Fortitude Gold Corp. [OTCQB:FTCO] has announced preliminary third quarter production of 9,500 gold ounces. The gold miner, which is based in Nevada, has maintained its 2022 annual production outlook of 40,000 gold ounces (a range of 36,000 to 40,000 ounces). Fortitude also recently declared its monthly dividend of 4 cents per common share.
Through the first three quarters of 2022, Fortitude’s preliminary production numbers total 30,355 gold ounces. Mine operations continue to focus on the Isabella Pearl high-grade phase two open-pit.
Debt free producing gold miner
Fortitude Gold targets projects with low operating costs, high margins, and strong returns on capital. Its strategy is to grow organically, remain debt-free and distribute substantial dividends. Fortitude’s Nevada Mining Unit consists of five high-grade gold properties located in the Walker Lane Mineral Belt and a sixth high-grade gold property in west central Nevada.
Fortitude Gold is a regular dividend payer with a very high dividend yield, prized by many investors for just this.
The Isabella Pearl gold mine, located on the Isabella Pearl mineralised trend, is currently in production. The company is also actively involved in further exploration activities.
The Isabella Pearl gold mine
Fortitude Gold owns 100% interest in the Isabella Pearl mine and property, which is located along a historic mining trend within the Walker Lane Mineral Belt. The large property position covers approximately 9,000 acres. The Isabella Pearl open-pit heap leach project, located at the southeast end of the Isabella Pearl property, is the one currently in production.
The project produced its first gold in April 2019 just over 10 months from project ground-breaking. Proven and probable reserves included in the Isabella Pearl reserve report (with a drill data cut-off date of December 31, 2019) include 2,247,400 tonnes grading 3.05 grams per tonne (g/t) gold and 18 g/t silver, equating to 220,100 gold ounces and 1,310,700 silver ounces.
Total mine life of the Isabella Pearl deposit was estimated at over four years at an average ~40,000 ounce per year gold production run rate, after the initial 12-month production ramp up. Fortitude has said that significant exploration upside exists for additional open-pit discoveries.
Results from County Line exploration
In August Fortitude Gold announced maiden drill results from its County Line property located in Mineral and Nye counties, Nevada. Multiple high-grade gold intercepts included 6.10 meters grading 15.18 grams per tonne gold (g/t) within 15.24 meters grading 7.66 g/t gold. Fortitude Gold is a gold producer, developer, and explorer with operations in Nevada, U.S.A. offering investors exposure to both gold production and dividend yield.
County Line is located approximately 26 km northwest of Isabella Pearl via the paved Nevada State Route 361. Fortitude targets delineation of sufficient mineralisation to justify potential ore feed for its Isabella Pearl operation. The proximity of the two properties could enable trucking ore from the County Line property to the Isabella Pearl Project’s heap leach pad for gold processing.
Fortitude Gold owns 100% interest in the Golden Mile property located in Nevada’s Walker Lane Mineral Belt. The property covers an area of approximately 9,300 acres consisting of 451 unpatented and five patented claims. The Golden Mile property is located in the Bell Mining District, in Mineral County, approximately 36 kilometers east of the town of Luning. Mineralisation at the property is intrusion related, with primary gold and copper mineralization associated with skarn style replacement in carbonate units.
