Nevsun Resources posts above-plan Q3 production, expects level of output to cease

Nevsun Resources (TSE:NSU)(NYSE MKT:NSU)(AMEX:NSU) says it produced 98,000 ounces of gold in the third quarter, again above expectations as a result of higher than anticipated grades in the transitional oxide zone.
The junior miner said, however, that it does not expect this level of production to continue as the transitional zone is nearly exhausted, and the mill will start processing lower grade Harena ore in the fourth quarter.
The company's stock fell almost 4.5 per cent to $4.51 this afternoon in Toronto.

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Vancouver-based Nevsun owns 60 per cent of the Bisha mine in Eritrea, which started gold production in February of last year, and is scheduled to begin copper/gold output in 2013.
Nevsun said it expects Bisha to meet or exceed the top end of its full year production guidance of 280,000 to 300,000 ounces of gold.
"The mine performed well in the quarter, with above plan milled grade and recovery," the company said in a statement. "Waste mining to pre-strip Harena ore and copper supergene progressed to plan. Ore mining decreased relative to the previous quarter during the June to September rainy season."
The miner expects to announce its full third quarter results on November 8.
In addition to its ongoing Bisha operations and capital expansion, Nevsun said it is continuing its due diligence to expand in both gold and copper projects in Africa, the Americas and Europe.