Atna Resources Ltd. ("Atna" or the "Company") is pleased to advise that, following the restart of mining and production in June, it has successfully completed the first long-hole mining test at its Pinson Mine in Humboldt County, Nevada.
Approximately 1,745 tons (1,586 tonnes) of ore grading 0.451 ounces per ton (12.7 g/t) gold was produced from the 30 foot high (10 meter) test stope. Estimated average cash costs per payable ounces produced in the month of September was approximately US$760 net of royalties and offsite costs. On the basis of this success, planning is underway to significantly increase production rates starting later this year and continuing into 2015.
Average productivity per shift from the long-hole, once developed, was approximately 250 tons (225 tonnes) per shift, including the drill and blast cycle. Excellent wall rock integrity in the first long-hole slot cut resulted in little over-break into the barren wall rock adjacent to the cut. Average dilution in the cut was approximately 18 percent, the bulk of which was removed by surface screening, at minimal cost prior to ore shipment.
Production at Pinson for the third quarter, including test stoping, totaled 4,755 tons (4,340 tonnes) of ore at a grade of 0.373 ounce per ton (10.5 g/t) containing 1,766 ounces of gold. This was produced by a single crew operating 10 hours per day, four days per week. A total of 3,213 tons (2,920 tonnes) of ore containing 1,162 ounces were shipped to Newmont's Twin Creek's plant for processing.
"Our success with the long-hole test stope is a game changer for Pinson. This mining method results in higher productivity and lower operating cost than we experienced in prior mining operations at Pinson when we utilized only an underhand cut and fill method. In addition, level development costs are significantly reduced with this mining method when compared to the underhand cut and fill method. The low production costs experienced in September, which included the benefit of long-hole mining productivity, are indicative of the potential for Pinson to produce positive cash flow in today's gold market conditions," states James Hesketh, President & CEO.
For additional information on Atna Resources and the Pinson mine, please visit our website at www.atna.com.