VIRGINIA CITY — Comstock Mining Inc. reduced its long-term debt by almost $1 million with proceeds from the sale of 53 acre-feet of water rights and the sale of various, smaller nonmining properties in Gold Hill and Silver City and its recently announced joint venture with Tonogold Resources Inc.
“We are pleased to report the completion of several planned sales of nonmining parcels and water rights and commence paying down long-term debt, immediately reducing costs and strengthening our balance sheet,” said Corrado De Gasperis, executive chairman and CEO of Comstock, a Nevada-based, gold and silver mining company with extensive, contiguous property in the Comstock District, in an Oct. 11 news release.
The most valuable of the remaining properties is the company’s 98-acre Comstock Industrial Site adjacent to the Silver Springs Airport near where the recently opened Infinity Highway connects U.S. 50 and Silver Springs to the Tahoe Reno Industrial Center.
The operators of the Silver Springs Airport recently received approval from the Lyon County Board of Commissioners on an extension of its lease including an expansion of the airport infrastructure. The Silver Springs Airport serves as the airport for business executives and private jets, such as the Falcon 900 EX, visiting the TRI Center last week — which contains more than 150 global businesses.
“We continue to see amazing growth in the counties surrounding the Tahoe-Reno Industrial Center, especially in Storey and Lyon counties,” De Gasperis said. “We expected the new connecting state route to facilitate and accelerate our proposed land sales and now it has begun.”
The company’s senior secured debenture has now been reduced to $9.9 million. The company still has plans to sell nonmining assets valued at approximately $14 million targeted to eliminate the remainder of its debt. The company also had approximately $2.3 million in cash on Sept. 30.