. The head grade in Q3 2018 was 2.40 carats per tonne which is significantly higher than
originally anticipated. As a result, the year to date head grade at the plant has reached 2.21 carats per tonne which is 5%
higher than our full year 2018 forecast grade. A planned maintenance shut down in the plant during the quarter resulted in
less ore tonnes passing through the plant in comparison to what has been achieved in previous quarters of 2018. However,
daily throughput in the plant continues to be consistant with our targets for the year.
At September 30 2018, the Company remains well positioned to achieve the upper end of its full
year 2018 production guidance of 6.3 - 6.6 million carats recovered.
Stuart Brown, the Company's President and Chief Executive Officer, commented: "The third
quarter performance continues to follow the trend of ongoing excellent performance set by the GK Mine team, in a safe and
sustainable manner. We expect this trend to continue into the last quarter of the year. The continued good
performance is pleasing as the mine matures into its steady state production methodology of continuous improvement."
Q3 2018 Conference Call Details
The Company will release its 2018 Third Quarter results on Monday, November 12, 2018, after
market close in Toronto and New York.
The Company will host a conference call to discuss the results on Tuesday, November 13, 2018 at
11:00 a.m. Eastern Time.
Conference Call Dial-In Details:
Conference ID: 5565909 Date of call: 11/13/2018 Time of call: 11:00 Eastern Time Expected Duration: 60 minutes Participant Toll-Free Dial-In Number: (866) 300-0510 Participant International Dial-In Number: (636) 812-6656
Replay: Toll-Free Dial-In: (855) 859-2056 International Dial-In: (404) 537-3406 Passcode: 5565909
A replay will also be available on the Company's website.
Mountain Province Diamonds is a 49% participant with De Beers Canada in the Gahcho Kué diamond mine located in
Canada's Northwest Territories. Gahcho Kué is the world's largest new diamond mine,
consisting of a cluster of four diamondiferous kimberlites, three of which are being developed and mined under the initial 12
year mine plan.
Qualified Person
The disclosure in this news release of scientific and technical information regarding Mountain
Province's mineral properties has been reviewed and approved by Keyvan Salehi, P.Eng., MBA,
a Qualified Person as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects.
Caution Regarding Forward Looking Information
This news release contains certain "forward-looking statements" and "forward-looking information" under applicable Canadian
and United States securities laws concerning the business, operations and financial performance
and condition of Mountain Province Diamonds Inc. Forward-looking statements and forward-looking information include,
but are not limited to, statements with respect to estimated production and mine life of the project of Mountain Province; the realization of mineral reserve estimates; the timing and amount of estimated future
production; costs of production; the future price of diamonds; the estimation of mineral reserves and resources; the ability to
manage debt; capital expenditures; the ability to obtain permits for operations; liquidity; tax rates; and currency exchange rate
fluctuations. Except for statements of historical fact relating to Mountain
Province, certain information contained herein constitutes forward-looking statements. Forward-looking
statements are frequently characterized by words such as "anticipates," "may," "can," "plans," "believes," "estimates,"
"expects," "projects," "targets," "intends," "likely," "will," "should," "to be", "potential" and other similar words, or
statements that certain events or conditions "may", "should" or "will" occur. Forward-looking statements are based
on the opinions and estimates of management at the date the statements are made, and are based on a number of assumptions and
subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially
from those projected in the forward-looking statements. Many of these assumptions are based on factors and events
that are not within the control of Mountain Province and there is no assurance they will prove
to be correct.
Factors that could cause actual results to vary materially from results anticipated by such forward-looking statements
include variations in ore grade or recovery rates, changes in market conditions, changes in project parameters, mine sequencing;
production rates; cash flow; risks relating to the availability and timeliness of permitting and governmental approvals; supply
of, and demand for, diamonds; fluctuating commodity prices and currency exchange rates, the possibility of project cost overruns
or unanticipated costs and expenses, labour disputes and other risks of the mining industry, failure of plant, equipment or
processes to operate as anticipated.
These factors are discussed in greater detail in Mountain Province's most recent Annual
Information Form and in the most recent MD&A filed on SEDAR, which also provide additional general assumptions in connection
with these statements. Mountain Province cautions that the foregoing list of
important factors is not exhaustive. Investors and others who base themselves on forward-looking statements should
carefully consider the above factors as well as the uncertainties they represent and the risk they entail.
Mountain Province believes that the expectations reflected in those forward-looking
statements are reasonable, but no assurance can be given that these expectations will prove to be correct and such
forward-looking statements included in this news release should not be unduly relied upon. These statements speak
only as of the date of this news release.
Although Mountain Province has attempted to identify important factors that could cause
actual actions, events or results to differ materially from those described in forward-looking statements, there may be other
factors that cause actions, events or results not to be anticipated, estimated or intended. There can be no
assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially
from those anticipated in such statements. Mountain Province undertakes no
obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as
required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking
statements. Statements concerning mineral reserve and resource estimates may also be deemed to constitute
forward-looking statements to the extent they involve estimates of the mineralization that will be encountered as the property is
developed.
Further, Mountain Province may make changes to its business plans that could affect its
results. The principal assets of Mountain Province are administered pursuant to a
joint venture under which Mountain Province is not the operator. Mountain Province is exposed to actions taken or omissions made by the operator within its prerogative
and/or determinations made by the joint venture under its terms. Such actions or omissions may impact the future
performance of Mountain Province. Under its current note and revolving credit
facilities Mountain Province is subject to certain limitations on its ability to pay dividends
on common stock. The declaration of dividends is at the discretion of Mountain
Province's Board of Directors, subject to the limitations under the Company's debt facilities, and will depend on
Mountain Province's financial results, cash requirements, future prospects, and other factors
deemed relevant by the Board.
Stuart Brown, President and CEO, 161 Bay Street, Suite 1410, Toronto,
Ontario M5J 2S1, Phone: (416)-361-3562, E-mail: info@mountainprovince.com ; Keyvan Salehi, Investor Relations, 161 Bay Street,
Suite 1410, Toronto, Ontario M5J 2S1, Phone: (416)-361-3562, E-mail: info@mountainprovince.com