BLM issues EIS for Olinghouse

The U.S. Bureau of Land Management (BLM)

has issued the final environmental impact statement for the Olinghouse gold project near Reno, Nev.

Now that the BLM has approved its plan of operations, Alta Gold (ALTA-Q) must wait through a final 30-day comment period before the BLM issues its record of decision.

The company is also in the final stages of debt financing for the US$15 million project, says Alta President Robert Platt. Once financing is arranged, the company can begin site preparations and construction on the open-pit, heap-leach mine.

Alta expects to produce 100,000 oz. gold per year for the next five years at a cash cost of less than US$200 per oz. Proven and probable reserves stand at 500,000 oz. gold (12 million tons grading 0.04 oz. per ton), calculated using a gold price of US$300 per oz.

The company anticipates breaking ground in May, with the first gold poured by August.