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AuRico Gold Provides Guidance Update And Announces Appointment Of Vice President Operations For Mexico

"While we have met with operational challenges at the Ocampo mine in 2012, we have launched initiatives to address those challenges and return Ocampo to more stable and reliable production levels. We particularly look forward to AuRico's organic growth profile as we expect all our mines to increase gold output, primarily driven by the increasing production at the Young-Davidson mine." stated Scott Perry, President and CEO. He continued, "We have repositioned the Company to deliver improvements in operating performance and provide long-term sustainable growth that is supported by a strong financial foundation. For the remainder of 2012 and into 2013 and beyond, AuRico fully anticipates meeting its targets and creating long term value for our shareholders."

Two Year Guidance (2012 to 2013)

Other than the revisions noted above, the Company believes that estimates at all assets have been revised appropriately and no further updates are anticipated. Consistent with previous years, the Company intends to release updated three-year operational and capital expenditure estimates for the years 2013 to 2015, along with updated reserves and resources, at the end of March 2013.

AuRico's two-year operation and capital expenditure estimates for the years 2012 to 2013, inclusive of the guidance revisions are illustrated in the following table.
                                            2012                 2013
    Production                          Gold eq. Oz.         Gold eq. Oz.
    Ocampo                           115,000 to 125,000   125,000 to 155,000
    El Chanate                        78,000 to 88,000     75,000 to 85,000
    Young-Davidson                    55,000 to 65,000    135,000 to 155,000
    Total                             248,000-278,000     335,000 to 395,000
                                            2012                 2013
    Cash Costs                        Per Gold eq. oz.     Per Gold eq. oz.
    Ocampo                              $775 to $875         $650 to $750
    El Chanate                          $430 to $460         $455 to $485
    Young-Davidson                      $550 to $650         $500 to $550
    Total                               $610 to $695         $550 to $610
                                            2012                 2013
    Capex (excluding exploration)      US$ (millions)       US$ (millions)
    Ocampo                               Up to $70            Up to $75
    El Chanate                           Up to $49            Up to $40
    Young-Davidson                       Up to $240           Up to $130
    Total                                Up to $359           Up to $245
    1. Production and cash costs for the Ocampo mine and on a consolidated
    basis are calculated on a per gold equivalent ounce basis. Gold
    equivalent production and cash costs are based on a gold equivalency
    ratio of 55:1 unless otherwise indicated.
    2. Cash costs for the Young-Davidson and El Chanate mines are
    calculated on a per gold ounce basis, using by-product revenues as a
    cost credit. Production includes gold ounces only.
    3. Forecasted cash costs at the Young-Davidson mine do not include
    pre-production ounces reported prior to the declaration of commercial
    4. The following currency assumptions were used to forecast 2012
    - 12:1 Mexican pesos to the US dollar
    - 1:1 Canadian dollars to the US dollar
    5. See the Non-GAAP Measures section on page26 of the Management's
    Discussion and Analysis for the year ended December 31, 2011

About AuRico Gold

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