VANCOUVER — Rye Patch Gold (TSXV: RPM; US-OTC: RPMGF) is buying the venerable Florida Canyon heap leach gold mine in Pershing County, Nevada, out of receivership after its previous owner Jipangu International of Japan ran into debt problems.
Rye Patch will pay US$15 million in cash and 20 million shares to the creditors at closing. Florida Canyon is a fully permitted operation that has been in continuous production since 1986, but is now only producing residual gold from material sitting on existing pads.
The company plans to redevelop the site, including building a new heap leach pad and waste storage facility, to commercially mine a planned expansion of the Florida Canyon orebody by early 2017.
Read the entire story at www.NorthernMiner.com/news/rye-patch