Gold Production Update


gold price

GOOD NEWS from Dun Glen…we are actively mining GOLD. Over the last 10-14 working days we have slowly increased the tonnage per hour from 30 tons to 120 tons per hour. We are currently working to determine at what speed the circuit will recover the most gold per ton. Along the way, we have run into a few hiccups up to this point today. When the NEW circuit was designed and built, the expectation was that it could handle up to 100 tons per hour. The GOOD NEWS is that it can handle 20-50% MORE ore than expected. While the scrubbing section can take the increased tonnage, some of the parts and equipment are not able to handle the higher volume of ore. URHG has identified the weak spots in the circuit and is currently addressing them through repairs and has ordered new equipment, as needed. In the meantime, we will run 10,000 tons of ore from the current pit level, determining the maximum run rate for the highest recovery rate of gold and announce those results.

Once we have the equipment upgrades completed our goal will be to run a 40 consecutive hours test and have a 3rd party verification of our recovered gold. We anticipate this test to take place sometime within the next 10-14 working days and at that point we will put out an official press release which will include the authenticated gold production report for those 40 hrs. We appreciate your continued support of the company and hope everyone understands that we are approaching news and press releases in a very conservative manner. We want to continually meet or exceed the projections put forth.

Regards,
URHG Management