Here is part of the article from the Elko News by Adella Harding ...........Richard
ELKO - Great Basin Gold Ltd. Today reported the company has settled its dispute with Queenstake Resources USA over an agreement for Queenstake to process Great Basin ore at the Jerritt Canyon Mine north of Elko.
Ore from Great Basin's Hollister underground exploration project in Elko County has been stockpiled at Jerritt Canyon while the two parties worked out the disagreement.
"We agreed the matter is closed. We're happy the matter is resolved, and we can treat the ore," said Robert Baldock, president and chief executive officer of Queenstake parent Yukon-Nevada Gold Corp.
"The door is open for future agreements with the company," he also said today.
According to Great Basin, the two companies agreed on an ore-processing contract for 5,000 tons of high grade and a like amount of lower grade ore. The parties will split the metal proceeds and milling costs of $88 per ton.
The agreement also calls for Queenstake's share to be reduced if metal recoveries are off by more than 10 percent from the targeted recoveries of 88 percent gold and 82 percent silver.
Great Basin also stated the settlement eliminates all rights of first refusal that had been a sticking point in an earlier agreement on the toll milling. Queenstake wanted the right of first refusal should Great Basin decide to sell the Hollister Project.
Great Basin reported the new agreement also allows Great Basin to immediately process ore stockpiles and production in excess of the capacity of its Esmeralda mill near Hawthorne through Newmont Mining Corp.'s nearby Midas mill.
The earlier agreement was an exclusive processing agreement with Queenstake, Baldock said.