Northgate Exploration Limited. (AMEX: NXG)

  • Northgate Updates Progress on Perseverance Acquisition


    VANCOUVER, British Columbia, Dec 18, 2007 (BUSINESS WIRE) -- Northgate Minerals Corporation (NXG: Northgate Exploration Limited) (CA:NGX) is pleased to announce that the holders of the convertible subordinated notes ("Noteholders") of Perseverance Corporation Limited ("Perseverance") have approved the extraordinary resolution as set out in the Meeting of Noteholders held on December 17, 2007.
    Under the terms defined in the resolution, the convertible subordinated notes will be subject to early redemption and Perseverance Noteholders will receive A$100,000 (face value) plus any accrued interest per subordinated note, provided that the schemes of arrangement between Perseverance and its shareholders and warrantholders (referred to in Australia as optionholders) are approved. The share scheme and option scheme meetings of Perseverance's shareholders and optionholders, respectively, are scheduled to take place on January 18, 2008.
    Ken Stowe, President & CEO, commented, "The approval of the resolution by Perseverance Noteholders is an important step in completing our acquisition of this significant Australian gold producer. With the unanimous recommendation by Perseverance's Board and positive Noteholder support, we look forward to the successful completion of this deal in mid-February 2008."
    Further information about the proposed acquisition of Perseverance can be found in Northgate's press release dated October 29, 2007.
    NORTHGATE MINERALS CORPORATION is a gold and copper mining company focused on operations and opportunities in the Americas and Australia. The Corporation's principal assets are the Kemess South mine in north-central British Columbia and the Young-Davidson property in northern Ontario. With the proposed acquisition of Perseverance Corporation Limited, the addition of two operating mines will create a leading multi-mine, mid-tier gold producer, with over 430,000 ounces of gold production in 2008. Northgate is listed on the Toronto Stock Exchange under the symbol NGX and on the American Stock Exchange under the symbol NXG.

  • Northgate Announces Additional Young-Davidson Drill Results - Drill Hole YD07-42B Returns 46.80 Grams per Tonne Gold Over 9.1 Metres


    VANCOUVER, British Columbia, Dec 20, 2007 (BUSINESS WIRE) -- Northgate Minerals Corporation (CA:NGX) (NXG: Northgate Exploration Limited) today announced assay results for 13 additional diamond drill holes at its Young-Davidson property near the town of Matachewan, Ontario.



    DRILLING HIGHLIGHTS


    - Hole YD07-42B, on the eastern flank of the Lower Boundary
    zone, intersected 46.80 grams per tonne (g/t) gold over
    9.1 metres (m).


    - Hole YD07-53, also targeting the Lower Boundary zone,
    intersected 80.8m of 2.68 g/t gold including 3.47 g/t gold
    over 18.0m. This hole is situated below and about 100m
    further to the west than any other intersection in the area.


    - Hole YD07-50, drilled on the western flank of the Lower YD
    zone, returned results of 5.54 g/t gold over 8.5m.


    - The results of these latest holes are being incorporated into
    a resource update for the project, which is expected to be
    completed in January 2008.






    Ken Stowe, President and Chief Executive Officer, remarked, "The exploration team at Young-Davidson continues to achieve outstanding results. The continuity of the mineralization in the four main zones is excellent, which supports our concept of low-cost, large-scale bulk underground mining for the project. Given the drilling success in 2007, we expect to see another significant increase in gold resources for the project once the new resource update is completed next month, which will have a positive impact on the Pre-Feasibility Study for the project."

  • Ryan Freund submits:
    The price-to-earnings-growth [PEG] ratio is primarily a growth investing metric that measures the price-to-earnings ratio in relation to the growth rate the company will experience in the future. This metric is useful for determining if a company is under-valued when compared to its expected growth rate. Many growth investors use this figure when performing research, but few value investors believe it yields any useful information. The problem value investors have with this metric is that it relies on estimates of future growth. Value investors prefer hard facts, not estimates. Here at Freund Investing, however, we believe that the value investing methodology taught by Ben Graham and Warren Buffett can be enhanced by including certain growth metrics, including the PEG ratio.
    As important as the PEG ratio is, it cannot be completely relied upon for investment selections. Rather, it should be used as one portion of the overall picture. Investments with low PEG ratios are often undervalued to begin with, and present a great source of investments which should be researched further. The following are the lowest 15 PEG ratios of all investments listed on the most common exchanges. The investment with the highest PEG ratio, Primus Guaranty, has a PEG of merely 0.27. The lowest is seen at Security Capital, with a PEG of only 0.11.


    ...


