Production Potential
The economics of this project are based on the current understanding of the paleochannel's average grade, width and length. The channel has been confirmed over 496 yards and is open along the length of the property (1907 yards) and width. One drill hole has intersected the paleochannel on the neighboring upstream property. Production estimates are calculated from results between drill lines 1 and 3, a length of 222 yards.
The average grade of the paleochannel between drill lines 1 and 3 is 2 fine ounces/square yard. The paleochannel has a minimum average width of 18.6 yards within this area. An estimated 8258 fine ounces are contained between drill lines 1 and 3 with an estimated gross value of CDN $37,000,000.00 at $4500/oz gold.
*Spruce Creek is known for having a high percentage of coarse gold, which is not represented in the drill samples.