AuRico Gold Reports Sixth Consecutive Quarter of Production Growth

For many gold mining companies 2013 was a disaster, but not for AuRico Gold which reported its sixth consecutive quarter of production growth at its Young-Davidson mine in Matachewan, Ontario and El Chanate Mexican operations. Both mines continue to report solid production results. 

On January 3, 2014, the Board of Directors declared the company's quarterly dividend payment of $0.04 per share for the fourth quarter ended December 31, 2013, payable on January 29, 2014 to shareholders of record at the close of business on January 14, 2014. Further information on the Company's dividend reinvestment plan (DRIP) is available through the following link: www.auricogold.com/DRIP.

 "We are pleased to report our sixth consecutive quarter of company-wide production growth and annual production results that are in-line with guidance estimates. Young Davidson is well positioned to drive continued growth in company-wide gold production as the underground operations continue to ramp-up productivity levels over the coming years," said Scott Perry, President and CEO of AuRico. "Underpinning our asset base is a strong balance sheet and a management team that is focused on creating shareholder value."

AuRico had been operating an open pit mine at its Matachewan, Ontario site since September, 2012 and brought its underground mine into commercial production after the shaft hoisting infrastructure was commissioned in October 31, 2013. During the first two months of commercial production, underground unit mining costs were approximately US $39 per tonne resulting in underground production cash costs of US$663 per ounce.

The price of gold fluctuated between US$1,699 on January 2, 2013 and US$1240 on December 31, 2013.

Total gold production for AuRico Young-Davidson site during 2013 was 120,738 ounces. Over the fourth quarter AuRico increased production to 33,106 oz. compared to 30,099 for Q3, 29, 252 oz.in Q2 and 28,281 oz. in Q.1.

The cost of production for the open pit operation was significantly higher in Q4 at US$983 per ounce compared to US $666 in Q3, $716 in Q2 and US $694 Q1. The overall average cost for 2013 was $757.

The total cost of production for 2013 of combined open pit and underground mine was US$744 per oz. arising out of a high cost of US$850 per oz. in Q4, $US666 per oz. in Q3, $US716 in Q2 and $US694 in Q1.

The El Chanate mine in Mexico produced a total of 71,864 oz. in 2013 and had average annual cost of $592 over 2013. The combined totals for Young-Davidson and El Chanate for 2013 are gold produced 192,601 oz. at an average production cos to of  $676 per oz..

The performance on the stock market was mixed in 2013 from a high of $8.53 to a low of $3.85 in late September, the company’s shares have rallied in the first two weeks of 2014 to $4.89

Due to the lower metal price environment currently being experienced, the AuRico will be conducting net realizable value testing on its ore inventories.  These tests may result in the need to recognize a net realizable value adjustment on these inventories at December 31.  In addition, AuRico will be performing its annual impairment test utilizing updated economic and operational factors, which may result in the need to record impairment adjustments.

The Company expects to issue the following updates during the first quarter of 2014:

• 2014 Operational Guidance (first week of February)
• 2013 Reserves and Resources (first week of March)
• Fourth Quarter and Annual Financial results (March 3)

AuRico Gold is a leading Canadian gold producer with mines and projects in Canada and Mexico. The company is focused on its core operations including the Young-Davidson gold mine in northern Ontario and the El Chanate mine in Sonora State, Mexico. AuRico's project pipeline also includes advanced development opportunities in Canada and Mexico.

For more information visit www.auricogold.com  or contact:

Scott Perry
President and Chief Executive Officer
AuRico Gold Inc.
1-647-260-8880

 Anne Day
Vice President, Investor Relations and Communications
AuRico Gold Inc.
1-647-260-8880