Comstock Mining pays down its debt
VIRGINIA CITY — Increased production helped Comstock Mining pay a $5 million debt ahead of schedule, the company’s president said Wednesday.
The firm, which trades on the New York Stock Exchange under the symbol LODE, paid down in full the balance of the $5 million secured revolving facility held with the Resource Income Fund through Auramet Trading LLC, acting as gold agent. That was well ahead of schedule and means the company now has delivered 3,720 ounces of gold.
“Our recent increases in production allowed us to repay the ounces ahead of schedule and at a substantial discount to the original forward sale price,” said Corrado De Gasperis, president and CEO.
“In the past month,” he added, “we have poured an average weekly rate exceeding the 425 gold-equivalent ounces recently announced, with two weeks exceeding 500 gold-equivalent ounces,” De Gasperis said. The paydown strengthens the company’s cash flow and liquidity.
De Gasperis also reported in the firm’s news release that Comstock Mining is on track to achieve its first full-year production goal of 20,000 gold-equivalent ounces.