Summary

The Bunce-Velvet project is a low sulfidation, volcanic-hosted, epithermal gold system within the Trinity volcanic province. Several small deposits have been mined within this minimally explored land position.

Location

The Bunce-Velvet project area is located 30 kilometers west-northwest of Lovelock along the western flank of the Trinity Range in Pershing County, Nevada. The area is located beyond the end of the pavement of State Highway 399.

Land Status

Newmont controls more than 15.5 square kilometers of mineral rights including both railroad, "checkerboard" private minerals and mining claims across the area of interest.

History

The Bunce-Velvet area consists of two historic producing locations. The Bunce shaft was mined during the mid-1930's and was subsequently purchased by Sanford Bunce from the Southern Pacific Land Company. The Velvet District was active between 1915 and 1939 and had a recorded production of 26 ounces of gold and 10 ounces of silver from 36 tons of ore. The district lay dormant until exploration activities resumed by a series of companies from 1984 through 1992. Activities included trench and soil sampling, geologic mapping, geophysics and drilling. This work identified four small deposits within the Bunce area referred to as the Discovery, Central, Santa Fe East and Santa Fe West zones. Since that time, only a few deep holes have been drilled targeting these high-grade structural zones.

Geology

The area consists of a Middle Miocene rhyolite sequence that includes two distinct packages of welded tuffs, non-welded tuffs and flows separated by an interval of epiclastic sedimentary rocks. Mapping and drill data indicate that the sequence is at least 182.5 meters thick. A series of northwest to northeast striking normal faults caused down to the east displacement. Typical low sulfidation epithermal alteration with a retrograde acid sulfate overprint is extensive within the project area. Zones of mineralization are typically associated with silicification, quartz-adularia, veining, pyrite, jarosite, hematite and argillization. The adularia typically occurs on hilltops and may have formed from descending steam heated waters. In the Velvet area, exposed quartz veins are typically pale beige with a very fine grained, sugary texture with occasional banding or comb quartz cement. Vein extents at depth and along strike are not very well constrained. The potential exists for additional structurally controlled veins as well as more disseminated, stockwork type mineralization across the district.

Databases

Newmont maintains an extensive database for the Bunce-Velvet project.