FOR IMMEDIATE RELEASE NEWS
COLORADO SPRINGS, CO, United States, via ETELIGIS INC., 12/18/2014 – – Gold Resource Corporation (NYSE MKT: GORO) (the Company) announced today that it has entered into a lease agreement with an option to buy the “Goose” gold property located in Nevada held by Nevada Eagle LLC. Gold Resource Corporation is a low-cost gold and silver producer with operations in southern Mexico. The Company has returned over $101 million to shareholders in monthly dividends since declaring production July 1, 2010, and offers shareholders the option to convert their cash dividends into physical gold and silver and take delivery.
The Goose claims adjoin the Company’s Radar property optioned from Altan Nevada Minerals Limited (see September 2014 Radar press release) to the north and adds approximately 100 acres to the Company’s Nevada Mining Unit. This Mining Unit is located in south central Nevada’s Walker Lane Mineral Belt in Mineral and Nye Counties. It is immediately adjacent to the former gold-silver-mercury past producing Paradise Peak Mine, near the Round Mountain and Rawhide Mines, which together have produced over 15 million ounces of gold over a thirty year period.
The Goose lease includes 5 mining claims with annual lease payments and a 2% net smelter return royalty (NSR) in favor of Nevada Eagle LLC on future production. At its discretion during the lease term, Gold Resource Corporation has the right to purchase a 100% interest in the Goose claims for $175,000. In addition, the Company has the option to buy down the NSR by 1.5% for $1,400,000 and has a first right of refusal on the remaining 0.5% NSR.
The Goose claims cover “Newman Ridge”, a mountain located directly west of the past producing Paradise Peak mine. Previous mapping in the area by Paradise Peak mine geologists revealed lithologic units and hydrothermal alteration assemblages that are identical to those in the Paradise Peak mine area.
“The Goose claims provide additional and exciting early stage gold exploration exposure in the Walker Lane gold producing belt,” stated Gold Resource Corporation’s CEO and President, Mr. Jason Reid. “The Goose lease is our Nevada Mining Unit’s second exploration property acquisition in three months. We continue to look at additional property opportunities to complement our producing Oaxaca Mining Unit in Mexico.”
Gold Resource Corporation’s Vice President of Exploration, Mr. Barry Devlin stated, “The Goose claims are highly prospective with excellent potential for discovery of a bulk tonnage replacement-type gold deposit similar to other gold deposits historically mined in the Paradise Peak district.”
Gold Resource Corporation is a mining company focused on production and pursuing development of gold and silver projects that feature low operating costs and produce high returns on capital. The Company has 100% interest in six potential high-grade gold and silver properties in Mexico’s southern state of Oaxaca. The Company has 54,179,369 shares outstanding and no warrants. Gold Resource Corporation offers shareholders the option to convert their cash dividends into physical gold and silver and take delivery. For more information, please visit GRC’s website, located at www.Goldresourcecorp.com and read the Company’s 10-K for an understanding of the risk factors involved.
This press release contains forward-looking statements that involve risks and uncertainties. The statements contained in this press release that are not purely historical are forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. When used in this press release, the words “plan”, “target”, "anticipate," "believe," "estimate," "intend" and "expect" and similar expressions are intended to identify such forward-looking statements. Such forward-looking statements include, without limitation, the statements regarding Gold Resource Corporation’s strategy, future plans for production, future expenses and costs, future liquidity and capital resources, and estimates of mineralized material. All forward-looking statements in this press release are based upon information available to Gold Resource Corporation on the date of this press release, and the company assumes no obligation to update any such forward-looking statements. Forward looking statements involve a number of risks and uncertainties, and there can be no assurance that such statements will prove to be accurate. The Company’s actual results could differ materially from those discussed in this press release. In particular, there can be no assurance that production will continue at any specific rate. Factors that could cause or contribute to such differences include, but are not limited to, those discussed in the Company’s 10-K filed with the SEC.
SOURCE: Gold Resource Corporation