New Jersey Mining Company Completes Placement and Plans Production

 

KELLOGG, ID - New Jersey Mining Company reported that it has completed a private placement of 3,115,000 Units at $0.17 per Unit for gross proceeds of $529,550. Proceeds are planned to be used to start gold and silver production at the New Jersey mill in Kellogg with ore mined from the Company’s Silver Strand and New Jersey mines.

Proceeds will be used to start gold and silver production at the New Jersey mill where a crew is already working on minor modifications and improvements to the concentrate leaching circuit. The New Jersey mill is capable of producing gold-silver dore bars by using direct-electrowinning of a pregnant solution.  Processing operations are planned to start in April with material from exploration drifting on the Coleman vein at the New Jersey mine. A mining crew has started work on the Coleman vein with several rounds blasted.

Mobilization to the Silver Strand mine is planned for early May as stipulated by the operating permit with the USFS. It is expected that about one month of preparation work will be required before shipment of ore to the mill begins. The plan calls for mining about 4,000 tonnes from an ore block above the No. 3 Level. Current prices for gold and silver make the economics of mining at the Silver Strand attractive as the ore is relatively high grade at 361 grams per tonne (gpt) silver and 5.43 gpt gold.

The company’s address is 89 Appleberg Road, P.O. Box 1019, Kellogg, ID 83837, 208-783-1032, fax: 208-783-3331, email: [email protected].