Alamos Gold's (TSE:AGI) Mulatos Mine Has Production Loss of 5% in Q4

Alamos Gold (TSE:AGI) has bad news for shareholders as its flagship Mulatos Mine in Mexico has a loss in production in the fourth quarter of 5 percent.

That didn't even reach the low end of estimates of 160,000-175,000 ounces of gold produced for the all of 2010, ending at only 156,000 ounces. For the quarter it fell from 48,000 ounces in 2009 to 45,800 ounces in 2010.

Chief Executive Officer John McCluskey said in a statement, "Operationally, 2010 was a very challenging year at the Mulatos Mine."

Taking that together with the other bad news released last month that as measured by ounce, the cash operating costs for 2011 will be higher, and the company will experiencing lower grades as well.

Production for Alamos is expected to remain flat throughout 2011.