Gold Resource Corporation Leases Nevada Radar Property From Altan Nevada Minerals Limited
COLORADO SPRINGS, CO--(Marketwired - Sep 10, 2014) - Gold Resource Corp. (
The Radar project covers an area of approximately 3,550 acres in central Nevada in the Walker Lane Mineral Belt in Mineral and Nye Counties, Nevada. Radar 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. Radar is also approximately 17 miles south of the Bruner Gold Project in which the Company is an 18% shareholder of Canamex Resources Corp. who holds an interest in Bruner.
The Radar lease includes 178 mining claims, requires annual lease payments, annual work commitments and a 3% net smelter return royalty (NSR) in favor of Altan Nevada on future production. At its discretion during the lease term, Gold Resource Corp. has the right to purchase a 100% interest in the Radar property's mining claims for $1,500,000. In addition, the Company has the option to buy down the NSR by 1% for $1,000,000 and has a first right of refusal on the remaining 2% NSR.
"We believe the Radar Property provides excellent early stage gold exploration exposure in an historic and prolific gold producing belt," stated Gold Resource Corp.'s CEO and President, Mr. Jason Reid. "With the Radar lease we are establishing our new Nevada Mining Unit, and we believe it will complement our producing Oaxaca Mining Unit in Mexico since both venues are located in mining friendly jurisdictions. We are pleased to have come to an agreement with Altan Nevada and look forward to exploring previously untested gold potential at Radar."
Gold Resource Corp.'s Vice President of Exploration, Mr. Barry Devlin stated, "At Radar, a suite of geologic features and physicochemical conditions are present for the formation of both replacement-type and bonanza-grade vein-type gold deposits similar to the Paradise Peak and Goldfield mines. These mines are also in the Walker Lane Mineral Belt and well known for their significant and high-grade gold-silver production. The similarity in alteration, geochemistry, and structural fabric to Paradise Peak and Goldfield indicate excellent potential for discovery of a new gold-silver deposit at Radar."
About GRC:
Gold Resource Corp. 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 Corp. 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.
About Altan Nevada:
Altan Nevada is a leading exploration innovator focused on the discovery of large-scale ore systems in under-explored districts of Nevada, USA. The Company's holdings in Nevada currently total more than 15,002 hectares. Projects include two potential district-scale extensions to the north Carlin Gold Trend, three Yerington District copper-gold targets and three large-scale gold alteration systems along the Walker Lane lineament in central Nevada.
Cautionary Statements:
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 Corp.'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 Corp. 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.