Officials of Alta Gold (NASDAQ) and Nerco (NYSE) held a dedication ceremony in early January to mark the opening of the 4,000-ton-per-day Elder Creek gold mine near Battle Mountain, Nev.
The new mine, expected to produce about 35,000 oz. this year, is a 50-50 joint venture between Alta Gold and Nerco Minerals, a wholly owned subsidiary of Nerco. Although Alta Gold is operator, Nerco made the initial discovery in 1985 while conducting an exploration program in the Shoshone Range.
A joint venture between the two companies was formed in 1988 which led to development of the Elder Creek mine. In a related joint venture with Alta Gold, Nerco as operator is continuing exploration activities in the surrounding area which is considered highly prospective for additional discoveries.
At the dedication ceremonies, Alta Gold President Stuart Havenstrite acknowledged Nerco’s role in making the discovery. And Thomas Albanese, chief operating officer for Nerco Minerals, commended Alta Gold’s performance as operator.
“We are impressed with Alta Gold for bringing the project into production within one year of approving the final feasibility study, and within five months of permitting,” he stated.
An open pit, heap leach operation that requires crushing and agglomerating, the Elder Creek mine began processing operations last November and began producing metals in January. The mine project, which can be reached by road, has current reserves of 1.8 million tons averaging 0.046 oz. gold per ton.
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