ATNA RESOURCES LTD.
TSX: ATN • US OTC: ATNAF
Contacts:
James Hesketh, President and CEO
Valerie Kimball, Investor Relations
14142 Denver West Parkway, Ste 250
Golden, Colorado USA 80401
Toll Free: (877) 692-8182
Phone: (303) 278-8464
Fax: (303) 279-3772
E-Mail: vkimball@atna.com
Web Site: www.atna.com
Shares Outstanding: 83.3 million
52 Week Trading Range:
Canada: Hi: C$0.91 • Low: C$0.50
US: Hi: $0.85 • Low: $0.47
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A strong and deeply layered portfolio including a producing gold mine, advanced development stage projects and exploration joint ventures in the American west is clear evidence of the success of the long-range vision of Atna Resources Ltd. (TSX: ATN; US OTC BB: ATNAF) -- www.atna.com.
That portfolio is led by Atna’s flagship producing Briggs Gold Mine in California, its permitted construction-stage Reward Gold Project in Nevada, the strong Columbia gold exploration project in Montana, and the Pinson joint venture gold project with Barrick, also in Nevada.
With a market cap of $50 million and a Resource base of 3.2 million ounces in all categories this company is valued at only $16 per ounce of Resource. With gold at over $1100 per ounce, this Company has some room to grow!
Atna Resources’ annual gold production, will approach some 36-40,000 ounces in 2010, and is expected to ramp up to 70,000-100,000 ounces gold a year once the Reward property begins production in 2011 as the company’s second producing gold mine. The Company recently completed a NI 43-101 Technical Report and Preliminary Economic Assessment on its Columbia project, this would become the company’s third producing mine.
“This is a company with definite substance,” says Atna Resources President and CEO James Hesketh. “As one analyst recently commented, Atna is a meat and potatoes story! Our organic growth model has been a tremendous success. We’re working hard to deliver in 2010.”
Increased gold production at Atna Resources’ Briggs Mine in Inyo County, California, will highlight the company’s production efforts in 2010.
Atna began producing gold at its Briggs Mine in Inyo County, California in May 2009. The mine is expected to produce 213,000 ounces of gold over a six year mine life. However, four satellite properties within close proximity to the main Briggs mine could easily provide additional resources and extend the life of the mine. In March 2010 the Company completed a NI 43-101 compliant resource estimate on one of those satellite projects, the Cecil R Gold Project, located just four miles from Briggs The estimate added an additional 73,000 ounces of measured and indicated resource to Atna’s total resource base; Clear evidence of Atna’s ability to add additional resources.
Total proven and probable mineral reserves at Briggs is 232,670 contained gold ounces.
Those resource totals can be boosted, however, by some 676,800 tons of in-pit inferred stockpiled material containing approximately 10,000 ounces of gold not included in the current resource estimate. Also, the use of a shallower slope angle in the eastern sector of Briggs Main Pit and a shortfall in waste mining during 2009, increased the remaining life of mine waste to ore stripping ratio from 2.2 to 2.8.
Reward Gold Project to Become
a Producing Mine in 2011
Swift development of Atna Resources’ Reward Gold Mine in Nevada became a reality in February 2010 when Atna received permits allowing the company to begin construction of the mine’s infrastructure.
“This is exciting news and enables us to accelerate construction and mine development,” says Hesketh. “We’ve hired a project manager and have opened a mine office in Beatty, NV.”
Total mineral reserves at the Reward Mine are estimated at 173,700 of contained gold ounces. Atna has an infill drill program planned at Reward to possibly convert inferred material to indicated resources and potentially to reserves, as well as to add step-out mineralization data to the reserve estimate.
In addition, the Reward Gold Project has stockpiled 476,400 tons of inferred resource material within the pit shell that contains approximately 8,875 ounces of gold. The company also increased the depth of the designed pit and increased the life of mine waste to ore stripping ratio from 2.1 to 2.8.
Over the next six months, Atna plans to spend $3 million on design engineering, developing contractor bid packages, improving access roads, installing fencing, ordering equipment and ensuring access to power and water supplies.
