Clifton Mining Company (OTCBB: CFTN) (Clifton) - "2nd Quarter 2022 Update Report"

Rhea-AI Summary

Clifton Mining Company has released its production report for the three months ending May 31, 2022. During this period, Desert Hawk Gold Corp sold 765 ounces of gold and 767 ounces of silver and crushed 38,904 tons of ore, adding 324 recoverable ounces of gold. As of May, there are 3,713 recoverable ounces of gold on the leach pad. Production has been limited due to the current mining area constraints, but an expansion permit is anticipated later this year, potentially accelerating production. Clifton holds over 5.8 million shares in Desert Hawk.

Positive

• Desert Hawk's sale of 765 ounces of gold and 767 ounces of silver indicates stable production.
• 324 recoverable ounces of gold were added from crushed ore, enhancing future output prospects.
• Clifton's significant equity interest (5.8 million shares) in Desert Hawk positions it well for potential gains.

Negative

• Production is constrained due to nearing the limits of the current permitted mining area.
• The approval of the expansion permit is still pending, introducing uncertainty in production ramp-up.

AMERICAN FORK, Utah, July 6, 2022 /PRNewswire/ -

Production - Clifton Mining Company has received the production report from Desert Hawk Gold Corp. During the three (3) months ending on May 31, 2022, Desert Hawk sold a total of 765 ounces of gold and a total of 767 ounces of silver recovered from the leach pad. Desert Hawk also crushed 38,904 tons of ore during that same three-month period, adding 324 recoverable ounces of gold to the leach pad.  They estimate that at the end of May, there was 3,713 recoverable ounces of gold still on the leach pad.

We would note, as we had in previous releases, that Desert Hawk's production has been constrained due to their nearing the limits of the current permitted mining area.  Desert Hawk started working on their extension permit more than two years ago and they currently anticipate receiving their expansion permit later this year. Assuming that occurs, we anticipate production to quickly ramp up to the levels obtained prior to the current constraints, in addition to the readily accessible outcrops along the extension strike.  Clifton has a considerable equity interest in Desert Hawk Mining, owning more than 5.8 million shares. 

Exploration and Development - In addition to Desert Hawk's project, Clifton has several other mineral outcrops on its large property block, each with the potential to be a stand-alone project. Management has been reviewing potential exploration and development targets and is in the process of hiring a consulting geologist to provide updated reports.  Please see the "Property Reports" section on the Company's website at https://www.cliftonmining.com for more information on the properties.  For information on some of the mineral resources, please see section 6 of the "Update of the Behre Dolbear Report", under the "Shear Zone Summary Report," also located under the Property Reports section of the Company's website.

Clifton trades on the OTC Markets under the symbol: "CFTN".  For phone contact, please feel free to call Dr. Ken Friedman, President, at 303-642-3134.

Note: Any statements released by Clifton Mining Company that are forward looking are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.  Editors and investors are cautioned that forward looking statements invoke risk and uncertainties that may affect the company's business prospects and performance.

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SOURCE Clifton Mining Company

FAQ

What gold and silver production did Clifton Mining report for Q2 2022?

Clifton Mining reported the sale of 765 ounces of gold and 767 ounces of silver by Desert Hawk for the three months ending May 31, 2022.

How many recoverable ounces of gold are currently on the leach pad?

As of May 31, 2022, there are 3,713 recoverable ounces of gold still on the leach pad.

What impact does the pending expansion permit have on Clifton Mining?

The pending expansion permit could enable Desert Hawk to ramp up production to previous levels, which would benefit Clifton Mining's shareholders.

What is Clifton Mining's stake in Desert Hawk Gold Corp?

Clifton Mining owns more than 5.8 million shares in Desert Hawk Gold Corp.

What are the future prospects for Clifton Mining based on the press release?

Future prospects depend on the approval of the expansion permit, which could significantly increase production capabilities.