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Rochester royalty earns Rye Patch $2.61m in first nine months of 2014

26th November 2014

By: Creamer Media Reporter

  

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JOHANNESBURG (miningweekly.com) – Junior miner Rye Patch on Wednesday said the Rochester mine net smelter return (NSR) had earned it $2.61-million, or about C$2.85-million, in the first three quarters of this year.

The Rochester mine paid a 3.4% NSR royalty quarterly to Rye Patch on each ounce of silver and gold produced and sold.

The fourth-quarter royalty payment was due on or before January 15, 2015.

Rye Patch noted that the royalty had contributed about $1-million in cash to the company for each of the second and third quarters, which had contributed to Rye Patch’s working capital.

To date, the company had completed drilling programmes on its Garden Gate Pass, Gold Ridge and Wilco projects, along with a preliminary economic assessment (PEA) and a drilling programme at the Lincoln Hill project.

The drilling programmes returned positive gold and silver assay results and the PEA had achieved an encouraging outcome.

Edited by Chanel de Bruyn
Creamer Media Senior Deputy Editor Online

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