Comstock Mining Strategically Expands Properties; Receives Breakthrough Zoning Changes

VIRGINIA CITY, Nev., Feb. 4, 2014 /PRNewswire/ -- Comstock Mining Inc. (the "Company") (NYSE MKT: LODE) announced today that it recently secured over 300 acres of private lands adjacent to the approximately 77 acre American Flat processing area providing valuable expansion opportunities for leaching, processing, refining and potentially, milling solutions for the district.  The Company now owns or controls over 7,000 acres of land, including patented and unpatented mining claims.

The Company has now commenced district-wide planning, engineering and feasibility studies for resource and reserve development and growth beyond the current Lucerne mining operations through a responsible, district-wide expansion plan.  These planning, engineering and feasibility studies will produce an expanded mine plan for Lucerne, further mineral assessment for the Spring Valley and Dayton Resource Areas, and ultimately, potential mine plans.  The district-wide plan will also assess centralized processing capability.

"Over the past few months, we have significantly increased the intrinsic value of our company and the Comstock communities.  Our land consolidation, responsible operations and community-wide support network continue to grow in every respect.  Our collaborations with these communities are centered on well-planned projects that promote responsible development in this historic, world class gold and silver mining district," stated Corrado De Gasperis, President and CEO of Comstock Mining Inc. 

Earlier this year, the Lyon County Board of Commissioners unanimously approved breakthrough zoning changes on certain Company mining claims and other properties located in the Dayton Resource Area, enabling a more comprehensive assessment.  These claims represent the Company's second largest, classified gold and silver resource and include the historic Marble, Alhambra and Kossuth lode patented mining claims.  The Company previously announced the positive restructuring of the debt and royalty obligations related to these patented mining claims.  The restructured transaction eliminated $2 million of debt and canceled all existing royalty obligations with respect to these mining claims.

Mr. John Winfield, Chairman of the Board of Comstock Mining Inc. commented: "The district-wide planning process will develop clear opportunities, create valuable jobs and improved qualities of life for this and future generations.  We can achieve both our social and economic objectives for true sustainability.  Doing good makes good business sense (cents). This is the cornerstone of our philosophy of coupling social responsibility and economic objectives."

About Comstock Mining Inc.
Comstock Mining Inc. is a producing, Nevada-based, gold and silver mining company with extensive, contiguous property in the Comstock District.  The Company began acquiring properties in the Comstock District in 2003.  Since then, the Company has consolidated a significant portion of the Comstock District, amassed the single largest known repository of historical and current geological data on the Comstock region, secured permits, built an infrastructure and commenced production in 2012.  The Company continues acquiring additional properties in the district, expanding its footprint and creating opportunities for further exploration, development and mining.  The near term goal of our business plan is to deliver stockholder value by validating qualified resources (measured and indicated) and reserves (proven and probable) of at least 3,250,000 gold equivalent ounces from our first two resource areas, Lucerne and Dayton, achieve initial commercial mining and processing operations in the Lucerne Mine with annual production rates of approximately 40,000 gold equivalent ounces and significantly grow the commercial development of our operations through coordinated, district wide plans that are economically feasible and socially responsible.

Forward-Looking Statements
This press release and any related calls or discussions may include forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 about Comstock.  Forward-looking statements are statements that are not historical facts.  All statements, other than statements of historical facts, are forward-looking statements. Forward-looking statements include statements about matters such as: future prices and sales of, and demand for, our products; future industry market conditions; future changes in our exploration activities, production capacity and operations; future exploration, production, operating and overhead costs; operational and management restructuring activities (including implementation of methodologies and changes in the board of directors); future employment and contributions of personnel; tax and interest rates; capital expenditures and their impact on us; nature and timing and accounting for restructuring charges, gains or losses on debt extinguishment,  derivative liabilities and the impact thereof; productivity, business process, rationalization, investment, acquisition, consulting, operational, tax, financial and capital projects and initiatives; contingencies; environmental compliance and changes in the regulatory environment; offerings, sales and other actions regarding debt or equity securities; and future working capital, costs, revenues, business opportunities, debt levels, cash flows, margins, earnings and growth.
The words "believe," "expect," "anticipate," "estimate," "project," "plan," "should," "intend," "may," "will," "would," "potential" and similar expressions identify forward-looking statements, but are not the exclusive means of doing so. These statements are based on assumptions and assessments made by our management in light of their experience and their perception of historical and current trends, current conditions, possible future developments and other factors they believe to be appropriate. Forward-looking statements are not guarantees, representations or warranties and are subject to risks and uncertainties that could cause actual results, developments and business decisions to differ materially from those contemplated by such forward-looking statements. Some of those risks and uncertainties include the risk factors discussed in Item 1A, "Risk Factors" of our annual report on Form 10-K and the following: current global economic and capital market uncertainties; the speculative nature of gold or mineral exploration, including risks of diminishing quantities or grades of qualified resources and reserves; operational or technical difficulties in connection with exploration or mining activities; contests over our title to properties; potential dilution to our stockholders from the conversion of securities that are convertible into or exercisable for shares of our common stock; potential inability to continue to comply with government regulations; adoption of or changes in legislation or regulations adversely affecting our businesses; business opportunities that may be presented to, or pursued by, us; changes in the United States or other monetary or fiscal policies or regulations; interruptions in our production capabilities due to unexpected equipment failures; fluctuation of prices for gold or certain other commodities (such as silver, copper, diesel fuel, and electricity); changes in generally accepted accounting principles; geopolitical events; potential inability to implement our business strategies; potential inability to grow revenues organically; potential inability to attract and retain key personnel; interruptions in delivery of critical supplies and equipment raw materials due to credit or other limitations imposed by vendors; assertion of claims, lawsuits and proceedings against us; potential inability to maintain an effective system of internal controls over financial reporting; potential inability or failure to timely file periodic reports with the SEC; potential inability to maintain the listing of our securities on any securities exchange or market; and work stoppages or other labor difficulties. Occurrence of such events or circumstances could have a material adverse effect on our business, financial condition, results of operations or cash flows or the market price of our securities. All subsequent written and oral forward-looking statements by or attributable to us or persons acting on our behalf are expressly qualified in their entirety by these factors. We undertake no obligation to publicly update or revise any forward-looking statement.

Neither this press release nor any related calls or discussions constitute an offer to sell or the solicitation of an offer to buy any securities.

SOURCE Comstock Mining Inc.