    13. Northgate Mineral (AMEX: NXG)
    ...

  • VANCOUVER, Jan 18, 2008 /PRNewswire-FirstCall via COMTEX/ -- Northgate Minerals Corporation (CA:NGX) (NXG: Northgate Exploration Limited) is pleased to announce that the common shareholders and warrant holders (referred to in Australia as ordinary shareholders and optionholders, respectively) of Perseverance Corporation Limited ("Perseverance") voted earlier today in favour of their respective Schemes of Arrangement (the "Schemes"), which will give effect to Northgate's acquisition of Perseverance. These votes follow the previous approval received from Perseverance noteholders on December 17, 2007. Approval by the Supreme Court of Victoria of the Schemes is necessary before proceeding with the acquisition and a hearing is scheduled for February 1, 2008. Subject to that approval, implementation of the Schemes is scheduled to occur on February 18, 2008.
    Ken Stowe, Northgate's President and CEO, commented, "Today's approval of the Schemes by the shareholders and warrant holders of Perseverance represents a watershed event in what has been a lengthy but ultimately rewarding process that will benefit shareholders and employees of both companies. Our integration plans for Perseverance are well advanced and both of our management teams are very excited about the bright future of the Fosterville and Stawell mines as part of the Northgate family. Once the transaction closes in mid-February, Northgate will emerge as an unhedged, multi-mine gold producer with a strong balance sheet, excellent cash flow and tremendous growth potential, with operations in stable, mining-friendly jurisdictions of Canada and Australia."
    Further information about the proposed acquisition of Perseverance can be found in Northgate's press release dated October 28, 2007.
    NORTHGATE MINERALS CORPORATION is a gold and copper mining company focused on operations and opportunities in the Americas and Australia. The Corporation's principal assets are the Kemess South mine in north-central British Columbia and the Young-Davidson property in northern Ontario. With the proposed acquisition of Perseverance Corporation Limited, the addition of two operating mines will create a leading multi-mine, mid-tier gold producer, with over 430,000 ounces of gold production in 2008. Northgate is listed on the Toronto Stock Exchange under the symbol NGX and on the American Stock Exchange under the symbol NXG.

  • VANCOUVER, Jan 28, 2008 /PRNewswire-FirstCall via COMTEX/ -- (All figures in US dollars except where noted) - Northgate Minerals Corporation (CA:NGX) (NXG: Northgate Exploration Limited) today reported its fourth quarter 2007 operating results and 2008 production forecast, as well as 2008 exploration plans for its Canadian properties.


    FOURTH QUARTER 2007 HIGHLIGHTS


    - Quarterly gold production of 41,467 ounces bringing total 2007
    production to 245,631 ounces;


    - Quarterly copper production of 16.8 million pounds bringing total
    2007 production to 68.1 million pounds; and,


    - Quarterly gold net cash cost of $48 per ounce bringing annual net
    cash cost to negative $16 per ounce of gold for all of 2007.


    - Shareholders, warrant holders and noteholders of Perseverance
    Corporation Ltd. ("Perseverance") approved Northgate's offer to
    acquire the Australian gold producer and the transaction is expected
    to close on February 18, 2008.


    2008 PRODUCTION FORECAST HIGHLIGHTS


    - The Kemess mine is forecast to produce 243,000 ounces of gold and
    64.4 million pounds of copper in 2008.


    - The cash cost of production, net of by-product credits, is forecast
    to be $130 per ounce of gold assuming a copper price of $3.00 per
    pound and an exchange rate of Cdn$/US$1.00.


    - Canadian exploration spending is forecast to be $22 million, most of
    which will be devoted to the Young-Davidson property near Matachewan,
    Ontario. The surface and underground diamond drilling programs at
    Young-Davidson will continue and Northgate expects to complete a
    feasibility study for the project by the end of the year.


    - Gold production from the Fosterville and Stawell mines in Australia
    is expected to be in the range from 190,000 to 200,000 ounces during
    2008 and this production will be included in Northgate's consolidated
    results after the transaction closes on February 18. Northgate will
    provide further production and cost guidance for its newly acquired
    Australian mines in March 2008.




    Ken Stowe, President & CEO, commented, "While the revised fourth quarter production at Kemess fell short of our expectations, our total 2007 production of 245,631 ounces of gold at a net cash cost of negative $16 per ounce generated excellent cash flow in 2007's strong metal price environment. With the acquisition of two operating mines in Australia, Northgate's total metal production in 2008 is forecast to be over 400,000 ounces of gold and 64.4 million pounds of copper, all of which is unhedged, and will be sold at spot prices giving us maximum exposure in the current robust metal price environment. With successful securityholder votes behind us on the Perseverance transaction and the upcoming resource update we expect to announce at Young-Davidson, Northgate has become a multi-mine, mid-tier, gold producer with production platforms in two excellent mining jurisdictions from which we can generate additional growth opportunities through exploration and acquisition."

