VIRGINIA CITY, Nev., July 11, 2012 /PRNewswire/ -- Comstock Mining Inc. (the "Company" or "Comstock") (NYSE Amex: LODE) announced that construction of its Crusher Facility has been completed and it has begun to commission the equipment. The testing and calibration of the facility will continue for about ten days, after which time the production process can commence with the crushing and stacking of ore onto the heap.
Ore will be stock piled in front of the crusher, providing a sufficient buffer to feed an optimized blend of grade and rock type into the crusher. Much of the ore in the Lucerne will by-pass the crusher altogether after passing through the wobbler feeder and subsequent screen. The oversize material will be crushed to 100 percent minus 1.25 inches. Cement will be combined with the ore to facilitate agglomeration of the fine particles to ensure proper and continuous circulation of solution as it leaches throughout the heap.
The crushing facility has a higher capacity than will be initially utilized. This provides sufficient crushing capacity for growth, from an initial rate of 1,000,000 tons per annum up to anticipated production levels of more than 3,500,000 tons per annum, without upgrading the crusher.
"Commissioning the Crusher represents one of the single, most tangible steps on our March to Production," stated Corrado De Gasperis, President and CEO of Comstock Mining. "The American made equipment is state of the art and once commissioned, our team will begin crushing the ore and stacking it onto the new heap pads."
The primary components in the Crusher Facility include a(n):
- Wobbler Feeder
- Primary Jaw Crusher (KPI-JCI 3055)
- Cone Crusher (K400+ w/3 axle chassis and twin 200HP drive)
- Scalping Screen (6' x 16') and Conveyor (72" x 36')
- Medium Scalping Screen (7' x 20') with Mounted Conveyors (60' x 30")
- Multiple Conveyors (36" x various lengths)
- Super Stacker, (KPI, 36" x 150'), w/ 4 wheel drive
- Cement Silos
- Control tower, and
- Environmental bag house equipment for dust prevention
The cost to purchase, construct and install the Crusher Facility was approximately $6.3 million. Four principle contractors were used on this project: Goodfellow Corp, Boulder City, Nevada, JC industries, from Selma, Texas, A.M. Smith Electric, Inc., based in Carson City, Nevada and Lyon County contractor Cruz Construction Company Inc., based about ten miles from the mine in Mound House, Nevada.
Comstock remains on schedule to complete the expansion of its Merrill Crowe processing facilities in July. After crushing and stacking to a sufficient quantity, the Company will then commence leaching and recovering the contained precious metals through the Merrill Crowe zinc precipitation process. "We remain on track for our first pour this summer," stated Mr. De Gasperis, "We are currently hiring our remaining processing staff for the Merrill Crowe, raising our employment to over 100 people."
About Comstock Mining Inc. Comstock Mining Inc. is a Nevada-based gold and silver mining company with extensive, contiguous property in the Comstock District. The Company began acquiring properties in the Comstock District in 2003. Since then, the Company has consolidated a significant portion of the Comstock District, amassed the single largest known repository of historical and current geological data on the Comstock region, secured permits, built an infrastructure and brought the exploration project into test mining production. The Company continues acquiring additional properties in the district, expanding its footprint and creating opportunities for exploration and mining. The goal of its strategic plan is to deliver stockholder value by validating qualified resources (at least measured and indicated) and reserves (probable and proven) of 3,250,000 gold equivalent ounces in 2013, and commencing commercial mining and processing operations with annual production rates of 20,000 gold equivalent ounces.
Forward-Looking Statements This press release and any related calls or discussions may contain forward-looking statements. All statements, other than statements of historical facts, are forward-looking statements. Forward-looking statements include statements about matters such as: future prices and sales of and demand for our products; future industry market conditions; future changes in our exploration activities, production capacity and operations; future exploration, production, operating and overhead costs; operational and management restructuring activities (including implementation of methodologies and changes in the board of directors); future employment and contributions of personnel; tax and interest rates; capital expenditures and their impact on us; nature, timing and accounting for restructuring charges, gains or losses on debt extinguishment, derivative liabilities and the impact thereof; productivity, business process, rationalization, restructuring, investment, acquisition, consulting, operational, tax, financial and capital projects and initiatives; contingencies; environmental compliance and changes in the regulatory environment; offerings, sales and other actions regarding debt or equity securities; and future working capital, costs, revenues, business opportunities, debt levels, cash flows, margins, earnings and growth.
The words "believe," "expect," "anticipate," "estimate," "project," "plan," "should," "intend," "may," "will," "would," "potential" and similar expressions identify forward-looking statements, but are not the exclusive means of doing so. These statements are based on assumptions and assessments made by our management in light of their experience and their perception of historical and current trends, current conditions, possible future developments and other factors they believe to be appropriate. Forward-looking statements are not guarantees, representations or warranties and are subject to risks and uncertainties that could cause actual results, developments and business decisions to differ materially from those contemplated by such forward-looking statements. Some of those risks and uncertainties include the risk factors set forth in our SEC filings and the following: the current global economic and capital market uncertainties; the speculative nature of gold or mineral exploration, including risks of diminishing quantities or grades of qualified resources and reserves; operational or technical difficulties in connection with exploration or mining activities; contests over our title to properties; potential dilution to our stockholders from our recapitalization and balance sheet restructuring activities; potential inability to continue to comply with government regulations; adoption of or changes in legislation or regulations adversely affecting our businesses; business opportunities that may be presented to or pursued by us; changes in the United States or other monetary or fiscal policies or regulations; interruptions in our production capabilities due to unexpected equipment failures; fluctuation of prices for gold or certain other commodities (such as silver, copper, diesel fuel, and electricity); changes in generally accepted accounting principles; geopolitical events; potential inability to implement our business strategies; potential inability to grow revenues organically; potential inability to attract and retain key personnel; interruptions in delivery of critical supplies and equipment raw materials due to credit or other limitations imposed by vendors; assertion of claims, lawsuits and proceedings against us; potential inability to maintain an effective system of internal controls over financial reporting; potential inability or failure to timely file periodic reports with the SEC; potential inability to list our securities on any securities exchange or market; and work stoppages or other labor difficulties. Occurrence of such events or circumstances could have a material adverse effect on our business, financial condition, results of operations or cash flows or the market price of our securities. All subsequent written and oral forward-looking statements by or attributable to us or persons acting on our behalf are expressly qualified in their entirety by these factors. We undertake no obligation to publicly update or revise any forward-looking statement.
Neither this press release nor any related calls or discussions constitutes an offer to sell or the solicitation of an offer to buy any securities.
Contact information for Comstock Mining Inc.:
P.O. Box 1118
Virginia City, NV 89440
Director of External Relations
Tel (775) 847-7376
Tel (775) 847-0545
SOURCE Comstock Mining Inc.