Comstock Mining hosts annual meeting at the Gold Hill Hotel
June 2, 2017
VIRGINIA CITY — Comstock Mining Inc. (NYSE MKT:LODE) on Thursday held its annual meeting of stockholders at the Gold Hill Hotel in Gold Hill.
The company’s vision is to create a "premium, value-generating, multi-project, sustainable mining company" by building upon the its portfolio of gold and silver mining properties and by building a network of collaborative strategic partnerships that can responsibly handle and advance the complexities of exploration, development and sustained production.
The goal of the company is to deliver up to $500 million of accretive value (over $2.00 per share) by 2020, by acquiring, exploring and developing resources and reserves capable of sustaining production of more than 100,000 ounces per annum, according to a press release.
"On behalf of our entire company, its management and board, we thank you for your support throughout a difficult 2016," Corrado De Gasperis, executive chairman and CEO of the Gold Hill Mining, said in a written statement. "We have identified three primary objectives that we believe will drive the company toward achieving this valuation. First, we plan to advance our mining properties toward feasibility, both internally and through joint ventures we are currently in final stages of discussions with. Second, we plan to accelerate the sale of our non-mining properties in conjunction with the completion of the new USA Parkway and its roundabout connection into U.S. 50, both scheduled for completion this year. Third, we plan to eliminate our remaining debt within the next twelve months."
The company believes the biggest catalyst and value driver for the sale of its non-mining lands is the completion of the new USA Parkway and its roundabout connection into Highway 50, scheduled for this year.
The company also recently extracted additional mineralized samples from the Dayton Resource Area, for the purpose of assessing optimum metallurgical feasibility for the Dayton mineralized material. The samples were prepared for leach pad simulation on-site in the company's metallurgical labs, and funded by U.S. National Science Foundation research grants through Cycladex Inc., a strategic investee and partner. This simulation is focused on comparing cyanide-based leaching to a non-cyanide "Cycladex Lixiviant" based leaching to provide a preliminary assessment of whether the non-cyanide process solution offers comparable (or better) speed, efficiency and economic feasibility.
"We are conducting parallel tests using both solutions and current results show that recoveries of gold and silver are exceeding expectations regardless of what solution is used, both in terms of yields and speed," De Gasperis said. "We are encouraged; however, that ‘Cycladex Lixiviant’ can be a paradigm shifting recovery agent, and look forward to assessing the specific consumption of the non-cyanide materials for economic feasibility. Preliminary results from these columns will be available mid-July."
The company recently received notification from the NYSE MKT LLC that the company's securities have been selling at or below $0.20 per share since April 27, 2017, and that the its continued listing is predicated on demonstrating sustained price improvement or effecting a reverse stock split no later than Nov. 27, 2017. The company currently meets all other listing requirements and its common stock will continue to be listed on the NYSE MKT and believes its business strategy and plans for 2017, will be sufficient for regaining sufficient share price levels. Otherwise, the company would effect a reverse stock split to regain minimum price levels. The company does not see any scenario where it would be unable to maintain its listing on the NYSE Market.
De Gasperis, concluded, "We believe the NYSE is the best stock exchange in the world and could not be more appreciative of their communications and support. We are fully committed and believe we have all the means necessary to maintain our listing on NYSE. We admire the quality of the NYSE reputation, and appreciate the liquidity and protections it provides all of our shareholders and we do not see any of that changing, now or in the future."
The NYSE MKT notification does not affect the company's business operations or its SEC reporting requirements and does not conflict with or cause an event of default under any of the its material agreements. Comstock Mining's common stock will continue to trade under the symbol "LODE," but will have an added designation of ".BC" to indicate that the Company is below compliance with this NYSE MKT's listing standard.
Comstock Mining Inc. is a Nevada-based, gold and silver mining company with extensive, contiguous property in the Comstock District and is an emerging leader in sustainable, responsible mining. The company began acquiring properties in the Comstock District in 2003. Since then, the company has consolidated a significant portion of the Comstock District, amassed the single largest known repository of historical and current geological data on the Comstock region, secured permits, built an infrastructure and completed its first phase of production.