“Our priority will be to restart operations at the Briggs gold mine with gold production projected to commence in early 2009. The planned development of our Reward gold project in Nevada will significantly add to our production stream, subject to the issuance of the final mining permits and financing,” said Jim Hesketh, president and COO of Atna. “In addition, we expect our venture partner, Pinson Mining Co., a subsidiary of Barrick Gold, to continue the exploration and underground development of the Pinson gold project in Nevada. The projected cash flow from these three projects, combined with potential future cash flows from our royalty properties, will allow us to achieve our goal of becoming a sustainable, growth oriented, profitable gold producer.”

In late April, Atna reported that Pinson Mining had developed an operating plan and budget that targets completion by the first quarter of 2009 of PMC’s $30-million back-in expenditure obligation. The plan focuses on completing underground development work and infill drilling in the upper Ogee and Range Front resource zones to enable completion of a feasibility study and initial ore reserve estimate by the end of the first quarter of 2009.

PMC can earn a 70% interest in the project by spending a total of $30 million by April 6, 2009, which would leave Atna with a 30% interest. PMC's reported expenditures for the first quarter of 2008 were $4.1 million bringing their total project-to-date expenditures to $8 million. Spending levels are increasing as the pace of development activities have accelerated to twenty-four hours per day, seven days per week.

“We are excited and encouraged to see the high level of exploration and development focus that PMC is applying to the Pinson project. Their work program and activities are designed to take the project to a near production status and may facilitate a second quarter 2009 production decision,” said David Watkins, CEO and chairman of Atna.

According to the company, dewatering infrastructure is well advanced for the project with the completion of two rapid infiltration basins and associated pipelines. PMC is planning several additional dewatering wells to accelerate dewatering ahead of planned decline development. During the quarter the underground contractor, Small Mine Development (see following story), completed rehabilitation of existing underground workings and advanced development an additional 552 ft on three headings. Underground drifting is focused on establishing new diamond drill stations to enable resource definition drilling in both the Ogee and Range Front resource zones. This drifting will aid decline development and establish bulk sampling/ test mining locations. Underground drilling operations have now commenced with one drill, additional drills will be mobilized as stations are developed.

PMC is also evaluating open pit mining potential, primarily in the MAG pit area. The MAG pit was one of the last production areas at the Pinson mine in 1999 prior to closure due to low gold price. The remaining resources in and around the pit are the basis for PMC’s evaluation of the open pit potential of the project.