Harte Gold Announces a Positive Restart to Mining and Milling Operations at the Sugar Zone Mine
TORONTO, Sept. 9, 2020 /CNW/ - Harte Gold Corp. ("Harte Gold" or the "Company") (TSX: HRT) (OTC: HRTFF) (Frankfurt: H4O) is pleased to provide the following operational update at the Sugar Zone mine and processing facility in Ontario, Canada (see Harte Gold news releases dated July 29 and August 12, 2020). The following information is based on preliminary unreconciled numbers. A more detailed operational update will be provided at the end of the quarter.
Highlights:
- Record average daily throughput at the Sugar Zone mill: The Company is pleased to announce the mill has been successfully restarted and has operated at a processing throughput rate of 800 tonnes per day ("tpd") or greater for several contiguous days following the restart on August 5. For the month of August, a total of 19,685 tonnes were processed representing a record average daily throughput rate of approximately 760 tpd, factoring in planned downtime for the month.
- Gold production growth: Gold production for August was approximately 3,200 ounces, consistent with record monthly production results prior to the mine entering temporary care-and-maintenance due to COVID-19.
- Mine development ahead of plan: The Company's focus on development continues to return positive results. Waste development and ore development metres exceeded plan for August by 32% and 59%, respectively. The Company has completed approximately two-thirds of the ramp development to the Middle Zone.
- Expansion Study ongoing: The Company continues to advance its Feasibility Study examining the expansion to a 1,200 tpd throughput rate at the Sugar Zone mine and expects to announce the results of the Feasibility Study in Q4 2020.
- Surface prospecting campaign at TT8 Zone remains encouraging: Harte Gold's summer exploration program has identified three new showings at the TT8 Zone, extending the potential of the overall mineralized extent 2.5 km to the northeast of the initial TT8 discovery. The geologic settings of these new showings are similar to the initial TT8 discovery. The completed surface prospecting will be used in conjunction with geophysics to identify high-priority drill targets, planned to be drilled in Q4 of this year. The Company will provide a more detailed update on exploration as TT8 drilling continues.
- Near-mine drilling continues: Grade control drilling is underway to de-risk planning and better define the geometry of the orebody. To-date, 15 holes totaling 2,600 metres have been drilled. A second drill rig is targeted to be mobilized in September to test extension of known mineralization at the Middle Zone and complete infill drilling at both the Middle Zone and Sugar Zone South areas.
Sam Coetzer, President and Chief Executive Officer of Harte Gold, commented:
"I am really pleased to see how rapidly the team gained momentum during the month of August. This demonstrates that good planning, strong communications and a focus on continuous improvement can result in better-than-expected results. The mine has not skipped a beat from where we ended prior to temporary shutdown and I am confident we can build on this performance going forward. With the recently announced financing now complete, the owner-operator transition in full swing, the Feasibility Study advanced, and exciting exploration to come, I believe Harte Gold is well-positioned for a stronger future."
ABOUT HARTE GOLD CORP.
Harte Gold holds a 100% interest in the Sugar Zone mine located in White River, Canada. The Sugar Zone Mine entered commercial production in 2019. Production guidance is 20,000 to 24,000 oz Au for 2020 and 60,000 to 65,000 oz Au for 2021. The Company has further potential through exploration at the Sugar Zone Property, which encompasses 79,335 hectares covering a significant greenstone belt. Harte Gold trades on the TSX under the symbol "HRT", on the OTC under the symbol "HRTFF" and on the Frankfurt Exchange under the symbol "H4O".
CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION
This news release includes "forward-looking statements", within the meaning of applicable securities legislation and include, but are not limited to, statements and information regarding a more detailed operational update being provided at the end of the quarter; announcing the results of the Feasibility Study in Q4 2020; using the completed surface drilling to identify high-priority drill targets and drilling such targets in Q4 2020; providing a more detailed update on exploration as TT8 drilling continues; mobilizing a second drill rig in September and completing infill drilling at both the Middle Zone and Sugar Zone South areas; building on performance going forward; exciting exploration to come; being well-positioned for a stronger future; gold production of 20,000 to 24,000 oz for 2020 and 60,000 to 65,000 oz for 2021; and further potential through exploration at the Sugar Zone Property. Forward-looking statements are based on the opinions and estimates of management and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "seek", "anticipate", "budget", "plan", "continue", "estimate", "expect", "forecast", "may", "will", "project", "predict", "potential", "targeting", "intend", "could", "might", "should", "believe" and similar words suggesting future outcomes or statements regarding an outlook. Forward-looking statements are necessarily based upon a number of estimates and assumptions including material estimates and assumptions related to the factors set forth below that, while considered reasonable by the Company as at the date of this press release in light of management's experience and perception of current conditions and expected developments, are inherently subject to significant business, economic, and competitive uncertainties and contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements, and undue reliance should not be placed on such statements and information.
Such risks and uncertainties include, but are not limited to, there being no events of default or breaches of key financing agreements, including agreements with BNP Paribas and Appian; the Company being able to attract and retain qualified candidates to join the Company's management team and board of directors, risks associated with the mining industry, including operational risks in exploration, development and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of estimates and projections in relation to production, costs and expenses; the uncertainty surrounding the ability of the Company to obtain all permits, agreements, consents or authorizations required for its operations and activities; and health, safety and environmental risks, the risk of commodity price and foreign exchange rate fluctuations, the ability of Harte Gold to fund the capital and operating expenses necessary to achieve the business objectives of Harte Gold, the uncertainty associated with commercial negotiations and negotiating with contractors and other parties and risks associated with international business activities and the impact of any escalation in the severity of the COVID-19 pandemic on any of the foregoing, as well as other risks and uncertainties which are more fully described in the Company's Annual Information Form dated March 25, 2020, and in other filings of the Company with securities and regulatory authorities which are available on SEDAR at www.sedar.com.
Due to the risks, uncertainties and assumptions inherent in forward-looking statements, prospective investors in securities of the Company should not place undue reliance on these forward-looking statements.
Readers are cautioned that the foregoing list of risks, uncertainties and other factors are not exhaustive. The forward-looking statements contained in this news release are made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking statements or in any other documents filed with Canadian securities regulatory authorities, whether as a result of new information, future events or otherwise, except in accordance with applicable securities laws. The forward-looking statements are expressly qualified by this cautionary statement.
SOURCE Harte Gold Corp
please visit www.hartegold.com or contact: Shawn Howarth, Vice President, Corporate Development and Investor Relations, Tel: 416-368-0999, E-mail: [email protected]
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