COLORADO SPRINGS – October 14, 2020 – Gold Resource Corporation (NYSE American: GORO) (the “Company”) reports preliminary consolidated record gold production results for the third quarter ended September 30, 2020 of 12,575 gold ounces, 333,761 silver ounces and significant base metals. Nevada gold production increased by 51% as the production ramp up phase continues. Gold Resource Corporation is a gold and silver producer, developer and explorer with operations in Oaxaca, Mexico and Nevada, USA. The Company has returned $115 million to its shareholders in consecutive monthly dividends since July 2010 and offers its shareholders the option to convert their cash dividends into physical gold and silver and take delivery.
Preliminary record third quarter production from the Company’s Nevada Mining Unit totaled 7,847 gold ounces, a gold production increase of 51% over the prior quarter. Through the first three quarters of 2020, the Company’s Nevada Mining Unit’s preliminary production numbers total 16,747 gold ounces. The third quarter was the first full quarter that the Company was able to regularly access portions of the deposit’s high-grade “Pearl” zone, while also mining the deposit’s lower grade “Isabella” zone. The Pearl zone is estimated to contain 80% of the gold ounces at the Isabella Pearl deposit with an estimated average gold grade of 4.0 grams per tonne. Gold Resource Corporation remains on track with ramp up into the fourth quarter, positioning the Company to achieve its annual production target of 40,000 gold ounce in 2021.
Preliminary third quarter production from the Company’s Oaxaca Mining Unit totaled 4,728 gold ounces, 324,592 silver ounces, 428 copper tonnes, 2,157 lead tonnes and 5,538 zinc tonnes, which represents increases of 94%, 75%, 74%, 89% and 84%, respectively, for each metal over the prior quarter. Through the first three quarters of 2020, the Company’s Oaxaca Mining Unit’s preliminary production numbers total 13,619 gold ounces, 912,464 silver ounces, 1,162 copper tonnes, 5,811 lead tonnes and 14,386 zinc tonnes.
The Company previously withdrew its 2020 production outlook for both its Oaxaca and Nevada Mining Units following the impacts and uncertainties of the global pandemic, the two-month mandatory governmental suspension of Mexican operations in April 2020, and uncertainty of potential future outbreaks or governmental responses to the pandemic. Both mining units operated continuously during the third quarter along with continued health screening protocols for COVID 19 prevention and mitigation. During the third quarter Nevada identified one positive case of COVID while Mexico identified 29 positive cases. Full financial results for the third quarter will be available at the time the Company files its quarterly report on Form 10-Q with the Securities and Exchange Commission.
Gold Resource Corporation is a gold and silver producer, developer and explorer with operations in Oaxaca, Mexico and Nevada, USA. The Company targets low capital expenditure projects with potential for generating high returns on capital. The Company has reached milestones including a decade of production, generated over $1 billion in revenue and has returned $115 million back to its shareholders in consecutive monthly dividends since July 2010. In addition, the Company also offers its shareholders the option to convert their cash dividends into physical gold and silver and take delivery. For more information, please visit GRC’s website, located at www.goldresourcecorp.com and read the Company’s 10-K for an understanding of the risk factors involved.