Gold Resource Corporation (NYSEAMERICAN:GORO) climbed Monday after announcing the start of gold processing at its Isabella Pearl project in Nevada.
The company said it's applying and circulating leach solution to ore loaded on the heap leach pad at the project in Mineral County. The company said it's on track to producing its first gold at the project by June and is evaluating the possibility of selling gold sooner in carbon form.
Shares of Gold Resource advanced 7% to $4.14 in Monday's early-afternoon trading.
"This first application and circulation of leach solution to the heap pad is an exciting milestone in the development of the Isabella Pearl project, which is expected to more than double the company's global gold production in its first 12 months of operation," Gold Resource CEO and President. Jason Reid said in a statement.
Reid added that the company obtained permit approvals in May 2018 and broke ground a month later. In heap leaching, chemicals are used to extract precious metals from ore.
Based in Colorado Springs, Colorado, the gold and silver producer, developer and explorer, has operations in Oaxaca, Mexico, as well as Nevada. Gold Resource offers its shareholders the alternative of converting cash dividends into physical gold and silver and take delivery.
Shares of the company climbed Friday after reporting progress at its Mirador Mine development in Oaxaca.
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Contact Dennis Fitzgerald at [email protected]