  • TSX NGX AMEX NXG


    VANCOUVER, Jan 31, 2008 /PRNewswire-FirstCall via COMTEX/ -- Northgate Minerals Corporation (CA:NGX) (NXG: Northgate Exploration Limited) is pleased to announce that the Supreme Court of Victoria has approved the Schemes of Arrangement (the "Schemes") for securityholders of Perseverance Corporation Ltd. ("Perseverance") in a hearing held earlier today in Australia. This is the final approval required for the Schemes. Completion of Northgate's acquisition of Perseverance pursuant to the Schemes is scheduled to occur on February 18, 2008.
    Further information about the acquisition of Perseverance can be found in Northgate's press release dated October 28, 2007.
    NORTHGATE MINERALS CORPORATION is a gold and copper mining company focused on operations and opportunities in the Americas and Australia. The Corporation's principal assets are the Kemess South mine in north-central British Columbia and the Young-Davidson property in northern Ontario. With the proposed acquisition of Perseverance Corporation Limited, the addition of two operating mines will create a leading multi-mine, mid-tier gold producer, with over 400,000 ounces of gold production in 2008. Northgate is listed on the Toronto Stock Exchange under the symbol NGX and on the American Stock Exchange under the symbol NXG.

  • Bin auf der Suche nach Goldproduzenten, die âkzeptabel bewertet sind. Kann es sein,. dass es gar keine vernünftig bewertete Goldproduzenten gibt? Mir scheint, dass die Produktionskosten stärker steigen als der Gioldpreis........


    Northgate hat immerhin mein Interesse geweckt. Der Kurs im letzten jahr war allerdings alles andere als berauschend. Sind die Produktionskosten zu hoch oder ist dies eine Aktie, die man kaufen soll?


    Kennt jemand einen Goldproduzenten, der nach klassichen Bewertungsmodellen nicht völlig überteuert ist????

  • Underground Resources Now Total 1.86 Million Ounces TSX NGX AMEX NXG


    VANCOUVER, Feb 06, 2008 /PRNewswire-FirstCall via COMTEX/ -- Northgate Minerals Corporation (CA:NGX) (NXG: Northgate Exploration Limited) is pleased to report the results of a new underground mineral resource estimate at its Young-Davidson property near Matachewan, Ontario. The estimate combines the results of the 2007 diamond drill program with historic drilling data. A re-estimate of the indicated resources mineable by open pit methods, incorporating the results of a recently completed infill drilling campaign, is presently underway and will be released at a later date.


    EXPLORATION HIGHLIGHTS


    - Total gold resources on the property including those mineable by open
    pit methods is now 2.34 million ounces


    - Total underground gold resources in the four main ore zones have
    increased to 1.86 million ounces


    - Indicated resources underground have increased to 1.42 million
    ounces, a gain of 137% compared to last year's estimate


    - The percentage of total resources underground in the indicated
    category has increased from 36% to 76%


    - Vertical continuity of the zones has been established to a depth of
    1,350 metres below surface


    - Horizontal continuity on two levels between the two historic mines
    has now been demonstrated by drill intersections




    Ken Stowe, President and CEO, commented, "Since we acquired the Young-Davidson property two years ago, we have essentially achieved our goal of doubling the underground gold resource base. We have clearly established that there are large areas of continuous mineralization both between and below the workings in the two historic mines. An equally important objective has been the conversion of inferred resources to the indicated category and we are very pleased that we now have 1.4 million indicated ounces underground with more to come in 2008. The first priority of our 2008 diamond drill program will be to increase the indicated ounces underground by an additional 0.5 million ounces focusing the drilling in the prospective areas between the two Boundary Zones and the Lucky/Lower YD Zones. Maximizing the number of indicated resource ounces is important as it is these ounces that can be converted into reserves in the upcoming Feasibility Study. The tight spatial distribution of the resources on the property will be beneficial in minimizing the required underground infrastructure."

  • VANCOUVER, Feb 14, 2008 /PRNewswire-FirstCall via COMTEX/ -- Northgate Minerals Corporation (CA:NGXe) (NXG: NXG) announced today that it has reached a tentative agreement on a new three-year collective agreement with the International Union of Operating Engineers Local 115 (the "Union"), representing the 300 production and maintenance employees at its Kemess South mine. The Union's bargaining committee will be unanimously recommending ratification of the tentative agreement to its membership. Voting on the agreement will take place over the next two weeks.
    Ken Stowe, President and CEO, commented, "We are pleased that a tentative agreement has been reached following extensive discussions over the past several months and I would like to commend the two negotiating teams for their tireless efforts throughout this lengthy process."
    NORTHGATE MINERALS CORPORATION is a gold and copper mining company focused on operations and opportunities in the Americas and Australia. The Corporation's principal assets are the Kemess South mine in north-central British Columbia and the Young-Davidson property in northern Ontario. With the proposed acquisition of Perseverance Corporation Limited, the addition of two operating mines will create a leading multi-mine, mid-tier gold producer, with over 400,000 ounces of gold production in 2008. Northgate is listed on the Toronto Stock Exchange under the symbol NGX and on the American Stock Exchange under the symbol NXG.

