Receives Mine Reclamation Bond Acceptance
for the Mine Operating Permit
CHEYENNE, Wyo., June 20, 2024 /PRNewswire/ -- U.S. Gold
Corp. ("U.S. Gold," the "Company," "we," "our" or "us") (Nasdaq:
USAU), today announced that its wholly-owned subsidiary, Gold King
Corp., has received formal acceptance of the previously submitted
reclamation bond, from the Director of the Wyoming Department of
Environmental Quality ("WDEQ"). With this acceptance, two of the
three conditions associated with the recently granted Surface Gold
Mine Permit (the "Mine Operating Permit") for the CK Gold Project
have been met.
In commenting on the acceptance, George
Bee, President, CEO and Director of U.S. Gold said, "WDEQ's
acceptance of the reclamation bond, along with the issuance of the
Water Discharge Permit announced last week, satisfies two of the
three conditions associated with the Mine Operating Permit, further
cementing that major milestone, as U.S. Gold progresses along the
pathway to development. The remaining condition, receipt of the Air
Quality Permit, is anticipated shortly. We believe that the Air
Quality Permit submission is technically complete having been
through rigorous review. The application is with the WDEQ Air
Quality Division following the remaining statutory steps prior to
consideration for approval. We remain on track to receive
unconditional approval of the Mine Operating Plan in hand, around
mid-year, as per prior guidance."
Luke Norman, Executive Chairman
of U.S. Gold, added, "The CK Gold Project continues to advance with
the major permitting almost complete. The U.S. Gold team is
finalizing updates to project economic forecasts, taking into
consideration updates to pricing on both the cost and revenue sides
of the equation. An ideally located, fully permitted gold and
copper project positioned to leverage rising commodity prices is
anticipated to be immensely accretive for our investors. As
significant shareholders of the Company, we are committed to
forging the pathway to project financing without undue dilution to
our fellow shareholders."
Background
U.S. Gold Corp. pivoted from a purely exploration focus on its
highly prospective assets in Nevada and Idaho to development of the CK Gold Project in
2020, representing a significant and achievable value creation
opportunity for the Company.
In August 2020, U.S. Gold's
management team engaged in the development of the CK Gold Project,
previously known as Copper King, which had lain dormant for several
years. While Copper King was recognized and explored on multiple
occasions, following limited underground mining around one hundred
years ago, the last study on the CK Gold Project was a Preliminary
Economic Assessment authored by Mine Development Associates Inc. in
2012.
The Mine Reclamation Bond, a requirement under WDEQ statutes,
involved posting $5.1 million in
acceptable surety to the State to cover the first phase of
operational disturbance. Details of the coverage were submitted to
WDEQ on April 29, 2024 and formal
acceptance of the Bond was received on May
31, 2024.
With the approval of the Mine Operating Permit, Water Discharge
Permit and acceptance of the Mine Reclamation Bond, work on a
prefeasibility study update and completion of the feasibility study
has recommenced. The feasibility study work, awarded to Samuel
Engineering Inc. ("Samuel") in April
2022, was suspended in March
2023. The decision to suspend Samuel's work on the
feasibility study was made for three reasons: first, the Company
did not want a "stale-dated" study in relation to the permit
approval timeframe; second, price and supply disruption ensued
following the COVID-19 pandemic; and third, there was a need to
recognize some of the changes and additions that came about as a
consequence of WDEQ's review of the CK Gold Project. Engineering
work is well advanced with the process plant design largely
complete, and updated bids for major equipment are now being
solicited. We are on track to update the prefeasibility study by
the third quarter of 2024 and finalize the feasibility study
sometime thereafter. We are also working to incorporate project
upside opportunities in the feasibility study.
About U.S. Gold Corp.
U.S. Gold Corp. is a publicly traded, U.S.-focused gold and
copper exploration and development company. U.S. Gold Corp. has a
portfolio of exploration properties. Our CK Gold Project is located
in Southeast Wyoming and has a
Preliminary Feasibility Study technical report, which was completed
by Gustavson Associates, LLC. Our Keystone exploration property is
on the Cortez Trend in Nevada. Our
Challis Gold Project, located in Idaho. For more information about U.S. Gold
Corp., please https://www.usgoldcorp.gold/.
Cautionary Note Regarding Forward-Looking Statements
Certain statements in this press release are forward-looking
within the meaning of the Private Securities Litigation Reform Act
of 1995. These statements may be identified by the use of
forward-looking words such as "anticipate," "believe," "forecast,"
"estimated," and "intend," among others. These forward-looking
statements include statements relating to the CK Gold Project,
including, our expected timing and receipt of the Air Quality
Permit, the expected timing and receipt of unconditional approval
to move forward with the Mine Operating Plan, the expected timing
and completion of the update of the prefeasibility study, the
expected timing and completion of the feasibility study, and the
ultimate development of the CK Gold Project. There are a number of
factors that could cause actual events to differ materially from
those indicated by such forward-looking statements. These factors
include, but are not limited to, risks arising from: market and
other conditions, the prevailing market conditions for metal prices
and mining industry cost inputs, environmental and regulatory
risks, changes in interpretations of geological, geostatistical,
metallurgical, mining or processing information, risks faced by
junior companies generally engaged in exploration activities,
whether U.S. Gold Corp. will be able to raise sufficient capital to
develop the CK Gold Project and implement future drilling programs,
the success or failure of future drilling programs, and other
factors described in the Company's most recent Annual Report on
Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on
Form 8-K filed with the Securities and Exchange Commission, which
can be reviewed at www.sec.gov. The Company has based these
forward-looking statements on its current expectations and
assumptions about future events. While management considers these
expectations and assumptions to be reasonable, they are inherently
subject to significant business, economic, competitive, regulatory,
and other risks, contingencies, and uncertainties, most of which
are difficult to predict and many of which are beyond the Company's
control. The Company undertakes no duty to correct or update any
information contained herein.
For additional information, please contact:
U.S. Gold Corp. Investor Relations
+1 800 557 4550
ir@usgoldcorp.gold
www.usgoldcorp.gold
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SOURCE U.S. Gold Corp.
