Goldrich Mining Co. said Aug. 8 that its Goldrich NyacAU Placer LLC joint venture with NyacAU LLC was dissolved effective June 3 after it failed to meet the minimum production requirement for the 23,000-acre Chandalar gold project in Alaska in 2018.
The minimum production requirement, which was based on gold's spot price Dec. 1 of the preceding year, was 1,100 ounces for 2016, 1,200 ounces for 2017 and 1,300 for 2018.
The dissolution terminates the joint venture's lease to mine the placer properties located on Goldrich's mining claims.
NyacAU, the manager of the joint venture, will act as the liquidator to wind down the joint venture within one year, or longer if agreed by both parties. If NyacAU fails to accomplish the liquidation within the set period, Goldrich will complete the process.
Goldrich and NyacAU are in arbitration and are awaiting the rulings of a three-person arbitration panel, which will be considered final.