In its Wednesday press release, Gold Mountain said it is reviewing its legal options with respect to these letters, and while the company does not have the means to pay these amounts at this time, it is attempting to find solutions to work with the groups.
Meanwhile, mining operations at the Elk gold project had been paused for the Christmas holidays break and remain paused at present, it noted.
Gold Mountain’s 100% owned Elk gold project is located 57 kilometres from Merritt in south-central BC. The property covers nearly 212 square kilomtres of mining concessions and is host to a past-producing gold mine.
A multi-phased exploration program was kicked off at Elk in early 2021, and it eventually led to an updated resource estimate of 806,000 gold-equivalent ounces (4.4 million tonnes grading 5.8 g/t AuEq) in the measured and indicated category, plus 262,000 ounces (1.5 million tonnes grading 5.4 AuEq) inferred.
The project’s…
