Cost of Mineral per oz.:
The Gold Road Mine was discovered in 1900 in Mohave County, Arizona. Located 15 miles (24 km) northeast of the Arizona-California-Nevada border, Gold Road exists in Arizona’s greatest primary gold producing district.
The Gold Road property consists of 279.07 acres (112.74 ha) of 18 patented claims, 4 patented millsite claims totalling 20 acres (8.08 ha) and 1,820 acres (735.28 ha) of 91 unpatented claims fully owned or controlled by Para Resources Inc et al. Para also has under lease from Cruski Mines an additional 14 patented claims totalling 466 acres (188.26 ha). Total acreage owned or controlled by the Company is 2,603.07 (1,051.64 ha).
Para Resources Inc. owns 88% of its subsidiary Gold Road Mining Corp. Para acquired the mine, patented claims and 500 TPD CIP mill and processing facility including all rolling stock, vehicles, laboratory and other assets for $7 million. Payment terms were $1 million at the close $6 million and 6 annual payments of $1 million each, without interest on the anniversary of the close.
In early 2018 Para also acquired adjacent claims on the TR-UE vein where historical production has been 2.2 million ounces at an average grade of 24 gpt and which has largely been unexplored. Potential expansion of high-grade material from TR-UE vein could dramatically increase the production of Au with no additional Capex.
The Gold Road ore-processing facility is located on private land and consists of a conventional 500-ton/day CIP mill that was built in 1995. The mill has operated about one third of the time since it was constructed. It was last in operation in 2013. The plant is in excellent condition and can be placed back in operation for a capital cost of about US$ 0.5 million. Operating costs are estimated to be less than US$30/ton. Underground workings have been de-watered and are open and stable. The mill is fully permitted to re-start operations. Engineering and mine planning are underway with operations expected to resume in July 2018 with production of 3,000 ounces per month.