U.S. Gold Corp. announced that its subsidiary, Gold King Corp., has received formal acceptance of the previously submitted reclamation bond, from the director of the Wyoming Department of Environmental Quality (WDEQ). With this acceptance, two of the three conditions associated with the recently granted surface gold mine permit or mine operating permit (MOP) for the CK Gold Project have been met.
“WDEQ’s acceptance of the reclamation bond, along with the issuance of the water discharge permit announced last week, satisfies two of the three conditions associated with the MOP, further cementing that major milestone, as U.S. Gold progresses along the pathway to development,” said George Bee, president, CEO and director of U.S. Gold. “The remaining condition, receipt of the air quality permit, is anticipated shortly. We remain on track to receive unconditional approval of the Mine Operating Plan in hand, around mid-year.”
The mine reclamation bond, a requirement under WDEQ statutes, involved posting $5.1 million in acceptable surety to the State of Wyoming to cover the first phase of operational disturbance. Details of the coverage were submitted to WDEQ on April 29, 2024, and formal acceptance of the bond was received on May 31, 2024.
With the approval of the MOP, water discharge permit and acceptance of the mine reclamation bond, the company said it has restarted work on a prefeasibility study update and completion of the feasibility study. The feasibility study work, which was awarded to Samuel Engineering Inc. in April 2022, was suspended in March 2023.
Engineering work on the CK Gold Project is well advanced with the process plant design largely complete, and updated bids for major equipment are now being solicited. “We are on track to update the prefeasibility study by Q3 2024 and finalize the feasibility study sometime thereafter,” Bee said. “We are also working to incorporate project upside opportunities in the feasibility study.”
