Corcoran Canyon is the
highest-grade bulk tonnage open-pittable silver deposit in North
America, and hosts a historical silver-gold resource ready for
economic studies. The project offers the potential for near-term cash
flow from a drilled silver-gold resource.
Located in Nevada, USA, the project lies in a
prolific belt of gold and silver deposits that have produced in
excess of 175M ounces of silver and hosted over 20M ounces of gold.
The project is located 75 km northeast of the historic Tonopah
silver-gold district (>175M ounces silver produced), and 15 km
east of and on the same caldera margin structure related to Kinross’
Round Mountain Mine (>15M ounces gold total endowment). The project consists of 253 unpatented mineral claims covering approximately 1,959 ha.
A historical resource estimate on the Corcoran
Canyon project includes Measured + Indicated resources of 1,54M
tonnes grading 195.6 g/t Ag and 0.37 g/t Au; and Inferred resources
of 2.16M tonnes grading 300.0 g/t Ag and 0.27 g/t Au.
Silver-gold mineralization on the project consists
of zones of low-sulfidation veining, stockwork, breccias, and
disseminations in a northeast-trending belt accompanied by widespread
hydrothermal alteration. Veining consists of as many as 15 different
mineral assemblages with drusy quartz-adularia and dark gray
siliceous microbreccia veins dominating, and including pyrite and
Ag-Cu-Sb-As sulfides and sulfosalts and their oxidized equivalents in
gangue of quartz, calcite, adularia, siderite, and barite. Fracture
surfaces coated with adularia are similar to those characteristic of
Au mineralization at Round Mountain.
The historical resource on the project occurs in
the Silver Reef zone, a northeast-trending body of mineralization
that crops out on surface in a resistant hill, providing excellent
access for mining and potentially low strip ratio during mining. The
Silver Reef zone is open along strike to the northeast and southwest,
and the project has multiple high-quality expansion targets. The
Silver Reef zone shows excellent expansion potential for high-grade
mineralization at depth, where bonanza-grade silver of up to 2,616
g/t Ag has already been drilled.
Resource Capital Gold plans to move the project on
a fast track to development, beginning with a 2,000-meter
resource-verification drill program in order to calculate a current
mineral resource on the project. The Company plans to follow this
with a complete feasibility study including metallurgical test work
and environmental studies, leading to construction and commissioning.
The project is initially envisioned as an open-pit mine with
heap-leach processing, but the feasibility study will also evaluate a
milling scenario, which may bring enhanced economic returns to this
advanced, high-grade silver project.
This historical resource is based on historical drill data that has
not been upgraded to NI 43-101 standards. A qualified person has not
done sufficient work to classify this historical estimate as a
current mineral resource, and Resource Capital Gold Corp. is not
treating it as a current mineral resource.
The scientific and technical information in this disclosure was reviewed and approved by David S. Smith, MS, MBA, CPG, who is a Qualified Person under National Instrument 43-101 Standards of Disclosure for Mineral Projects.