The Highland prospect in Lander County, Nevada is a low-sulfidation project that has potential for a Midas or Sleeper style gold system. It forms the eastern edge of the extensive Walker Lane structural zone, host to such multi-million ounce gold deposits such as Comstock, Rawhide, Tonopah, Goldfield and Paradise Park. The Highland vein system and the veins related to the Big Hammer dome demonstrate very high water/rock ratios that often contain bonanza-grades of gold and silver as well as highly anomalous pathfinder elements such as arsenic, antimony and molybdenum.
The project consists of 120 claims for approximately 12 sq. kilometres and hosts multiple high-grade vein and bulk-tonnage gold-silver targets. Vein networks on the property are discontinuously exposed on surface and in trenches over a 1.2 kilometre strike length with grades of up to 17g/t Au. Multiple veins and persistent high-grade gold and silver mineralization to depth, vein textures, metal and alteration signatures, all suggest that these intercepts are still above the main boiling in a high level system.
Highland Project Update
The company has signed a Letter-of-Intent with Christopher James Gold Corp for the Highland project. Christopher James may earn a 51% interest in the property by spending US$4,000,000 over a six-year period, which will include paying underlying annual minimum royalties and claim-holding fees. Christopher James may earn a further 19% interest, for a total of 70%, by producing a bankable feasibility study by the end of year six. This option may be extended for up to two years by paying Fortune River US$100,000 and spending a minimum of US$1,000,000 per year. The project is subject to an underlying royalty of 3% NSR, of which 1% can be purchased for US$1,000,000. Fortune River will be project manager initially, continuing as long as mutually agreed.
The initial program will consist of re-logging all previous holes, in order to further refine the 3D geologic model, and then permitting a series of drill sites to test extensions of the known high-grade pod, explore blind veins discovered during 2006/7 drilling, and explore an undrilled area with recently identified mineralized float. Drilling is expected to begin late fall of this year or spring of 2010.
Detailed geology from the 2006/2007 core drill program as well as assays are being integrated into Fortune River's 3D model in order to evaluate the results.
Prior to the completion of the recently completed drill program, 25 holes for 5,960 metres over three phases of RC drilling had been completed on the main Highland vein system. High-grade surface mineralization has been traced to depths of over 200 metres. Bonanza grade mineralization (20.26g/t Au and 24.1g/t Ag over 1.2 metres and 66.9g/t Au and 397.7g/t Ag over 1.5 metres within 12.2 metres of 9.5g/t Au and 109.4g/t Ag) had been intercepted at depths to 135 metres down plunge from high-grade surface results. In addition, high-grade silver (up to 58.9g/t Ag over 13.7 metres) occurs in footwall veins.
History and Past Production
- The property was originally developed during the 1930's until mid 1940 and again from 1997 to 2001. Previous operators have conducted a detailed magnetics survey, including mapping, sampling and the acquisition/compilation of previous data. The following highlights the previous exploration and production on the property;
- The property was developed during the 1930's by a shallow incline shaft and a 160' deep vertical shaft.
- Past production is believed to have been approximately 10,000 ounces of gold during this period.
- Spectacular assays from past production include a high-grade sample 79.8 opt (2,735.5 grams per tonne) Au with 133.2 opt (4556 grams per tonne) Ag and 9.0 opt (308 grams per tonne) Au with 56.4 opt (1993 grams per tonne) Ag across six feet.
- A 15' chip/channel sample across one of the strands of the Highland vein system assayed 0.16 opt (5.58 grams per tonne) Au with individual quartz veins assaying over 0.3 opt (10.28 grams per tonne) Au.
- Recent exploration of the property has been limited to trenching, a regional aeromag survey and shallow drilling.
- Trenching on the Highland project exposed a debris-flow unit depositied on altered andesite flows east of Highland at the Deb target where very good grades, up to several ppm Au have been found in float samples of vein material, sinter and silicified sediments
- More significant mineralization is believed to exist at lower depths greater than what has currently been explored. A regional aeromag survey shows the 1200' by 6000' (366 metres by 1830 metres) Highland vein system lies along the western portion of a much larger altered area.
2004/05 Drill Program
The company has completed a seven-hole, 2,190-meter core program on the Highland low-sulphidation gold project in Nevada's Walker Lane. The drill program was designed primarily to search for new mineralized shoots at the largely gravel-covered property (see news release dated May 27, 2005).
Several mining companies are currently reviewing project data on the project, to consider pursuing mineralization previously partially outlined by Rio Fortuna Exploration Corp., including a bonanza-grade RC drill intercept of 66.9 g/t Au and 397.7 g/t Ag over 1.5 meters from the A Zone (see news release December 19, 2003). The high-grade intercept occurs within a 12.2 metre section of 9.5 g/t Au and 109.4 g/t Ag. In addition, other targets have been identified that remain untested.
2003 Drill Program
The company completed six reverse-circulation drill holes at the Main Highland target during December 2003. High-grade values of 20.3g/t Au and 24.1g/t Ag over 1.2m and 50.23g/t Au and 344.2g/t Ag over 1.0m were intersected in shallow drilling (<200m) on the main vein. High-grade mineralization (9.1g/t Au and 168 g/t Ag) was intersected at a depth of 240 meters, approximately 70 meters along strike from the down plunge projection of the initial high-grade zone. The mineralization is open at depth and along strike and the indication is that because the base metal values are low, we have only tested the upper portion of the boiling zone.
2002 Drill Program
The company completed a twelve-hole 7,860 feet (2,396 m) reverse-circulation drill program in December 2002 that tested three target areas to depths of up to 800 feet. High-grade gold intercepts encountered in two holes are considered significant, especially since geological data indicate the holes are above the main boiling zone. Significant assay results included 20.26g/t gold and 24.1 g/t silver over an estimated true thickness of 4.1 meters within a much wider mineralized zone. Additional results ranged from 1.1g/t gold and 57.3 g/t silver over an estimated true thickness of 3.8 metres to 9.09g/t gold and 168.3 g/t silver over an estimated true thickness of 3.1 metres at a depth of 800 feet (195m).
The western-central portion of the Main Highland target was explored during this drilling program. This area is where the highest gold values were encountered at surface. There the main exposed vein has been informally called the “A” vein, but in fact, there are several veins present and therefore is referred to as the “A zone”. Mineralization across the “A zone” ranges in true thickness from less than 5 feet (1.5m) to 20 feet (6.0m) and averages between 0.010 opt (0.342 g/Tonne) and 0.158 opt (5.41 g/Tonne) gold.
This “A zone” has only been tested along 650 feet (198m) of strike length and to a maximum depth of 800ft (244m) of down dip, leaving most of the 6,000 feet (1,800m) of strike length remaining untested. The company is presently reviewing the recommendations from the project’s consulting geologist, J.A.Kizis Jr. that includes VLF-EM, soil sampling, reconnaissance mapping/sampling, and 18+ drill holes. See the following PDF files for an in depth summary of the December/2002 drill program.
