Track Record of Growth and Performance
The Marigold mine is located in Humboldt County, Nevada, United States on the Battle Mountain-Eureka trend. Silver Standard completed the acquisition of Marigold on April 4, 2014 and published a technical report in November 2014.
In production since 1988, Marigold is a large run-of-mine heap leach operation with several open pits, waste rock stockpiles, leach pads, a carbon absorption facility, and a carbon processing and gold refining facility. Currently the mine utilizes a fleet of 290-tonne haul trucks and three loading units. Based on the Marigold mine five-year outlook announced on September 15, 2016, for the period to 2021, the mine is expected to produce on average approximately 220,000 ounces of gold per year. The gold doré bars produced at the mine are shipped to a third party refinery.
Highlights of the Marigold mine include:
- Mineral Reserves: Probable Mineral Reserves of 2.67 million ounces of gold at an average grade of 0.45 g/t, including 0.17 million ounces of gold in leach pad inventory, as at December 31, 2016.
- Potential for mine life extension: Indicated Mineral Resources of 4.98 million ounces of gold at an average grade of 0.45 g/t, including 0.17 million ounces of gold in leach pad inventory, as at December 31, 2016.
- Delivered strong annual gold production: Produced 205,116 ounces of gold in 2016.
- 2017 Production guidance: Anticipated production of between 205,000 and 215,000 ounces of gold in 2017.
- Marigold operating outlook: Updated five-year outlook for the Marigold mine forecasts average annual production of approximately 220,000 ounces per year, an increase of 35,000 ounces of gold per year at reduced cash costs. Refer to news release dated September 15, 2016.
- Exploration: Approximately $5 million planned for exploration in 2017 for Mineral Resource discovery and conversion of Mineral Resources to Mineral Reserves, with particular focus on the Valmy property. Four new higher-grade mineralized centers defined since acquisition added new Mineral Resources. Additionally, deep sulphide exploration drilling has confirmed the presence of permissive rock units at depth.
Thomas Rice, SME Registered Member, our Technical Services Manager at the Marigold mine, and James N. Carver, SME Registered Member, our Chief Geologist at the Marigold mine, each of whom is a Qualified Person, have reviewed and approved the foregoing disclosure on the Marigold mine. Please refer to the technical report entitled "NI 43-101 Technical Report on the Marigold Mine, Humboldt County, Nevada" dated November 19, 2014, a link to which is provided below. Please also refer to our news release outlining the updated five-year outlook for the Marigold mine, dated September 15, 2016.
Mineral Resources are reported inclusive of Mineral Reserves. Please refer to our Mineral Reserves and Resources Table.
This page contains forward-looking statements. Please see the following link: Legal.