Pacific Gold Corp. Redeems Convertible Debentures
Pacific Gold Corp. announced that it has completed a sale of its fleet of Komatsu Haul trucks. A portion of the proceeds from the sale were used to redeem convertible debentures previously sold to Yorkville Advisors. The principal remaining on the original face value of the $2,440,000 in notes sold to Yorkville is now $267,000.
As previously announced in March, Nevada Rae Gold conducted tests with a local hauling contractor that showed over the road trucks should greatly decrease operating and maintenance costs. It was decided that the capital tied up in the Komatsu trucks, would serve a better use by reassembling the production plant with the new desanding system and reducing the debt to Yorkville Advisors (formerly Cornell Capital Partners).
The Company is currently receiving quotes from contractors for the plant reassembly.
Nevada Rae Gold currently has over 1700 acres of land covered by claims and leases, located between the Cortez and Battle Mountain Trends. This northern area of Nevada is responsible for over 80% of all Gold Production in the U.S. The Company’s claims and leases contain up to 500,000 ounces of gold.