Chelsea output second highest

Approximately 1,100 tons of ore grading 0.38 oz gold per ton was processed by Chelsea Resources (VSE) during May at its Spotted Horse mine near Lewistown, Mont. Fernando Nuflo- Moya, a company director, says it was the “second highest individual output since the operation was started” and he foresees gold output increasing by year-end as additional working places are opened up. Chelsea has renegotiated a reduction in the 17.5% interest held by Cimarron Exploration in the Appaloosa Joint Venture and Spotted Horse mine. Cimarron is now entitled to a 4% undivided royalty interest in all gold produced from the property above 550 oz per month. As part of the settlement, Cimarron has agreed to release any interest it may have in the joint venture or any of its assets in favor of Chelsea.