TORONTO – McEwen Mining reported that the Gold Bar Mine in Eureka County is expected to produce between 37,000 and 45,000 gold equivalent ounces this year, and the company estimates companywide gold equivalent ounces produced will be 141,000 to 160,400.
The estimate for companywide production from Gold Bar, its 49% share of the San Jose Mine in Argentina, the Black Fox Mine in Canada and El Gallo Mine in Mexico includes 110,500 to 127,900 gold ounces and between 2.3 million and 2.45 million silver ounces.
“The turnaround at our operations is the result of new leadership in our senior executive and operations teams,” said Rob McEwen, chairman and chief owner of the company.
McEwen Mining in an earlier announcement updated probable reserves of 302,000 recoverable gold ounces for Gold Bar, and an indicated resource estimate of 499,000 gold ounces. Gold Bar is contract-mined.
The reserves are down 16% at Gold Bar because of changes in the geologic model, metallurgical recovery, additional drilling information and higher gold prices, according to the company, which also updated a feasibility study of Gold Bar that was to be published soon, if not already.
McEwen Mining reported that exploration drilling has resumed at Gold Bar, and the company is assessing an oxide gold deposit at its nearby Tonkin property as a potential source of production that could extend Gold Bar’s life.