South Arturo: A Recent Gold Discovery On The Carlin Trend

The newly discovered South Arturo deposit is a Carlin-type, breccia-hosted, oxide gold deposit located on the Dee Mine property at the north end of the Carlin Trend in Nevada. The Dee Gold Mine was discovered in 1981 by Dee Delamar, a Cordex geologist. The property was put into production by Rayrock Mines in 1984. During its 16-year mine life, the Dee Mine produced about 18.6 t (600,000 oz) of gold from oxide ore at an average production rate of about 1.24 to 1.55 t/a (40,000 to 50,000 oz/year). In October 1997, Bar-rick Gold Exploration acquired the right to earn a 60-percent interest in the Dee property from Dee Gold Mines through an exploration farm-out agreement. Barrick Gold Exploration began exploration activities on the property in 1998 and vested in its 60 percent operating interest in 2004. However, the discovery hole at South Arturo was not drilled until July 2005 from atop the historic mine dumps located 300 m (985 ft) south of the Dee openpit. The discovery hole (BD-72) encountered a cumulative 75.6 m (248 ft) of oxide mineralization grading 1.9 g/t (0.055 oz/st) gold beneath 260 m (855 ft) of dump material and post mineral Tertiary Carlin Formation volcanic and sedimentary rocks. Oxidation within the deposit extends to depths greater than 610 m (2,000 ft). The deposit has passed the prefeasibility test and is presently in the feasibility stage. Exploration is on-going to enhance or enlarge the known deposit. The current resource for the deposit stands at 40.4 t (1.3 million oz) of gold. The South Arturo discovery is an example of an historic mining property yielding a new discovery through the diligent application of area selection criteria of the model type and persevering when early results were generally negative. Barrick?s original exploration pro-grams on the property were focused on the discovery of deep, high-grade sulfide deposits that would likely be mined by underground methods. As it turns out, South Arturo is mostly oxidized and will be amenable to mining by openpit methods