Mineral Ridge pours first gold

Cornucopia Resources (CNP-T) has poured its first gold at the Mineral Ridge mine near Tonopah, Nev.

The company put the operation on the fast-Track after receiving permits and approvals in July 1996. With the last bolt tightened, mechanical completion was reached on the project in late May 1997, ending 10 months of construction.

The open-pit, heap-leach operation is expected to produce 37,000 oz. gold during the remainder of 1997. Annual production thereafter is projected at 50,000 oz. over the estimated 5.5-year mine life.

Cornucopia anticipates cash costs for production will be in the range of US$235 per oz. Gold recovery is estimated at 81%.

Reserves stand at 5.2 million tons grading 0.068 oz. per ton, with the stripping ratio pegged at 4.3-To-1.

Dale Wallster, spokesman for Cornucopia, says the construction was completed on time and within budget. “Considering the time it can take to permit an operation in the U.S., we managed to do this very quickly.”

The company acquired the project in mid-1993 and, by the beginning of 1996, announced it was proceeding with construction.

Cornucopia continues to add ore to the heap-leach pad at a rate of 2,700 tons per day. Commercial production is expected by mid-September.

Also, the company has sold forward 120,000 oz. gold at US$408 per oz. as a hedge against low metal prices. The amount represents nearly two and a half years of production at Mineral Ridge.