U.S. Gold Secures Electricity Deal for Wyoming Project, Supports Ongoing Feasibility Study

U.S. Gold Corp (USAU) has secured a power deal for the CK Gold Project, a major milestone in the development process. The company has reached an agreement for electricity delivery to the project site near Cheyenne, Wyoming. The transmission line will be amortized over the life of mine under a power consumption agreement soon to be finalized. The project is on track in terms of timing and budget, with electricity set to be delivered right to the gate at an amortized rate.

U.S. Gold Corp (USAU) has taken a significant step forward in the development of its CK Gold Project with the recent signing of a power delivery contract. The agreement, executed with Cheyenne Light, Fuel and Power (CLFP), a subsidiary of Black Hills Corp., marks a major milestone in the project's progress. The contract ensures that the CK Gold Project will receive the necessary 30 MW of power from CLFP's electric power system, crucial for the project's operations [1].

The contract, which includes engineering and procurement activities, is expected to kickstart pre-construction planning and the development of necessary facilities. This phase will involve the creation of general arrangement drawings, substation design, project scheduling and budgeting, land rights, environmental and permitting processes, regulatory filings, and the procurement of long lead time materials [1].

According to Mr. Kevin Francis, Vice President of Exploration & Technical Services at U.S. Gold Corp., the partnership with CLFP provides excellent engineering support and power solutions that will enhance the CK Gold Project [1]. The power line will be amortized over the life of the mine under a power consumption agreement, which is currently in the process of being finalized [2].

The CK Gold Project, located in southeast Wyoming, has a Preliminary Feasibility Study technical report completed by Samuel Engineering Inc. and is part of U.S. Gold Corp's portfolio of exploration properties, which also includes the Keystone exploration property in Nevada and the Challis Gold Project in Idaho [1].

The agreement highlights the company's progress in securing essential infrastructure for the project, aligning with its goal of developing a robust and sustainable mining operation. The project is on track in terms of timing and budget, with electricity set to be delivered right to the gate at an amortized rate [2].

However, investors should be aware of the risks associated with forward-looking statements, including market conditions, environmental and regulatory risks, and the ability to raise sufficient capital for development and drilling programs [1].

References:
[1] https://www.prnewswire.com/news-releases/u-s-gold-corp-signs-engineering-and-procurement-contract-with-cheyenne-light-fuel-and-power-company-for-ck-gold-project-302539548.html
[2] https://finance.yahoo.com/news/u-gold-corp-signs-engineering-120000191.html