Comstock begins exploration drilling
With its state permit in hand, Comstock Mining has begun its 2012-13 exploratory drilling around Dayton and Gold Hill.
Company officials say the program, paid for by a $17.25 million stock offering this year, will last about 18 months.
Area residents have protested and fought the company’s gold and silver mining plans at every step of the way and have promised to appeal to try to block Comstock. They have argued that renewed mining in the area will cause serious damage to their lifestyle as well as pollution in what is an historic district.
The company’s chief executive officer, Corrado De Gasperis, said Comstock has already validated the existence of some 2.4 million ounces of gold and 20 million ounces of silver in its property. He said the company hopes the expanded exploration will raise the total amount of gold reserves to more than 3 million ounces.
The first two drill holes will be in the Spring Valley area, which De Gasperis said is largely unexplored.
The company will also complete its drilling to define the area of its Lucerne Starter Mine, which already has its permits and is scheduled to begin production late this year.