Atna then plans to construct leach pad facilities, purchase a semi-portable crushing plant, build mine office, laboratory and shop facilities, and pre-strip mine waste. This phase is expected to take about nine months. When completed Hesketh says Atna will begin production.
Columbia Gold Project Looks Promising

Atna Resources’ NI 43-101 resource estimate at its Columbia Project puts the Montana project’s total measured, indicated and inferred resource at 1.2 million ounces of gold and 3.4 million ounces of silver. The June 2010 NI 43-101 Technical Report and Preliminary Economic Assesment “PEA” projects average annual gold production of 70,000 ounces and 96,000 ounces of silver over a nine year mine life. Life of mine cash costs are projected at $639 per ounce of gold, net of by product credits. This estimate is based on a number of very conservative assumptions. Further optimization study is expected to reduce projected cash operating costs.
Atna is currently designing drill hole locations for an upcoming infill drilling program along an identified 1.2 miles of strike length. The program’s results will be incorporated into a pre-feasibility report for a projected open pit mine. Hesketh says full permitting for the mine is expected to take up to four years, including 36 months to complete a full environmental impact study.
Preliminary metallurgical test work indicates that up to 94 percent of the Columbia’s gold is recoverable by conventional gravity and flotation methods to produce a gold and silver concentrate. Cyanide-based gold recovery is prohibited for open pit mining in Montana. Final processing of this gold concentrate can be accomplished by conventional methods.
“The Columbia Project PEA clearly demonstrates the potential for significant positive economic returns. Columbia is a major resource for Atna and could well prove to have a larger potential than any of our other projects,” says Hesketh. “We believe we can tap a major percentage of the resource in our mine design.”
Exploration Activity on Atna Resources’ Other Properties
Atna Resources’ portfolio-management approach has attracted strong joint venture partners, allowing Atna to maximize its efforts at its key properties, while still optimizing the potential of its other properties.
• Pinson Gold Project Located in the heart of northern Nevada’s gold district, Pinson has over 1.1 million ounces of measured and inferred gold resource and a strong potential of becoming a future gold producer. Atna is currently waiting for its joint venture partner, Barrick Gold subsidiary Pinson Mining Company, to announce its 2010 plan for the Pinson project. Atna’s share of the 2010 budget for the Pinson project is $0.3 million and includes ongoing underground pumping and maintenance operations. Atna holds a 30% interest in the project.
• Adelaide and Tuscarora Projects These Nevada gold projects are 100% optioned to Golden Predator Royalty & Development Corporation in exchange for shares in the company, progress payments, a pre-production payment, and production royalties following development. Atna believes the properties have the potential for hosting high grade, bonanza vein-style systems.
• Clover Gold Project Another Nevada property optioned to Yamana Gold, which is pursuing permits for a second quarter 2010 drilling program to extend and in-fill gold mineralization in the Clover Hill area and perform an initial round of drilling on the Saddle Target. The Clover prospect is a low-sulfidation, vein-hosted, epithermal gold prospect similar to Newmont’s Ken Snyder (Midas) mine located eight miles to the east. Atna is requiring Yamana to spend $3.3 million to earn a 51 percent venture interest in the project.
• Sand Creek Uranium Project A Wyoming joint venture with Uranium One, which has completed a drilling program to test the step-out and in-fill potential of the project’s “roll front” style uranium mineralization.
Investment Considerations
Atna Resources could well inundate investors with positive news from its myriad of projects over the coming years. The Briggs Mine is moving into positive cash flow, a significant milestone for the company. Future financings will be used to purchase equipment to further increase gold production. As a gold producer, Atna is now successfully raising money in the debt markets instead of diluting its stock. The company closed a $14.5 million gold participating bond offering in December 2009. Most of the funds will be used for construction and development of the Reward Gold Mine.
Atna Resources’ primary trading market is the Toronto Stock Exchange (TSX: ATN), and it is also traded on the OTC Bulletin Board. At sometime in the future, Atna plans to move up to a NASDAQ or AMEX listing. The company is also traded on the Xetra and Frankfurt exchanges.
Atna is fully reporting to the SEC and files its Form 20-F and Form 6K on EDGAR.
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