The Graystone Company Announces Acquisition of Equipment to Smelt Its Own Gold Bars
LIMA, Peru--(BUSINESS WIRE)-- The Graystone Company (OTCQB: GYST), announced today it has purchased the necessary equipment to begin smelting its own gold bars. The equipment will be delivered and installed next week and the Company expects to begin producing its own gold bars from its mining operations by the end of October 2012. The Company will initially smelt .9999 fine 10 gram gold bars and 22k white gold bars.
By vertically integrating its business from producing gold and precious metals from its own mining operations to being able to sell directly to retail consumers the Company increases its margins by 15-20%. Junior mining companies typically sell its ore to refineries for 5-7% below spot price. However, by selling our gold to retail consumers, the Company can sell the gold and other precious metals for 10-15% over spot (for an increase of up to 20%). For example, the increase in margins could generate an additional $300-$400 per ounce of gold.
The Company's CEO and CFO financed the acquisition of the equipment which included gas furnaces, smelting equipment, molds, and other necessary equipment.
The Company recently announced it has commenced mining operations in Peru and will build out its mining operations in October and November 2012 and expects to be in full production in December 2012. Additionally, the Company has determined that it qualifies for a 2-year exemption from the Ministry of Mining in Peru. The exemption allows the Company to conduct full mining operations on its mining property Gorila for 2-years while completing the environmental impact study. The Company has filed for the exemption and expects to receive the exemption in the next few weeks. The Company is allowed to conduct limited production operations until it receives the exemption from the Ministry of Mining.
About The Graystone Company. The Graystone Company, Inc. is a U.S.-based mining and exploration company focused on acquiring and developing gold and other mineral properties. The Company's strategy is to build value for shareholders by the identification, acquisition and exploration of early-stage properties that show significant potential for the discovery of gold.
Notice Regarding Forward-Looking Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. Actual results could differ from those projected in any forward-looking statements due to numerous factors. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that any beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that any such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-K for the most recent fiscal year, our quarterly reports on Form 10-Q and other periodic reports filed from time-to-time with the Securities and Exchange Commission.
KEYWORDS: South America Peru
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