Is The Move Over? Gold Mountain Mining Corp (OTCMKTS:GMTNF) Updates Project Report

Gold Mountain Mining Corp (OTCMKTS:GMTNF) is trading with a moderate gain in Thursday’s trading session.

GMTNF Released News This Morning

Gold Mountain Updates Project Economics at the Elk Gold Project

• announced an updated preliminary economic analysis of the Elk Gold Project. The update is based on the increased Mineral Resource Estimate announced on May 14, 2021, the Ore Purchase Agreement with New Gold Inc. (“New Gold”) announced on January 26, 2021 (the “Ore Purchase Agreement”) and the Mining Contract with Nhwelmen-Lake LP announced on January 19, 2021 (the “Mining Contract”). An updated preliminary economic assessment (the “PEA”) will be filed on the Company’s website and SEDAR within 45 calendar days of May 14, 2021
• The PEA contemplates an initial 19,000 ounce per year mine that ramps up to 65,000 ounces of annual production by Year 4. The pre and post tax NPV (5% discount) are $395M and $231M, respectively. The PEA contemplates that for the life of mine, the mineralized material from the Elk Gold Project will be mined by the Company’s contract mining partner, Nwhelmen-Lake LP (“Nwhelmen-Lake”) and then delivered to New Gold’s New Afton Mine located approximately 130km from the Elk Gold Project (the “New Afton Mine”).
• The PEA is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves. There is no certainty that the PEA will be realized. Mineral resources that are not mineral reserves do not have demonstrated economic viability.

Market Action

As of 12:51, GMTNF stock has moved up 6.64% to $1.93. The stock has traded 287K shares, compared to its average volume of 32K shares. After opening at $1.90, the stock has moved within a wide range of $1.8950 – 2.0200.