UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): April 22, 2020

GOLD RESOURCE CORPORATION

(Exact name of registrant as specified in its charter)

2886 Carriage Manor Point, Colorado Springs, Colorado 80906

(Address of Principal Executive Offices) (Zip Code)

(303) 320-7708

(Registrant’s telephone number including area code)

Securities registered pursuant to Section 12(b) of the Act:

 

Check the appropriate box below if the form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

 

 

Item 8.01. Other Events

On April 22, 2020, Gold Resource Corporation (the “Company”) issued a press release announcing the extension of the temporary closure of operations at its Oaxaca Mining Unit, including the Arista mine, until May 30, 2020. The closure is pursuant to the federal government of Mexico’s order to close all non-essential businesses, which includes mining, to reduce the spread of the COVID-19 outbreak. A copy of the press release is attached to this report as Exhibit 99.1 and incorporated herein by reference.

The Company continues to maintain its operations at the Oaxaca Mining Unit at the minimum level necessary to maintain safety and environmental systems along with performing care and maintenance and is investigating whether it may re-open sooner than May 30, 2020 pursuant to an exception for businesses in areas that are lesser-affected by COVID-19. The Company is pursuing state and local guidance regarding return-to-work procedures for when operations can resume with an emphasis on worker and community safety.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits

The following materials are furnished as exhibits to this Current Report on Form 8-K.

Cautionary Statement for Purposes of the “Safe Harbor “Provisions of the Private Securities Litigation Reform Act of 1995.

With the exception of historical matters, the matters discussed in this report include forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from projections or estimates contained therein. Such forward-looking statements include, among others, statements regarding future exploration and development activities and the decisions of third parties over which the Company has no control. Factors that could cause actual results to differ materially from projections or estimates include, among others, precious metals prices, economic and market conditions and future drilling results, as well as other factors described in our Annual Report on Form 10-K for the year ended December 31, 2019, and other filings with the SEC. Most of these factors are beyond the Company’s ability to predict or control. The Company disclaims any obligation to update any forward-looking statement made in the press release. Readers are cautioned not to put undue reliance on forward-looking statements.

SIGNATURE

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has caused this Report to be signed on its behalf by the undersigned thereunto duly authorized.

 

Exhibit 99.1

MEXICO EXTENDS NON-ESSENTIAL BUSINESS SUSPENSION
BY 30 DAYS WHILE SUGGESTING SOONER START FOR
LESSER AFFECTED COVID-19 ZONES

COLORADO SPRINGS – April 22, 2020 – Gold Resource Corporation (NYSE American: GORO) (the “Company”) announced today that Mexico extended its national health emergency for another 30 days until May 30, 2020 to combat the spread of the COVID-19 virus. The extension order was published April 21, 2020 in the Official Gazette of the Federation and extended the original order set until April 30, 2020. This suspension order continues the temporary closure of the Company’s Oaxaca Mining Unit operations in Mexico. The Mexican government has signaled it is evaluating zones with the least COVID-19 impact for potential earlier start up.

The COVID-19 impact map provided by the government shows Oaxaca among the least impacted zones in Mexico. The Company is finalizing its proposed start up plan to submit to the Federal Government requesting an earlier potential start-up date. While the Company’s Oaxaca Mining Unit is prepared to remain closed until the new extended May 30, 2020 date if needed, the plan to be submitted includes a staged ramp-up focused on utilizing local workforce first with a potential quarantine period for those that would be returning to work from outside the local area. The Company is also working closely with the local towns and citizens prioritizing safety first.

The Company’s Nevada Mining Unit continues to operate while taking numerous precautionary measures to keep its employees and contractors safe. The Company is also donating to local food banks and other social programs in the communities around both mining units and in the cities where it has offices. As this unprecedented situation continues to evolve on often an hourly basis, we appreciate our shareholders’ support as we navigate the impacts of the COVID-19 pandemic on the business world.

Cautionary Statements:

This press release contains forward-looking statements that involve risks and uncertainties. The statements contained in this press release that are not purely historical are forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. When used in this press release, the words “plan”, “target”, "anticipate," "believe," "estimate," "intend" and "expect" and similar expressions are intended to identify such forward-looking statements. Such forward-looking statements include, without limitation, the statements regarding Gold Resource Corporation’s strategy, future plans for production, future expenses and costs, future liquidity and capital resources, and estimates of mineralized material. All forward-looking statements in this press release are based upon information available to Gold Resource Corporation on the date of this press release, and the company assumes no obligation to update

any such forward-looking statements. Forward looking statements involve a number of risks and uncertainties, and there can be no assurance that such statements will prove to be accurate. The Company's actual results could differ materially from those discussed in this press release. In particular, the scope, duration, and impact of the COVID-19 pandemic on mining operations, Company employees, and supply chains as well as the scope, duration and impact of government action aimed at mitigating the pandemic may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information. Also, there can be no assurance that production will continue at any specific rate. Factors that could cause or contribute to such differences include, but are not limited to, those discussed in the Company’s 10‑K filed with the SEC.

Contacts:

Corporate Development
Greg Patterson
303-320-7708
www.goldresourcecorp.com