The contiguous 840 acre claim group consists of 7 claims, all current with the Bureau of Land Management (BLM). Situated in sections 10, 14, and 15 township, 15 North, Range 68 east Mt. Diablo Meridian, White Pine County, Nevada.
From Highway 6/50, access is by gravel road near the bottom of Sacramento pass, about 4.5 milesin a southerly direction. The claim group lies at an elevation ranging from 6,500 feet to 7,300 feet above sea level. The Alluvial fan is gently sloping to the west and is one of the only unmined alluvial fan deposits in the district.
Description of PropertyPast sampling has shown that two types of gold bearing gravels exist at the property, and upper unconsolidated gold bearing layer of alluviam laid down in three distinct stratas. The material is a mixture of granite, schist, and quartzite with all material except the granite being of pre-cambrian origin. It consists of smaller, well rounded boulders, gravels, pebbles, sand and some clay in the lowermost strata. The other layer is cemented alluvial gold bearing conglomerate -both of these rock types are gold bearing and experience from past mining operations in other areas have shown that both types of ore may be processed successfully.
A glacial drain channel is evident and contains the cemented alluvial gravels as mentioned above. The deposit indicates the upper layers eroded from four different canyons (all at the higher elevations on the claim group). The bedrock underlying the deposit consists of granite, with indications of vein structures (outcroppings on the surface) that may contain other valuable minerals such as tungsten, molybdenum, beryllium and associated minerals. A wide distribution of gold exists throughout the deposit. With today's technologies, the gold is easily recovered at an economic rate of return for the investment.
Testing Work PerformedOriginal test work on the property was carried out in 1980 and 1981.
A 1500 + cubic yard bulk sample test was administered albiet rather crudely by todays methods and standards, but nevertheless did prove the deposit contains economic mineral at today's prices, with gold you can see in a pan.
The sampling consisted of setting up a test plant on a leveled area which used a hopper, trommel, kolberg double deck screen and 3' X 60' sluice. A 3/4 cubic yard excavator placed the material in a dump truck which transported it to the plant. A pumping station was set near the creek to supply the plant with water and 3 settling ponds were built to settle and recirculate the water.
10-20 cubic yard pits were selected along a diagonal line through the approximate center of the claim group. Two 60 cubic yard pits were dug and also a 1200 cubic yard pit on top of the alluvial fan approximately 1/4 mile east of the creek. The smaller pits were strung out paralleling the current creek. The average depth to false bedrock was 24 feet. The test program did not include drilling through the false bedrock.
The first four feet of the sluice box was removed after each test run, and was hand screened to below 20 mesh, amalgamated, then fed over amalgam plates. The material above 20 mesh was panned by hand, with the gold removed and weighed.
Results of Test ProgramThe bulk sampling resulted in an average of 0.026 oz. gold per ton. After an assay was performed, the gold was found to be 0.849 fine, the impurity being silver. The average particle size was 20 mesh, with 1000 pounds of blacksands recovered per 1000 tons ore run. The value in the black sand is 12.5 ounces per ton. It was found that this project will be an easy milling operation with the free gold easily recovered - the percentage, of course will depend upon the equipment used.
A cemented layer was found below the upper 3 strata as noted above. This ''false bedrock'' was not tested for gold content until 2003. A small test showed an average value of .184 oz/ton gold. The test did not include drilling to determine its thickness. This paying layer, in all probability, lies under the claim group of 840 acres. It is very important to note, its estimated value was not used in the ''production revenue estimate''. The values recovered in this strata will be mined as part of the mineral recovery process and will be at this point, a bonus to the buyer of the property.
Production Revenue EstimateWith gold at $1,600 spot per ounce, the ore will gross US$ 62.09 per cubic yard. Based on a very conservative estimate of the 840 acres contained in the claim group, there are 20,203,000 + cubic yards available for processing. If 200 cubic yards per hour is processed in two eight hour shifts, 3,200 cubic yards would be run per day. At US$62.09 gross per cubic yard, US$ 198,686 would be realized. 30 days per month would equal US$ 5,960,597. This would result in $59,605,970 for a 10 month year. Mine life is 21+/- years if 960,000 cubic yards were processed per year. Mine life gross US$ 1,251,725,300 could be possible. (This figure does not include the values in the cemented false bedrock layer).
Additional Possibilities or TargetsAs stated above, no attempt was made to drill through the false bedrock the deposit rests on. This should be performed as well as drilling through the bedrock, another mineral bearing strata could be proved to exist and be economic. Also the testing of the vein structures and vein outcroppings, should be a part of the overall test program.
Please note that the above information is only the highlights of the more detailed information contained in the original 48 page report that was compiled after the bulk sample testing was completed. Upon request, a copy of the complete report will be emailed to a qualified principal.
ConditionsThis mining opportunity is offered for sale.
A. Outright purchase, at a much reduced price with a residual royalty. 100% ownership will be transferred to purchaser upon receipt of full payment.
B. Lease with option to purchase with price being paid out of mine production.
Either choice offers an exclusive, secured due dilligence test period with first right of refusal or option to initiate a purchase agreement
Payment will be accepted gold in-kind.
Willing to tender and discuss all Bona Fide offers.