COLORADO SPRINGS – June 28, 2017 – Gold Resource Corporation (NYSE MKT: GORO) (the “Company”) today announced the continued expansion of its Arista Mine’s Switchback vein system with additional step-out drill intercepts at the Company’s Aguila Project. These new drill results extend the known mineralization at Switchback to the southeast by approximately 50 meters on strike and elevation, intercepting multiple veins including 2.33 meters of 6.16 grams per tonne (g/t) gold, 453 g/t silver and 9.29% zinc, within a wider intercept of 5.08 meters of 3.20 g/t gold and 261 g/t silver and 11.85% zinc. The Switchback system’s total strike length now exceeds 625 meters and remains open in all directions. Gold Resource Corporation is a gold and silver producer, developer and explorer with operations in Oaxaca, Mexico and Nevada, USA. The Company has returned $110 million to shareholders in monthly dividends since commercial production commenced July 1, 2010, and offers shareholders the option to convert their cash dividends into physical gold and silver and take delivery.
Four drill holes from an underground drill pad on level 23 targeted the southeast extension of the Switchback vein system (see map). Each drill hole intercepted high-grade polymetallic mineralization extending the Switchback vein system to the southeast by approximately 50 meters on strike and elevation. Including the drill results reported in this press release, the Switchback system’s total strike length is now over 625 meters, a 325 meter strike expansion since January 1, 2017. The Switchback vein system remains open in all directions.
Drill Highlights include (m = meters, g/t = gram per tonne):
Hole# 517105, step-out hole extending strike length by 50 meters
- 5.25m of 1.20 g/t gold, 40 g/t silver, 0.61% copper, 1.41% lead, 7.36% zinc
incl. 1.17m of 1.95 g/t gold, 57 g/t silver, 1.09% copper, 2.66% lead, 13.95% zinc
- 5.08m of 3.20 g/t gold, 261 g/t silver, 1.33% copper, 4.33% lead, 11.85% zinc
incl. 2.33m of 6.16 g/t gold, 453 g/t silver, 1.65% copper, 2.49% lead, 9.29% zinc
- 6.64m of 1.49 g/t gold, 220 g/t silver, 0.66% copper, 3.03% lead, 13.19% zinc
incl. 1.47m of 3.25 g/t gold, 66 g/t silver, 0.77% copper, 1.10% lead, 7.17% zinc
incl. 2.70m of 1.74 g/t gold, 157g/t silver, 0.79% copper, 5.08% lead, 25.65% zinc
“It is exciting to see the continued strike expansion of the Switchback vein system with these latest four drill hole results,” stated Mr. Barry Devlin, Vice President of Exploration for Gold Resource Corporation. “The continued high-grade polymetallic mineralization within multiple parallel veins at Switchback leads us to believe the Arista Mine is much larger than has been defined to date. Exploration plans for the Switchback vein system for the remainder of 2017 include infill drilling within the known mineralized horizon, as well as testing the northwestern strike extension of this growing epithermal vein system.”
“Thus far during 2017, our drill programs have more than doubled the Switchback vein system’s strike length to over 625 meters,” stated Mr. Jason Reid, President and CEO of Gold Resource Corporation. “As I have previously stated, the Switchback vein system could grow as large or larger than the Arista vein system as we continue to expand the Arista Mine. Ongoing Switchback mine development is progressing nicely as we look forward to our first bulk tonnage stoping of Switchback near year-end or the first quarter of 2018.”
Gold Resource Corporation is a gold and silver producer, developer and explorer with operations in Oaxaca, Mexico and Nevada, USA. The Company has 56,839,823 shares outstanding, zero warrants, zero debt and has returned $110 million back to shareholders since commercial production commenced July 1, 2010. Gold Resource Corporation offers shareholders the option to convert their cash dividends into physical gold and silver and take delivery. For more information, please visit GRC’s website, located at www.Goldresourcecorp.com and read the Company’s 10-K for an understanding of the risk factors involved.
This press release contains forward-looking statements that involve risks and uncertainties. The statements contained in this press release that are not purely historical are forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. When used in this press release, the words “plan,” “target,” "anticipate," "believe," "estimate," "intend" and "expect" and similar expressions are intended to identify such forward-looking statements. Such forward-looking statements include, without limitation, the statements regarding Gold Resource Corporation’s strategy, future plans for production, future expenses and costs, future liquidity and capital resources, and estimates of mineralized material. All forward-looking statements in this press release are based upon information available to Gold Resource Corporation on the date of this press release, and the company assumes no obligation to update any such forward-looking statements. Forward looking statements involve a number of risks and uncertainties, and there can be no assurance that such statements will prove to be accurate. The Company's actual results could differ materially from those discussed in this press release. In particular, there can be no assurance that production will continue at any specific rate. Factors that could cause or contribute to such differences include, but are not limited to, those discussed in the Company’s 10-K filed with the SEC.