Allied Nevada Has First Gold Production At Hycroft

RENO, NV - Allied Nevada Gold Corp. reported its first production from its run-of-mine, heap leach property, the Hycroft Mine. Total production for December 2008 was approximately 1,000 ounces of gold and 3,000 ounces of silver which was a combination of dore and carbon. As dore is produced, it will be refined into gold and silver bullion which will then be sold in the normal course of business.
The capital phase of the Hycroft reactivation project is complete and mining operations are proceeding very well with run-of-mine ore being released from the Brimstone deposit and placed under leach. Allied is in the start up phase of operation and expect to attain annualized production rates of approximately 90,000 ounces by July 2009. Over the six-month start up period, production will slowly increase as the company continues to leach existing ore and place new ore on the pad.
"We are pleased to have attained our goal of initial gold production on schedule. I'd like to thank the employees of the Hycroft Mine for their dedication and efforts to achieve this milestone." stated Scott Caldwell, Chief Executive Officer. "As the newest gold producer in Nevada, we continue to work towards attaining full production levels by the middle of 2009."
The Hycroft Mine is located in the Sulfur Mining district 54 miles west of Winnemucca in Humboldt County, Nevada. The project encompasses approximately 25,320 acres, including both patented and unpatented claims. ÊWhile in production (1987-1998), Hycroft produced over one million ounces of gold using a surface heap leaching process.
In addition to the Hycroft Mine, Allied Nevada is involved in over 100 exploration properties located in the state of Nevada. ÊThis prospective exploration land package is in excess of 200,000 acres in size and is located in some the most prolific gold trends in the state. ÊA number of these properties are optioned to others, and Allied Nevada receives an annual advanced minimum royalty stream and several joint venture partners have work commitments on these properties.
The companyÕs address is 9600 Prototype Court, Reno, NV Ê89521, (775) 358-4455, fax: (775) 358 4458, email: [email protected].