Rye Patch Gold Corp Updates Net Smelter Return Royalty On Rochester Mine

Rye Patch Gold Corp (TSXV:RPM,OTCQX:RPMGF,FWB:5TN) provided an update on royalties earned from its holding over the Coeur Mining (NYSE:CDE) Rochester mine in Nevada. Highlights included an increase in average gold and silver grades from last quarter as well as higher crushing rates for the mine.

As quoted in the press release:

On April 7, 2014 Coeur Mining (NYSE:CDE) announced preliminary production results of 750,000 ounces of silver and 8,192 ounces of gold for the first quarter of 2014 from the Rochester mine located along the Oreana trend in Pershing County, Nevada. Rye Patch Gold US Inc. holds a 3.4% Net Smelter Return royalty over all gold and silver ounces produced and sold. The royalty is capped at 39.4 million ounces of silver equivalent, is paid quarterly with the first payment due by April 15, 2014 and is fully leveraged to the price of gold and silver.

Rye Patch CEO, William Howald, said:

With the Rochester operation achieving production consistency, Rye Patch can continue to unlock the potential of its project portfolio by re‑investing the royalty cash flow to explore its projects, expand its gold and silver inventory, and add value for all stakeholders. Several targets are scheduled for drilling this year that will contribute to the understanding of the Oreana and Cortez trends. We appreciate the efforts made by Coeur Mining in striving for consistency in their production and expansion goals.

Click here to read the Rye Patch Gold Corp (TSXV:RPM) press release