Rye Patch Gold Reports Q2 2017 Financial Results

Provides Florida Canyon Mine Update

VANCOUVER, Aug. 24, 2017 /CNW/ - Rye Patch Gold Corp. (TSX.V: RPM; OTCQX: RPMGF; FWB: 5TN) (the "Company" or "Rye Patch") is pleased to announce that its financial statements and management's discussion and analysis for the second quarter ("Q2") ended June 30, 2017 have been filed with the securities regulatory authorities and are available at www.SEDAR.com and on the Company's website.

The following update is provided for the Company's flagship Florida Canyon mine in Nevada. All amounts are shown in U.S. dollar unless otherwise noted.

  • Poured first gold from the new South Heap Leach Pad at the end of April 2017;
  • Completed phase one of the new leach pad with ore stacking on portion 1B ongoing;
  • Stacked 560,000 tons of ore during Q2;
  • Improved strip ratio from 2.80:1 in Q1 to 1.25:1 in Q2;
  • Increased crusher through-put, with crusher out-performing plan by 20 to 40 percent;
  • Improved availability and utilization of the haulage fleet;
  • Increased carbon plant efficiencies after rebuilding kiln and replacing acid wash plant;
  • Mined and processed ore grades within five to 10 percent of modelled tons and grade;
  • Completed leach pad audit which showed gold recovery within one percent of modelled recoveries;
  • Recruited mine operators and technical staff to build workforce to near 100 percent capacity;
  • Sold 100 percent of gold produced into the forward sales contract at $1,275 per ounce of gold, and;
  • Purchased four 785C haulage trucks for $3.67 million, augmenting the current fleet and enabling planned production increases.
  • At the end of the period the Company had cash and cash equivalents of Cdn.$22 million and had drawn down Cdn.$28.9 million of its credit facility.

Rye Patch President and CEO Bill Howald said, "During the quarter we welcomed Mike Iannacchoine as the Florida Canyon mine manager who is leading the team through the final stages of ramp-up into commercial production."

Florida Canyon mine-South Heap Leach Pad Ramp-Up Data



Three months
ended June 30,
2017

Three months
ended March 31,
2017

Six months
ended June 30,
2017






Ore mined

tons

1,560,342

612,578

2,172,920

Waste mined

tons

1,953,817

1,713,217

3,667,034

Total mined

tons

3,514,159

2,325,795

5,839,954

Strip Ratio


1.25

2.80

1.69

Ore crushed

tons

1,529,662

746,241

2,275,903

Ounces sent to HLP


13,482

3,998

17,480

Gold absorbed onto carbon

Ounces

7,362

-

7,362

Gold Produced Dore

Ounces

7,075

-

7,075

Silver produced Dore

Ounces

5,603

-

5,603






Mine Development Expenditures


$

$

$








Other


88,082

-

88,082


Mining


7,108,045

4,668,877

11,776,922


Engineering


188,766

170,569

359,335


Crushing


1,742,170

1,309,496

3,051,666


Plant and Processing


1,390,143

-

1,390,143


General and Administration


514,017

598,484

1,112,501


Human Resources


90,509

57,068

147,577


Safety


86,103

55,087

141,190


Environmental


298,966

87,483

386,449


Indirect costs


440,820

-

440,820








11,947,621

6,947,064

18,894,685

Incidental Revenue - Gold


(5,392,649)

-

(5,392,649)

Incidental Revenue - Silver


(52,680)

-

(52,680)



6,502,292

6,947,064

13,449,356

 

About Rye Patch Gold Corp. 
Rye Patch Gold Corp. is a Nevada based, Tier 1, mining company engaged in the mining and development of quality resource-based gold and silver mines and projects along the established Oreana trend in west central Nevada. Leveraging its strong financial position and cash to acquire the operating Florida Canyon Gold Mine, Rye Patch Gold Corp. now controls a trend-scale platform with mining operations, resource projects and exploration upside. The combination of operations and organic growth along a major Nevada gold trend positions Rye Patch as an emerging mid-tier gold producer with tremendous value-added potential. For more information, please visit our website at www.ryepatchgold.com.

On behalf of the Board of Directors

'William Howald'

William C. (Bill) Howald, CEO & President

Forward-Looking Statements

This news release contains forward-looking statements relating to future plans and objectives of the Company, future deliveries of gold, proposed operations of the Company including mine development, funding requirements, timeline for commercial production, future events and conditions and other statements that are not historical facts, all of which are based on assumptions and subject to various risks and uncertainties. The Company's actual results, programs and financial position could differ materially from those anticipated in such forward‑looking statements as a result of the following assumptions and risk factors, some of which may be beyond the Company's control. These assumptions and risk factors include: future deliveries of gold pursuant to the forward gold price contract facility, the achievement of mine redevelopment plans and achievement of commercial production; the availability of funds; the financial position of Rye Patch; the timing and content of work programs; the results of exploration activities and development of mineral properties; the interpretation of drilling results and other geological data; the reliability of calculation of mineral resources; the reliability of calculation of precious metal recoveries; the receipt and security of mineral property titles; project cost overruns or unanticipated costs and expenses; fluctuations in metal prices; currency fluctuations; and general market and industry conditions.

Forward-looking statements are based on the expectations and opinions of the Company's management on the date the statements are made. The assumptions used in the preparation of such statements, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.  As a result, the Company cannot guarantee that the Florida Canyon mine redevelopment and achievement of commercial production will be completed on the terms and within the time disclosed herein or at all.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

SOURCE Rye Patch Gold

For further information: Rye Patch Gold Corp, info@ryepatchgold.com, Tel.: (604) 638-1588, Fax: (604) 638-1589

RELATED LINKS
http://www.ryepatchgold.com

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