Capital Gold Reports Preliminary Production
NEW YORK, NY - Capital Gold Corporation reported preliminary production results for its second fiscal quarter of 2010 (ended January 31, 2010) at its 100% owned and operated El Chanate mine in Sonora, Mexico.
John Brownlie, Capital Gold's President and Chief Operating Officer, said that gold production continues to increase at El Chanate. "The installation of an additional crushing plant earlier this year has increased crushed ore production to the leach pads that, in turn, has resulted in a considerable increase in gold production for January," he said.
"With the recent improvements made at the mine, we anticipate gold production to continue at the rates we have seen in January," said Brownlie. "As is typical with all heap leaching processing, it takes time to reach equilibrium of gold placed on the leach pad and actual gold produced. January's results show that we are nearing equilibrium and can expect to maintain and improve upon these higher production numbers."
The Company also continues to make progress at its exploration property, Saric, where five core holes have been completed out of a planned 13. Brownlie said that the reverse circulation drill program to test for additional gold and silver mineralization will resume "once the results of the five completed holes are reviewed and we have a better understanding of the geological setting."
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