  • Emerges as an Unhedged Multi-Mine Gold Producer TSX NGX AMEX NXG


    VANCOUVER, Feb 18, 2008 /PRNewswire-FirstCall via COMTEX/ -- Northgate Minerals Corporation (CA:NGX) (NXG: Northgate Exploration Limited) is pleased to announce the successful completion of its acquisition for Perseverance Corporation Ltd. ("Perseverance"), which was originally announced on October 29, 2007 and subsequently approved by Perseverance securityholders in three separate Schemes of Arrangement.
    Ken Stowe, President and CEO, commented, "After a lengthy process, we are extremely pleased to announce the completion of this transaction, which marks an important milestone for Northgate. Our targeted objective has been significant production growth in stable jurisdictions and the Perseverance transaction is exactly that. We are now an unhedged, multi-mine gold producer with three fully permitted operations in Canada and Australia, with combined production of over 400,000 ounces of gold expected in 2008. We are in an excellent position to further our growth through the development and exploration at our existing operations and projects while continuing to evaluate additional acquisition opportunities."
    Northgate will include the results of its newly acquired Australian operations in its consolidated financial results for the period ending March 31, 2008. The company also plans to update its previously released 2008 production guidance to include the Fosterville and Stawell mines acquired in the transaction.
    NORTHGATE MINERALS CORPORATION is a mid-tier gold and copper producer with mining operations, development projects and exploration properties in Canada and Australia. The company is forecasting over 400,000 ounces of unhedged gold production in 2008 and is targeting steady production growth through further acquisition opportunities in stable mining jurisdictions around the world. Northgate is listed on the Toronto Stock Exchange under the symbol NGX and on the American Stock Exchange under the symbol NXG.

  • Ich versuche nochmals, eure Meinungen zu Northgate zu entlocken. Northgate wird/will dieses Jahr mehr als 400´000 Unzen Gold fördern. Da sind 800 Mio Market Cap nicht sehr viel. Leider habe ich nirgens die Kosten entdeckt. Liegt da der Hund begraben? Ich glaube Perseverance hat/hatte hohe Kosten, brachte nur einen geringen Cash-Flow zustande.
    Wer weiss diesbezüglich was?


    Oder ist die Marge genügend gross und die machen jetzt eine Menge Geld und sind ganz einfach ein Kauf ?

  • Zitat

    Original von zwyss
    Ich versuche nochmals, eure Meinungen zu Northgate zu entlocken. Northgate wird/will dieses Jahr mehr als 400´000 Unzen Gold fördern. Da sind 800 Mio Market Cap nicht sehr viel. Leider habe ich nirgens die Kosten entdeckt. Liegt da der Hund begraben? Ich glaube Perseverance hat/hatte hohe Kosten, brachte nur einen geringen Cash-Flow zustande.
    Wer weiss diesbezüglich was?


    Oder ist die Marge genügend gross und die machen jetzt eine Menge Geld und sind ganz einfach ein Kauf ?


    Ich hatte NGX in 2006 und hatte sie damals mit bescheidenem Gewinn verkauft, als ich bei deren umfänglichem Hedge-Buch (Kupfer und Gold)nicht mehr durchgeblickt hatte. Sie haben dann viele Hedges zurückgekauft und das hat den Kurs gedrückt und seitdem nicht mehr angehoben. Soweit ich weiss, haben sie nun für 2008 keine Hedges mehr (2009 und später weiss ich nicht), ausserdem sollten sie schuldenfrei sein. Und sie haben wenig neue Reserven ausgewiesen, stattdessen eben nun Zukauf. Auch diese relative Ressourcenschwäche könnte ein Grund für den enttäuschenden Kursverlauf sein.


    Northgate scheint mir nun wieder ein Kandidat zu sein für einen etwas dem Markt nachlaufenden Wert, könnte also noch sehr interessant werden.2006 waren sie in aller Munde, wurden sogar vom wilden, immens einflussreichen Börsenclown Cramer im US-TV den Kleinanlegern empfohlen. Dann wurde es still um sie. Könnte sich bald wieder ändern...


    grüsse


    auratico

  • Northgate Completes US$257M Deal for Perseverance in Australia


    By Romina Maurino
    19 Feb 2008 at 10:41 AM GMT-05:00


    TORONTO (CP) -- Northgate Minerals Corp. [TSX:NGX] has completed a US$257-million acquisition of Australian miner Perseverance Corp., giving the mid-sized Vancouver firm several more years' worth of resources as its only other producing asset, the Kemess mine in B.C., begins to wind down.


    The all-cash deal also gives Northgate its first international presence and is expected to lead to more than 400,000 ounces of unhedged gold production in 2008.


