said March 22 that ithas completed 600 meters of ramp development in advanced exploration at its gold property inOntario. The company expects to mine first ore at the site before the end of themonth.
Thecompany has signed a final toll milling agreement with Barrick Gold Corp. for the processing of the 70,000-tonnebulk sample, and awarded the tender for the crushing and hauling contract of thebulk sample to Kabi Lake Resources Corp. and its joint venture partner . The bulksampling program commencedin October 2015.
"Wewill be mining the first ore within the next week and anticipate shipping to Barrick'sHemlo mill in April.Our mining operation team together with contract miner Technica Mining Inc. aredoing an excellent job on site, where they are on budget, ahead of schedule andwith no lost time accidents," said Stephen Roman, president and CEO of HarteGold.
"Welook forward to completing the bulk sample project prior to year-end and [we] willbe applying for our commercial operating permits during this period," Romanadded.
Currently,Harte Gold is planning a deep geophysical survey to cover a 2-kilometer by 1.5-kilometerarea between the Wolf Zone and Sugar Zone deposit. The survey will provide informationto a depth of 600 meters in order to establish drill targets that will test forthe continuity of gold mineralization between the two zones.
Thecompany is currently reviewing survey proposals and will award the geophysical surveycontract in April, with the program expected to commence in May.
HarteGold also said it has received approval for a geophysical survey and drill programat its Stoughton-Abitibiproperty.
Meanwhile,Harte Gold has raised gross proceeds of C$2.5 million pursuant to the closing ofits nonbrokered secured note offering of 250 units. Each unit was priced at C$10,000and consists of a two-year C$10,000 secured note with a 15% annual coupon and 40,000common share purchase warrants exercisable at 15 cents each for a period of twoyears upon closing.
Thecompany may accelerate the expiry date of the warrants by giving notice to the holdersif the closing price of the company's common shares on the TSX is equal to or greaterthan 20 cents apiece for 10 consecutive trading days after the closing. The warrantswill expire 30 days after the issuance of such notice.