Summary

The Blackhawk project is a zoned magnetite skarn/tungsten hydrothermal system along the margins of the Cretaceous intrusion and associated high temperature base and precious metal veins.

Location

The project area is located 30 kilometers southwest of Fernley and 18 kilometers northeast of Virginia City along the eastern flank of the Flowery Range, straddling Storey and Lyon Counties, Nevada.

Land Status

Newmont controls 5 square kilometers of mineral rights through railroad, "checkerboard" private minerals adjacent to areas of historic production.

History

Starting in the early 1900's, the area was prospected for iron ores that led to the development of several deposits known collectively as the Dayton Iron Deposits. The Utah Construction and Mining Company purchased the deposits in 1951 and by late 1961 had completed 19,000 meters of drilling that delineated a substantial magnetite skarn body. At some point in the early 1900's, the Blackhawk vein was discovered and mined for small amounts of copper minerals that occur in a high temperature intrusion related vein. More recent sampling resulted with anomalous gold values associated with the vein and initiated several exploration programs that included drill testing. The best intercepts along the vein from 1989 include 3m at 1.6g/t, 13.7m at 0.6g/t and 1.5m at 0.8g/t Au. The deepest hole in the area was drilled to a depth of 100 meters.

Geology

The northern portion of the property is situated along the margin of a Cretaceous diorite intrusive, age dated at 77.1 +/- 3.1 MA, with upper Miocene Kate Peak dacite volcanics. A major, silicified structure, including sporadic quartz veining within the diorite host rock, runs through the historic Blackhawk mine. Argillic alteration with quartz stockwork is also developed in a few locations at surface. Trace to minor chalcopyrite is often observed in quartz vein material on the property with minor copper mineralization of malachite/chalcopyrite observed within the area. Minor galena is also found within the quartz.

Databases

Newmont maintains an extensive database for the Blackhawk project.