Photo by Dion Beetson on Unsplash
The following post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga.
For the first time since 1991, a drill is on its way to Gooseberry mine.
Led by the team at American Pacific Mining Corp.(OTC: USGDF ), this initiative aims to revitalize a mine that produced gold and silver grades as high as 113.8 grams per tonne (g/t) and 4,578 g/t.
To understand the magnitude of such findings, consider that the World Gold Council classifies superior quality mines at around 8 g/t to 10 g/t gold.
American Pacific Mining is not alone in the search for quality gold mines.Arizona Metals Corp .(OTC: AZMCF ) , Liberty Gold Corp.(OTC: LGDTF ), Blackrock Silver Corp.(OTC: BKRRF ), and Northern Superior Resources Inc.
(OTC: NSUPF ) are all participants in the race to strike gold (and silver).
A key differentiator for the company, and a core reason its grades are at 10 times industry standards, is because of the mine’s proximity and structural similarity to the Comstock Lode.
The Comstock Lode
Between the mid-19th to mid-20th centuries, the Comstock Lode was the largest gold mine in the U.S., accumulating 8.6 million ounces of gold and 270 million ounces of silver.At 2,900 feet, the Comstock Lode averaged roughly 566 g/t gold, a ludicrous figure by industry standards.
American Pacific Mining’s Gooseberry mine is not only 15 miles away from the Comstock Lode, it also bears the same rocks, Kate Peak andesites, as the historical giant does.
Unfortunately for Gooseberry explorers in 1991, budgets for exploration were tight, and the expedition ended prematurely at a depth of 1,150 feet — less than 50% of Comstock’s depth — with ore right ahead of them.The company that owned it referred to the ore as reserves at that time.
Since then, modern exploration of this mine has been extinct — until now.
Primed for Exploration
image001_1.jpeg Image Courtesy of APM
Located in a relatively remote area on the mountain ranges of Nevada, the Gooseberry mine was poorly situated for a cheap and steady power source to maintain its exploratory efforts.Instead, generators fed the mine’s activity, and this proved a costly and unsustainable solution.
Story continues Now, a newly fashioned gravel road provides a route to a new electric substation.
With power coming in from the north, there’s no need for the bottle-necking costs of generators, and the mine is far more primed for a cost-efficient exploration program.
Untapped Potential
While the past performance of the Gooseberry mine is exceptional, there could still be untapped potential.The Gooseberry mine is reporting stronger grades at depth, and this depth is ready for exploration.
With the developments set to optimize cost efficiency and the mine’s proven track record, American Pacific Mining could be on the periphery of a lucrative find.
The preceding post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga.Although the piece is not and should not be construed as editorial content, the sponsored content team works to ensure that any and all information contained within is true and accurate to the best of their knowledge and research.This content is for informational purposes only and not intended to be investing advice.
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