    Perseverance has an expected 200,000 ounces of annual gold production from two mines in the Australian state of Victoria and holds 7,700 square kilometres of exploration properties.


    The new mines will add much-needed reserves to Northgate, following a B.C. environmental panel's decision in September that an expansion at Kemess North should not be allowed because of ''adverse environmental, social and cultural effects.''


    ''We're near the end of Kemess's mine life, with about three years left now,'' chief financial officer Jon Douglas said in an interview Monday.


    ''Any 12-year mine that you can have is a good mine life, but all mines eventually deplete,'' he said.


    While Northgate would ''have loved to have Kemess North go ahead because it makes very good use of our existing infrastructure there,'' Douglas said, the company would had done the Perseverance deal ''regardless of whether Kemess North had gone ahead or not, simply because we wanted to be more than a one-mine company.''


    ''These were assets that were fairly priced but that there was a lot of upside to them,'' he said.


    Northgate is hoping to increase reserves and efficiency at the two new mines.


    ''In terms of reserve life, one of these mines has about a seven-year reserve life and the other has about a three-year reserve life,'' Douglas said


    ''We're hopeful that we can add significantly to the reserve life of both mines by spending exploration dollars that (Perseverance) really didn't have to spend, and hopefully we can make them both more efficient.''


    The company hasn't announced an exploration budget yet, other than to say it will spend ''significant dollars'' there. An update is expected when the company releases its quarterly results on March 31.


    The friendly takeover is to being paid for out of Northgate's cash on hand and will leave it still holding US$105 million in cash.


    Northgate plans to get started immediately after talking control of the mines Monday, with CEO Ken Stowe in Australia to oversee the deal's completion.


    ''Our targeted objective has been significant production growth in stable jurisdictions, and the Perseverance transaction is exactly that,'' Stowe said in a statement.


    ''We are now an unhedged, multi-mine gold producer with three fully permitted operations in Canada and Australia, with combined production of over 400,000 ounces of gold expected in 2008.''


    The takeover deal was announced last October and subsequently approved by Perseverance security-holders. The combined company will have 2.3 million ounces of proven and probable gold reserves and 250 million pounds of copper reserves.


    The company is also working to develop its Young-Davidson property in northern Ontario into a mine by 2011 and is doing some exploration in the area around the Kemess South. It halted all work on the Kemess North project and took a $32.3-million hit in the third quarter after writing down that asset.


    ''If you looked at the future of Northgate, it's Young-Davidson and it's Australia. And certainly when we're looking at mining jurisdictions that we like - Ontario, Quebec, Australia, certain jurisdictions in South America - all those are placed that we would feel very comfortable operating in,'' Douglas said.


    ''As we look to the future, we'll look to those jurisdictions first.''


    Northgate shares were untraded on the TSX Monday as markets were closed for a provincial holiday. They closed last Friday at $2.95, up six cents or 2%.


    Copyright 2008 The Canadian Press

  • Appointment of Australian Operations Executive General Manager


    VANCOUVER, Feb 25, 2008 /PRNewswire-FirstCall via COMTEX/ -- Northgate Minerals Corporation (CA:NGX) (NXG: Northgate Exploration Limited) is pleased to announce that it has entered into an agreement with MG Mining Services Pty Ltd (MG Mining) to transition to "Owner Mining" at its Fosterville Gold mine near Bendigo, Australia. All underground mining activities at the site had previously been carried out by MG Mining, a privately-owned Australian mining contractor. Under the agreement, all mining activities at the site have immediately been placed under the direct supervision of Northgate's management team at Fosterville and the company expects the transition of mining personnel and equipment from MG Mining to Northgate to be completed by June 30, 2008.
    Northgate is also pleased to announce the appointment of Mr. Luc Guimond to the position of Executive General Manager of its Australian operations effective March 10, 2008. In this role, Mr. Guimond will oversee the integration and management of Northgate's two new underground gold mines in Victoria, Australia. Mr. Guimond brings over 20 years of underground mine management and engineering experience to Northgate's Australia team.
    To assist in the integration of its recently acquired Australian mines, Northgate's Chief Operating Officer, Mr. Peter MacPhail, has relocated to Victoria to take on the position of Managing Director of Northgate Australia Ventures Corporation, a wholly-owned subsidiary of Northgate. Mr. MacPhail and Mr. Guimond will work closely with the existing operating teams at the Fosterville and Stawell mines on various strategic initiatives including an aggressive exploration program at Stawell, the gold recovery enhancement project at Fosterville and the aforementioned conversion to Owner Mining.
    Ken Stowe, President and CEO, commented; "I am very pleased that we have quickly reached an agreement with MG Mining to move to Owner Mining at Fosterville. Northgate considers this to be an important and logical step in the long-term strategic development of the Fosterville Gold mine. At the same time, I would like to thank MG Mining for their considerable efforts over the past two years and their continuing support over the next few months during the transition period."
    NORTHGATE MINERALS CORPORATION is a mid-tier gold and copper producer with mining operations, development projects and exploration properties in Canada and Australia. The company is forecasting over 400,000 ounces of unhedged gold production in 2008 and is targeting steady production growth through further acquisition opportunities in stable mining jurisdictions around the world. Northgate is listed on the Toronto Stock Exchange under the symbol NGX and on the American Stock Exchange under the symbol NXG.

