CEO Blog - May 2, 2013
Thursday, May 02 2013 12:26
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First Judicial District Court rules in favor of Comstock Mining and Storey County

Question: What is going on with this lawsuit by the CRA against the County? 

Answer: Last week, we received notice from the Court that CRA’s complaint and petition for injunctive relief were denied in conjunction with the summary judgment order issued in favor of the County and the Company.  We could not be happier with the decision and frankly, never considered this action as anything other than a moot, frivolous action on the CRA’s behalf. 

On April 24, the First Judicial District Court issued its order on the cross motions for summary judgment.  The court determined that Storey County did have the authority in 2004 to impose a condition in the SUP that the Company not use Highway 342 for hauling ore from the mining area to the processing area.  The CRA considers this a victory but so should the County.  However, more substantively, the court also held that the Storey County Commission properly amended the SUP to eliminate the “no haul” provision relying on proper factors.  This was our main, most relevant argument.  As such, Storey County and the Company were granted summary judgment on the issue.  The court denied the CRA an injunction precluding the Company from using the highway to haul ore. Regardless, we are not currently using the highway to haul ore.

In the meantime, we have been ramping up production, using our quite excellent haul road, and I very much look forward to providing a full update on our operations next week, on Thursday, May 9. 

Best Regards from The Comstock,

Corrado De Gasperis

President and CEO