Timmins Gold reports massive increase in income as gold production ramps up at San Francisco Mine

Timmins Gold (TSE:TMM) reported solid fourth quarter and full year results for the period ending March 31, 2011 this morning as its gold production continued to ramp up at the San Francisco Mine in Mexico.
San Francisco is an open pit heap leach operation that is forecast to produce just under 540,000 ounces of gold between 2011 and 2016 at a life of mine cash cost of approximately US$489 per ounce. Commercial production at the mine, which commenced in April 2010, recently increased after a completed expansion which will allow the mine to operate at an annual production rate of 100,000 ounces of gold per year.
Income from operations was approximately $35.1 million in fiscal 2011, compared to a loss from operations in fiscal 2010 of $6.55 million.  The big swing in income was due to increasing production at San Francisco coupled with an average realized gold price of US$1,344 per ounce.
During the fiscal 2011 year, Timmins produced 65,786 ounces of gold and sold 62,761 ounces of gold, generating revenues of $84.35 million. Cash flow from operations surged to $43.38 million. Cash cost per ounce in fiscal 2011 was US$530 per gold ounce.
"The Company's first year of commercial production has been a tremendous success. We've seen operational improvements on a quarter over quarter basis, and with nine drill rigs currently on site have embarked on an aggressive exploration program to increase the mine life at San Francisco," stated Mr. Bruce Bragagnolo, CEO of Timmins Gold.