NEW YORK, April 30, 2021 /PRNewswire/ — Gold prices remained stable on Thursday after recent economic data indicated that the U.S. is in a strong recovery mode. According to the U.S. Gross Domestic Product, the country has witnessed an economic growth rate of 6.4% in the first quarter of 2021. Despite the best growth reading in decades, the data missed expectations; according to consensus figures, economists were expecting to see robust growth of 6.8%. “The increase in real GDP in the first quarter reflected increases in personal consumption expenditures (PCE), nonresidential fixed investment, federal government spending, residential fixed investment, and state and local government spending that were partly offset by decreases in private inventory investment and exports,” the report said. Gold Mountain Mining Corp. (TSX-V: GMTN) (OTC: GMTNF), Coeur Mining, Inc. (NYSE: CDE), B2Gold Corp. (NYSE: BTG), Sandstorm Gold Ltd. (NYSE: SAND), Great Panther Mining Limited (NYSE: GPL)
In addition, the current presidential administration is expected to lay out its new economic plan, which would include trillions of dollars in spending. This week, President Biden held his address to Congress, discussing the American Infrastructure Plan, which proposes spending USD 2 Trillion to upgrade the nation’s crumbling infrastructure. President Biden also highlighted that the plan would provide high-speed internet access for rural Americans, improve the power grid and develop green energy to combat climate change. “You can’t have a better environment for gold. The government wants to spend more money and the central bank is going to keep interest rates low,” Adam Button, Chief Currency Strategist at Forexlive.com, explained according to Kitco. “It is surprising that we don’t see a bigger move in gold prices.”
Gold Mountain Mining Corp. (TSX-V: GMTN) (OTCQB: GMTNF) just announced breaking news that, “it has received its Notice of Departure (“NoD”) to begin mine construction at its 100% owned Elk Gold Project located near Merritt, BC. The Company anticipates construction to begin in May 2021 and is the first major operating catalyst to ore delivery in Q4 2021.
– On April 29, the Company received authorization from the Ministry of Mines to begin construction and upgrades required to put the mine back into production.
– This milestone is inline with the Company’s Q2 forecast and is a major catalyst to preparing the site for ore mining and delivery.
– The Company has resolved the remaining Information Requests from the Ministry of Energy, Mines and Low Carbon Innovation (“EMLI”) and the Ministry of Forests, Lands, Natural Resource Operations and Rural Development (“FLNROD”).
– Once all Information Requests have been accepted, it is anticipated the Permit Amendment will be sent up for final approval.
“Feedback from institutions has always been that our projected timelines are aggressive and might be difficult to achieve”, commented Kevin Smith, CEO of Gold Mountain. “Receiving this Notice of Departure allows us to take the critical steps of upgrading our existing water management system, installing a weigh scale, as well as leveraging a gravel borrow to start stripping waste from our initial pit and repurpose it into aggregate needed to resurface roads throughout the property. By getting into construction early, we will be ready to hit the ground running once our various mine permit amendments are approved. Since acquiring this project, we were very clear about our intent to quickly put this mine back into production, with efficient deployment of capital. Management intends to continue maintaining our strong treasury, while pushing the pace of project advancement and delivering key milestones, week after week. With the snow on site nearly gone, our mine construction partner, Nhwelmen-Lake LP, has been notified to begin mobilizing their equipment, in anticipation of developing BC’s next high grade Gold and Silver producer.”
Notice of Departure
The NoD is an authorization allowing the Company to begin construction and site preparation at the Elk Gold Project under Gold Mountain’s existing M-199 mine permit. This milestone was achieved on-time and adheres to the Company’s forecasted schedule of ore mining and delivery to its ore purchase partner, New Gold Inc., in Q4 of 2021.
Environment and Sustainability
The NoD includes permission for the Company to facilitate a “gravel borrow” at the Elk Gold Project. This authorization allows Gold Mountain to begin waste rock mining operations where the material can be recycled and reused for road construction. With this permission, the Company avoids the need to purchase and haul additional material to site, mitigating high capital costs, carbon emissions, and wasteful mining procedures.