  • Completes acquisition of Australian-based gold miner


    VANCOUVER, Feb 28, 2008 /PRNewswire-FirstCall via COMTEX/ -- (All figures in US dollars except where noted) - Northgate Minerals Corporation (CA:NGX) (NXG: Northgate Exploration Limited) today reported cash flow from operations of $32,914,000 or $0.13 per diluted common share and net earnings of $32,020,000 or $0.13 per diluted common share for the fourth quarter of 2007. Cash flow from operations for all of 2007 was $125,285,000 or $0.49 per diluted common share and net earnings were $38,136,000 or $0.15 per diluted common share.


    Fourth Quarter Highlights


    - On October 29, 2007, Northgate announced its proposal to acquire
    Perseverance Corporation Ltd. ("Perseverance"), an Australian gold
    producer with two fully-permitted gold mines. The deal was approved
    by Perseverance securityholders and closed on February 18, 2008.
    - Northgate closed out its gold hedge book and is now completely
    exposed to future gold price changes.
    - Production of 41,467 ounces of gold and 16.8 million pounds of copper
    from the Kemess South mine.
    - Quarterly gold net cash cost of $18 per ounce and an annual net cash
    cost of negative $22 per ounce of gold for all of 2007.




    Ken Stowe, President and CEO, stated, "All in all, 2007 was another solid production year at Kemess despite a significant modification to the production schedule in the fourth quarter, which was necessitated by the realignment of the main haul road out of the pit. Strong cash flow from operations of $125 million for the year continued to strengthen an already strong balance sheet, thereby allowing us to complete the acquisition of Perseverance with no shareholder dilution. With the closing of the Perseverance deal, we have now achieved a key strategic objective and transformed Northgate into a multi-mine 400,000-ounce per year gold producer with all of our operations in stable jurisdictions. With unhedged gold and copper production in 2008 and record or near-record prices for both metals, we are well positioned for another strong year of cash flows. This will give us the ability to make strategic investments at our new Australian operations while continuing to aggressively develop the Young-Davidson project and look for additional growth opportunities."
    Results of Operations
    Northgate recorded net earnings of $32,020,000 or $0.13 per diluted share in the fourth quarter of 2007 compared with $19,790,000 or $0.09 per diluted share during the corresponding quarter of 2006. For the full year 2007, net earnings were $38,136,000 or $0.15 per diluted share compared with $106,742,000 or $0.48 per diluted share in 2006. Earnings for the fourth quarter and the full year of 2007 included non-cash future income tax recoveries of $2,267,000 and $13,065,000, respectively. Cash flow from operations, after changes in working capital and other items, was $32,914,000 or $0.13 per diluted share in the fourth quarter of 2007 compared with $43,884,000 or $0.20 per diluted share during the same quarter last year. For the full year 2007, cash flow from operations after changes in working capital and other items was $125,285,000 or $0.49 per diluted share compared with $146,612,000 or $0.66 per diluted share in 2006. Per share data is based on the weighted average diluted number of shares outstanding of 255,065,987 and 255,257,756 in the fourth quarter and full year of 2007, respectively. The weighted average diluted number of shares outstanding in the corresponding periods of 2006 was 224,674,332 and 222,892,929, respectively.
    Kemess South Mine Performance
    The Kemess mine posted production of 41,467 ounces of gold and 16.8 million pounds of copper in the fourth quarter of 2007. Metal production was significantly lower than forecast due to lower than expected mill throughput and a 15% copper grade deficit compared to blast hole estimates for the stockpiled, very unusual, high native copper ore that was milled from stockpile in November and December. Milling of this ore and other lower grade stockpiled hypogene ores during November and December was necessitated by the realignment of the main haul road out of the pit due to a crack, which developed in a section of the road. This realignment was completed on January 10, 2008 at which time ore production from the west end of the pit resumed. For all of 2007, Kemess posted gold and copper production of 245,631 ounces and 68.1 million pounds, respectively.
    During the fourth quarter of 2007, approximately 8.0 million tonnes of ore and waste were removed from the open pit compared to 11.0 million tonnes during the corresponding quarter of 2006. As a result of the lower tonnes mined, unit mining costs during the current quarter were unusually high at Cdn$2.37 per tonne compared with Cdn$1.64 per tonne in the same period of 2006. For the full year 2007, mining costs averaged Cdn$1.76 per tonne mined compared with Cdn$1.49 per tonne in 2006.
    Mill availability during the fourth quarter of 2007 averaged 90% and throughput averaged 46,072 tonnes per day (tpd), compared with 91% availability and throughput of 49,645 tpd in the fourth quarter of 2006. Mill throughput was lower in the most recent quarter than it was one year ago due to a variety of operating problems related to processing higher moisture supergene ore from stockpile during the colder winter months. For the full year, Kemess milled approximately 17.8 million tonnes of ore grading 0.627 grams per metric tonne (gr/mt) gold and 0.214% copper, and mill availability averaged 91%, which was the same as 2006.
    Gold and copper recoveries averaged 66% and 75%, respectively, in the fourth quarter of 2007 compared with 72% and 87% in the fourth quarter of 2006. Copper recoveries were significantly lower in the fourth quarter of 2007 than they were in the same quarter of 2006, due to the large quantity of very unusual, high native copper supergene ore with inherently lower copper recovery that was milled from the stockpile in November and December. For the full year, gold and copper recoveries were 68% and 81%, respectively, compared with 69% and 83% in 2006.
    Metal concentrate inventory decreased by 1,000 wet metric tonnes (wmt) to approximately 6,000 wmt during the fourth quarter of 2007. Concentrate inventory is expected to decline through 2008.
    The total unit cost per tonne milled during the fourth quarter of 2007 was Cdn$13.16 (2006 - Cdn$15.58), including Cdn$3.31 (2006 - Cdn$6.48) for marketing costs, which was comprised mainly of treatment and refining costs and transportation fees. The primary reason for the decline in unit cost is the reduction in treatment and refining costs, which are remitted to Xstrata Canada Corporation. Total site operating costs in the fourth quarter of 2007 were Cdn$41.9 million, consistent with costs of Cdn$41.6 million in the fourth quarter of 2006. The net cash cost of production at Kemess in the fourth quarter was $18 per ounce, bringing the average 2007 cash cost to negative $22 per ounce. The net cash cost of gold production for the full year is negative due to the large by-product credit derived from copper production, which is credited against site operating costs for purposes of calculating cash costs.

