Las Vegas Company Announces Deal to Buy Gold Mines

By Beacon Staff

HELENA – A Las Vegas-based company has announced a $350 million deal to purchase two gold mines in southwestern Montana.

Consolidation Services Inc. stated on its website Monday that a subsidiary has entered into a stock purchase agreement to acquire Elkhorn Goldfields Inc. and Montana Tunnels Mining Inc. in Jefferson County from Elkhorn Goldfields LLC.

The Independent Record reports representatives from Elkhorn Goldfields and Montana Tunnels declined comment, while officials with Consolidation Services did not return phone calls seeking comment.

Consolidation Services calls the mines “shovel ready” after environmental bonds are posted. The company says production at one deposit at Elkhorn is expected to average 60,000 ounces of gold per year, while Montana Tunnels could average about 100,000 ounces per year. At today’s gold prices, the total is about $235 million per year.