Following the issuance of the NoD, Nhwelmen-Lake LP, the Company’s mining partners, will begin mobilizing the equipment needed to begin constructing roads, a site offices, support facilities and upgrading the projects water management system.
Gold Mountain has continued to advance it’s Mine Permit amendment (the “Mine Permit ”) with the necessary regulators to adhere to it’s aggressive timelines. Currently, the Company has addressed all round 2 questions from the EMLI and FLNROD. The permitting team is now cohesively working with the Ministry of Environment and Climate Change Strategy to address its final information requests for the receipt of the Effluent Discharge Permit.
Additionally, the Company continues to emphasize and foster it’s relationships with Indegenous Communities in the region and has made significant progress in developing strong relationships. Gold Mountain looks forward to sustaining it’s rapport with the communities and building a working relationship built on transparency and respect.”
Coeur Mining, Inc. (NYSE: CDE) announced last year, details of the expansion of its Rochester silver-gold mine in Nevada, reflecting significant reserve growth and the benefits of a larger-scale expansion project. “The expansion of Rochester represents the Company’s single largest organic growth opportunity,” said Mitchell J. Krebs, Coeur’s President and Chief Executive Officer. “The combination of significant reserve growth, the scope of the expansion project to leverage economies of scale and the benefit of higher and faster silver recoveries from HPGR technology is expected to generate an internal rate of return of over 30%. Importantly, the project is supported by a technically sound foundation with robust economics that helps drive an anticipated step-change in Coeur’s cash flow profile.”
B2Gold Corp. (NYSE: BTG) announced last year that its entire inventory of limited-edition Rhino Gold Bars have been sold, generating approximately USD 1.7 Million to support community-backed black rhino conservation efforts in northwest Namibia. All dollar amounts are in United Sates Dollars unless otherwise indicated. The Rhino Gold Bar initiative began in early 2020 when B2Gold announced the ground-breaking donation of 1,000 ounces of gold produced from the Company’s Otjikoto mine in Namibia to support the preservation of the black rhino population in the country and the communities that protect them. Commenting on the Rhino Gold Bar initiative, B2Gold President and CEO Clive Johnson said: “We are mining gold that was deposited in Namibia over 500 million years ago and using it to save an animal that has been roaming the planet for 50 million years. This is a whole new way of looking at conservation financing—creative conservation for the future of our planet.”
Sandstorm Gold Ltd. (NYSE: SAND) announced earlier this year a 20% expansion of the mine and mill throughput at Fruta del Norte. Lundin Gold plans to commence construction in the first quarter of 2021. The expansion is expected to be completed with minimal disruption to operations and funded by cash flow from operations. Gold production guidance for Fruta del Norte in 2021 is estimated between 380,000 to 420,000 ounces. Mill production is estimated at an average of 3,500 tpd until the fourth quarter when production is planned to ramp up to 4,200 tpd following completion of the planned mill expansion. In 2021, Lundin Gold has planned an USD 11 Million, 9,000 metre drilling program on two high priority exploration targets.
Great Panther Mining Limited (NYSE: GPL) announced on January 14th, its fourth quarter (Q4) and annual 2020 production results from its three 100% owned mines: Tucano in Brazil, and Topia and the Guanajuato Mine Complex (GMC) in Mexico. “We delivered on our 2020 production guidance and produced more gold last year than in 2019, despite the challenges of COVID-19. Our teams in Brazil, Mexico, and Peru did a tremendous job prioritizing health and safety, while still achieving profitable production and executing our exploration programs,” stated Rob Henderson, President and CEO. “The Mineral Reserve and Resource update for our flagship Tucano mine, announced in December, has allowed for an extension of the life of the Urucum and Taperaba pits, and the latest mine plan will see a transition to mining higher grades in 2022 and 2023. Exploration activity at Tucano in 2021 is planned to ramp up, with a focus on identifying regional opportunities, proving up the underground potential and expanding the existing open pits. In 2021, consolidated gold equivalent production from the Tucano, GMC and Topia mines is expected to be 135,000 to 150,000 Au eq oz.”
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Originally Appeared On: https://www.prnewswire.com/news-releases/gold-prices-remain-stable-as-economic-growth-continues-apace-301281085.html