The board of directors of Hengxing Gold Holding Company Limited announced the operational updates for the fourth quarter of 2015 of its Gold Mountain Mine. Based on the unaudited operational data of the Group and information currently available to the company, the Group's Gold Mountain Mine crushed and processed approximately 1,152,248 tonnes of ore and produced approximately 12,472.4 ounces (equivalent to approximately 388kg) of gold during the fourth quarter of 2015, approximately 111% and 149% greater than the figures for the same period last year. More importantly, the all-in gold production cost for the full year of 2015 is further reduced to approximately USD 850/oz, as a result of enhanced production process and cost control measures.

The company has continued its efforts to improve the durability of key wearable components, such as the liners of the coarse crushers, leading to better ore crushing results. However it has still yet to meet the final particle size of P80-6.3 mm as per the designed specifications required to reach the optimal recovery rate determined by the feasibility study report and warranted by the crushing equipment supplier.