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Gold Bar

About Gold Bar

Located in Eureka County, Central Nevada

The Gold Bar project and future mine is located within the Battle Mountain-Eureka-Cortez gold trend of Eureka County, Central Nevada. The property has seen historic mining from 1990 to 1994 by Atlas Precious Metals Inc. 25 miles Southeast of the Gold Bar property is Waterton Global’s Ruby Hill Mine and 25 miles North and Northwest is the Barrick Nevada operation, with a 2017 cumulative production of 2.3 million ounces of gold from its Cortez and Goldstrike mines.

About Diagram About Diagram
Gold pile



822,000 OZ AU


202,000  OZ AU

For details see 2018 report issued on Mar 30 & press release dated Sep 6.


The Gold Bar Project is located on patented lands and public lands managed by the Bureau of Land Management (BLM) Battle Mountain Field Office. Since 2013 McEwen Mining has been through an ongoing pursuit to build Gold Bar. During this time, the Company has overcome many challenges involved in bringing a new mining project to fruition. A signed Record of Decision on the Final Environmental Impact Statement, which was published by BLM in November 2017, marked the completion of the National Environmental Protection Act process for the project. Gold Bar is the first new gold mine in Nevada to gain permit approval in several years.

In January 2016 McEwen Mining acquired Gold Bar South, a property consisting of 109 mining claims located approximately 3 miles (5 km) from the Gold Bar Project, hosting a near surface, oxide gold resource and with immediate exploration potential laterally and at depth, based on several historical higher-grade drill intersections. Gold Bar South is to become a satellite resource that will contribute to future Gold Bar production.

During the mine permitting years, exploration at Gold Bar has been limited. After obtaining the permit approval in 2017, a property-wide exploration program was started, with the objective to extend the life of the mine by expanding the mineral inventory surrounding the planned open pits and testing new targets on the property.

Exploration is already delivering encouraging results, through initial drilling focused on three areas: northwest of the planned Gold Pick open pit, northwest of the planned Gold Ridge open pit, and in-between Gold Pick and Gold Ridge. Thirty-seven reverse circulation holes have been completed, and assay results from twenty-nine holes have been received. A new shallow oxide zone of mineralization has been identified in Hole GB257, which returned 0.040 opt (1.4 gpt) gold over 55 ft (16.8 m) starting at a depth of 30 ft (9 m). Seventeen holes encountered significant mineralization, with a weighted average grade and thickness of 0.030 opt (1 gpt) gold over 50 ft (15.2 m), comparable to the average grade of the deposit (click here for a table summarizing the new drilling results).

In February 2018 the Company published a press release announcing an updated feasibility study for Gold Bar (click here for the press release), prepared in accordance with the requirements of the Canadian National Instrument 43-101 “Standards of Disclosure for Mineral Projects”.

Key changes were made to the implementation strategy of the Gold Bar Mine, such as the addition of a crushing, conveying and agglomeration plant and changes in heap leach pad construction, with the primary goal of reducing overall project risk, while maintaining the highest possible capital efficiency. The resulting increase in capital costs over the previous estimate is offset by an increase in total gold production.

of the

The updated feasibility study, "Gold Bar Project - Form 43-101F1 Technical Report Feasibility Study, Eureka County, Nevada" was published with the issue date March 30, 2018 (click here to download the report).

Oxide ore will be mined from three open pits, Gold Pick, Gold Ridge Cabin Creek, transported, crushed, screened, conveyor-stacked on a heap leach pad, agglomerated and processed by an ADR carbon plant.

Over the 7-year Life of Mine, production will total 16.5 million tons of ore at a diluted gold grade of 0.029 opt (1 gpt) for a total of 397,700 ounces of payable gold.

Capex $81 million
Pay-Back Period 3 years @ $1,250/oz gold, 2.5 years @ $1,350/oz gold
After-Tax IRR 23% @ $1,250/oz gold, 32% @ $1,350/oz gold
After-Tax NPV-5% $54 million @ $1,250/oz gold, $87 million @ $1,350/oz gold
Mine Life 7 years
Production Rate 8,000 tons of ore/ day
Production Profile 62,800 oz gold/ year
Costs per Ounce $770/oz Cash Cost, $843/oz All-in Sustaining Cost
Updated Reserve Estimate 16.5 M tons @ 1.0 gpt for 485,000 oz gold
Life of Mine Production 397,700 oz gold (based on 82% recovery rate)
($1,250 / oz gold)
($1,350 / oz gold)
IRR (%) 23 32
NPV @ 5% Discount ($ millions) 54 87
Average Annual Cash Flow ($ millions) 21 27
Average Operating Margin Per Ounce ($) 364 457
Payback Period (years) 3.1 2.5

The Feasibility Study's base case uses a gold price of $1,250 per ounce and generates a Life-of-Mine (LoM) after-tax free cash flow of $150 million, an internal rate of return (IRR) of 23%, an after-tax net present value (NPV-5%) of $54 million, an average annual after-tax cash flow from operations of $21 million per year, an average operating margin per ounce of $364 and a payback period of 3.1 years.

The results of the study are disclosed on an after-tax basis.