Gryphon Gold Provides Production Update for April 2012
in response toby
May 3rd, 2010: Gryphon Gold starts Borealis drilling...
Carson City, Nevada--(Newsfile Corp. - May 1, 2012) - Gryphon Gold Corporation (the “Company” or “Gryphon Gold”) (TSX: GGN) (OTCQB: GYPH), a gold exploration, development and production company focused on its Borealis Oxide Heap Leach Project in Nevada (the “Borealis Property”), announced today that the Company poured and shipped 3,122 ounces of doré in the month of April. Based on preliminary assays, the doré is estimated to be comprised of 44% gold and 52% silver. The April production is in addition to the original test pour of two doré bars in March.
James T. O’Neil Jr., CEO of Gryphon Gold, commented, “We have made progress over the last three months moving beyond our start-up production challenges to producing 3,122 ounces of doré in April. At this level, we estimate that we will be able to cover our fixed costs and generate sufficient cash to begin to strengthen our balance sheet, increase our assets and invest in expanded production capacity. Our heap leach processes are flowing well and we expect final work on the structure for the Adsorption Desorption Recovery (“ADR”) building to be completed in May. Importantly, we can begin to look forward. We are commencing a drill program to define our next steps in efforts to expand our existing resources. We also have plans to expand our production capacity.” Gryphon Gold expects to achieve an annual production rate of 25,000-30,000 ounces of gold with its expanded facilities in 2012.
Gryphon Gold currently has $4.0 million in the treasury. Gryphon Gold plans to invest in capacity expansion through additional crushing capabilities, doubling the size of the existing leach pad and refinement of its production processes.
For further information please contact:
James T. O’Neil Jr., CEO
1-775-883-1456 [email protected]
Lisanna Lewis, Vice President, Treasurer
1-604-261-2229 [email protected]
ABOUT GRYPHON GOLD:
Gryphon Gold is in the business of acquiring, exploring, and developing gold properties in the United States, emphasizing the State of Nevada. The Company’s primary focus is on the advancement of its Borealis property, located in Nevada’s Walker Lane Gold Belt (the “Borealis Property”). The plan for the Borealis Property is to advance the development of the oxide heap leachable gold and silver to the production stage and to further expand and develop the significant sulphide resource through exploration, metallurgical design and sulphide project permitting and development. The Borealis Property is unpatented mining claims (including claims leased to the Company’s wholly owned subsidiary) of approximately 20 acres each, totaling about 15,020 acres, which has successful past production.
Gryphon Gold routinely posts news and other important information on its website.
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