California, United States
12 km East of Mammoth Lakes
January 9, 2008
Results from a preliminary assessment evaluating the potential economics of the project assuming that the mineral resources were mined using open-pit mining methods and processed using heap-leach technology were provided. After the pit material has been mined, the remaining waste materials would be backfilled into the pit along with the detoxified heap material. The potential development would produce an estimated 535,300 ounces of gold over an eight-year mine life. MDA estimated startup capital at $58.8 million and total project capital at $61.8 million. (Dec 31/07)
January 31, 2003
Due diligence including completion of a resource study following Canadian National Instrument 43-101 standards.Resources were calculated using industry-standard block modeling software. Based on the study, geological resources(1) above a 0.010 opt cut-off are: 68,276,000 tons grading 0.018 opt for contained ounces of 1,211,200 for both the oxide and sulfide ore in the measured and indicated category. Inferred resource (oxide and sulfide) totals 32,914,000 tons grading 0.017 opt for contained ounces of 571,500. Oxidation of the mineralization extends to depths of 250 feet from surface. The oxidized material forms about 55% of the measured and indicated resource and 38% of the inferred resource.
During the period of 1994 through 1997, Royal Gold, Inc., a former owner, drilled 615 reverse circulation and 10 core holes at the property. During this time, Royal also completed metallurgical investigations, preliminary engineering studies, including resource estimations, and initiated baseline-type environmental studies of the biological, water and archeological resources of the area. The Corporation has acquired all related data from Royal in exchange for a 1% NSRR to Royal. The database contains 896 drill holes, totaling 268,275 feet. The majority of holes were drilled using reverse circulation methods. Gold was primarily analyzed by fire assay, with grade determinations by atomic absorption.