  • continues unaffected


    VANCOUVER, March 4, 2008 /PRNewswire-FirstCall via COMTEX/ -- Northgate Minerals Corporation (CA:NGX) (NXG: Northgate Exploration Limited) announced today that it has received notification from the International Union of Operating Engineers Local 115 (the "Union") that the unionized employees at the Kemess mine voted to turn down the recently negotiated tentative collective agreement. The Union's bargaining committee had unanimously recommended ratification of the agreement to its membership. Further discussions with the assistance of a mediator are scheduled to begin within the next week. All operations at the site continue to run normally, with no disruption to scheduled production.
    NORTHGATE MINERALS CORPORATION is a mid-tier gold and copper producer with mining operations, development projects and exploration properties in Canada and Australia. The company is forecasting over 400,000 ounces of unhedged gold production in 2008 and is targeting steady production growth through further acquisition opportunities in stable mining jurisdictions around the world. Northgate is listed on the Toronto Stock Exchange under the symbol NGX and on the American Stock Exchange under the symbol NXG.
    FORWARD-LOOKING STATEMENTS: This news release contains certain "forward-looking statements" and "forward-looking information" as defined under applicable Canadian and U.S. securities laws. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," or "continue" or the negative thereof or variations thereon or similar terminology. Forward-looking statements are necessarily based on a number of estimates and assumptions that are inherently subject to significant business, economic and competitive uncertainties and contingencies. Certain of the statements made herein by Northgate Minerals Corporation ("Northgate") including those related to future financial and operating performance and those related to Northgate's future exploration and development activities, are forward-looking and subject to important risk factors and uncertainties, many of which are beyond the corporations' ability to control or predict. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements. Such factors include, among others: gold price volatility; fluctuations in foreign exchange rates and interest rates, impact of any hedging activities; discrepancies between actual and estimated production, between actual and estimated reserves and resources and between actual and estimated metallurgical recoveries; costs of production, capital expenditures, costs and timing of construction and the development of new deposits, and success of exploration activities and permitting time lines; In addition, the factors described or referred to in the section entitled "Risk Factors" in Northgate's Annual Information Form for the year ended December 31, 2006 or under the heading "Risks and Uncertainties" in Northgate's 2006 annual report, both of which are available on SEDAR at http://www.sedar.com, and which should be reviewed in conjunction with this document. Accordingly, readers should not place undue reliance on forward-looking statements. Neither corporation undertakes any obligation to update publicly or release any revisions to forward-looking statements to reflect events or circumstances after the date of this document or to reflect the occurrence of unanticipated events, except in each case as required by law.
    SOURCE Northgate Minerals Corporation

  • project


    VANCOUVER, March 7, 2008 /PRNewswire-FirstCall via COMTEX/ -- Northgate Minerals Corporation (CA:NGX) (NXG: Northgate Exploration Limited) confirmed today that the Federal and Provincial Ministries of Environment have announced their decision to accept the recommendation report from the Joint Federal/Provincial Review Panel for the Kemess North project, in which the Panel recommended that the project not be allowed to proceed in its present form. The Ministers' decision will have no effect on Northgate's financial performance in 2008 as the company wrote off the full carrying value of its investment in the Kemess North project in the third quarter of 2007 after the Panel submitted its recommendation report on September 17, 2007.
    Details of the final decision on the Kemess North project can be found on the following websites, including the Environmental Ministers' news release issued on March 7, 2008.


