Rye Patch Gold (RPM.V) is in the final stages of commissioning and ramping up its new Florida Canyon gold mine in Nevada. The total gold production was just 485 ounces in April, but increased to almost 3,100 ounces of gold in May, and CEO Bill Howald is obviously very pleased with the developments.
In May, the company mined a total of 1.07 million tonnes, of which in excess of 500,000 tonnes were delivered to the crusher with a slightly higher tonnage being placed on the leach pad. The 3,094 ounces of gold that have been poured in May have now been sold as part of the forward sale contract at $1275 per ounce.
Rye Patch Gold now expects to be in commercial production in the third quarter of this year, but has now also completed a C$10M bought deal at C$0.26, to top up its treasury and to have some sort of ‘cushion’. Now it’s up to Rye Patch’ technical team to live up to the promises and avoid a Midway Gold scenario.