The Mt. Hamilton mine near Ely, Nev., yielded 2,700 oz. gold in February, its first month of commercial production.
The open-pit, heap-leach operation is within the Battle Mountain trend and is owned and operated by Vancouver-based Rea Gold (TSE).
Production from the NE Seligman zone averaged 0.08 oz. gold per ton, which is double what was expected. The improvement is attributed to high-grade vertical feeder veins.
Rodney Shier, treasurer and chief financial officer of Rea, notes that the company is meeting its budgeted operating cost of US$237 per oz. An exploration program, including drilling, will soon begin in an attempt to expand reserves. Minable reserves stand at 9 million tons averaging 0.052 oz. gold and 0.38 oz. silver per ton.
Rea is preparing a new operating plan for Mt. Hamilton, with the objective of increasing annual production beyond the projected 55,000 oz. Meanwhile, on its Bissett gold project in Manitoba, Rea expects an independent feasibility study to be completed by July of this year.
Be the first to comment on "Rea producing at Mt. Hamilton"