    Canadian Environmental Assessment Agency:
    http://www.ceaa-acee.gc.ca/050/viewer_e.cfm?cear_id=3394


    BC Environmental Assessment Office:
    http://www.eao.gov.bc.ca/epic/…pic_project_home_226.html



    NORTHGATE MINERALS CORPORATION is a mid-tier gold and copper producer with mining operations, development projects and exploration properties in Canada and Australia. The company is forecasting over 400,000 ounces of unhedged gold production in 2008 and is targeting steady production growth through further acquisition opportunities in stable mining jurisdictions around the world. Northgate is listed on the Toronto Stock Exchange under the symbol NGX and on the American Stock Exchange under the symbol NXG.

  • TSX NGX AMEX NXG


    VANCOUVER, March 17, 2008 /PRNewswire-FirstCall via COMTEX/ -- Northgate Minerals Corporation (CA:NGX) (NXG: Northgate Exploration Limited) reported today that it has reached a tentative three-year collective agreement (the "Agreement") with the International Union of Operating Engineers Local 115 (the "Union"), representing the 300 production and maintenance employees at its Kemess South mine. The terms of the tentative Agreement were accepted by both the Union's bargaining committee and Northgate following a recommendation made by a government appointed mediator. The Union's bargaining committee has unanimously recommended ratification of the Agreement to its membership who will vote on the Agreement over the next three weeks. All operations at Kemess South continue to run normally, with no disruption to scheduled production.
    NORTHGATE MINERALS CORPORATION is a mid-tier gold and copper producer with mining operations, development projects and exploration properties in Canada and Australia. The company is forecasting over 400,000 ounces of unhedged gold production in 2008 and is targeting growth through further acquisitions in stable mining jurisdictions around the world. Northgate is listed on the Toronto Stock Exchange under the symbol NGX and on the American Stock Exchange under the symbol NXG.

  • TSX: NGX AMEX: NXG


    VANCOUVER, March 17, 2008 /PRNewswire-FirstCall via COMTEX/ -- Northgate Minerals Corporation (CA:NGX) (NXG: Northgate Exploration Limited) today reported final audited revenue and net earnings for 2007. These figures include a final audit adjustment made subsequent to the release of the Corporation's unaudited fourth quarter financial statements on February 28, 2008. As a result of the adjustment, Northgate's fourth quarter revenue has increased to $95.6 million from $93.7 million and net earnings has increased to $33.3 million from $32.0 million as previously reported. For the full year, Northgate's final audited revenue and net earnings are $337.5 million and $39.4 million, respectively. Cash flow for the fourth quarter and the full year remains unchanged as the adjustment was non-cash in nature.
    Northgate will file its complete 2007 annual financial statements with both the Canadian and US Securities regulatory authorities on SEDAR and EDGAR by March 28, 2008 and expects to release its first quarter 2008 financial results after market close on May 1, 2008.
    NORTHGATE MINERALS CORPORATION is a mid-tier gold and copper producer with mining operations, development projects and exploration properties in Canada and Australia. The company is forecasting over 400,000 ounces of unhedged gold production in 2008 and is targeting growth through further acquisitions in stable mining jurisdictions around the world. Northgate is listed on the Toronto Stock Exchange under the symbol NGX and on the American Stock Exchange under the symbol NXG.

  • Gerüchteweise war/ist Northgate eines jener mittelgrossen Minenunternehmen, das in den letzten Monaten mit am stärksten von aggressiven Shortsellern und nackten Leerverkäufen attackiert wurde.
    Der Kurs rutschte zeitweilig trotz überzeugender Produktionszahlen ins Nirwana. Nun aber zeigt sich seit einiger Zeit eine interessante Gegenbewegung. Ich hatte sie schon mal 2006 und bin nun zumindest wieder interessiert und beobachte die Sache. Heute hat sie in einem allgemein freundlichen Umfeld gleich einen Satz nach oben um 10% gemacht.
    Interessant ist die Sache auch insofern, als es ja bald deutlich verschärfte Regeln bzgl. Shortselling geben wird.
    Zur Erinnerung:


    http://www.bloomberg.com/apps/…d=aFM9Gu7lm6W8&refer=home



    grüsse
    auratico

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