New World Gold Corporation, based in Boca Raton, is preparing to upgrade its mills. Mill capacity is to increase from 40 tons per day to 150 tons per day. Once completed, the Company says the upgrades are expected to increase production to more than 100 ounces of gold each day.
The company arranged $500,000 in finance, at 9% interest. The arrangement pays back the money over 3 years.
With its own operating mills, the Company plans to process its own reserves, and also purchase and process ore from other mines, to generate secondary cash flow. Concurrently, the company will continue to expand its own reserves through development work on existing leases.
The $500,000 financing that funds the upgrade is to be paid back over three years, at 9% interest.
The company has mines in Montana and Colorado and will need to hire additional staff.
In October last year, the company predicted that, as additional leases entered production, and secondary veins were tapped, production could reach 23 to 25 ounces of gold per day by mid 2011. In October, gold was trading at around $1,300 per ounce and the company said this made production much more viable. At over $1,500 per ounce today, the company has a much needed boost.
New World Gold Corporation trades in the United States on the NQB Pink Sheets under the symbol “NWGC”. Visit the website www.newworldgoldcorp.com for more information.