Terraco Gold Corp. (TSX.V TEN | US: TCEGF), has a mix of advanced and early-stage gold-silver projects in Idaho and Nevada, USA.
The 100% owned Almaden Project is located 12 miles east of Weiser and 78 miles north of Boise, Idaho. The project hosts a National Instrument 43-101 compliant measured plus indicated resource of 864,000 ounces of gold and an inferred resource of 84,000 ounces of gold within 300 feet of surface. The advanced- stage Almaden project has excellent access with good infrastructure and includes over 199,000 feet of historic drilling in 887 drill holes. Terraco has completed a drill program to explore the extension of the near surface mineralization that is open to the north and south, as well as test for high-grade, bonanza-style structurally controlled gold mineralization at depth. Project comparisons for Almaden are The Ken Snyder "Midas Mine" (Newmont) and the Hollister Mine (Great Basin Gold) located in northeast Nevada.
The 100% owned Moonlight Project is located 21 miles northeast of Lovelock, Nevada and about five miles north of the Coeur d'Alene Rochester silver-gold mine. The Rochester Mine has produced over 127 million ounces of silver and 1.5 million ounces of gold in its 24 year history and has recently returned to production. Additionally, the Moonlight Property adjoins the north side of the Barrick Gold Corp./ Midway Gold Corp Spring Valley joint venture. Spring Valley, operated by Barrick, hosts a National Instrument 43-101 measured, indicated and inferred resource of 4,100,000 ounces of gold. Barrick's 2009 and 2010 drilling confirms the gold mineralization is open to the north (towards Moonlight) and at depth.
Terraco has executed a definitive agreement with Seymork Investments Ltd., a British Columbia company, for the acquisition of a significant land package and the option to acquire an additional 2,287 acres of net surface rights and 6,187 acres of net mineral rights at and in the area of Terraco's Moonlight property. The Transaction provides Terraco with 100% ownership of a larger strategic land package and a better overall exploration opportunity for its Moonlight Property.
Terraco has also enhanced its presence in the Humboldt trend by entering into a three-way transaction, whereby Terraco arranged for a US$5,000,000 (non-dilutive) cash infusion and acquired an option on a mineral production royalty of up to 2.5% (on a sliding scale net smelter returns basis) on claims covering part of the Barrick-led Spring Valley Project.
Terraco Gold Corp. has provided an update.
- Barrick Gold Corp. has earned 70-per-cent interest (by spending $38-million) in the joint venture with Midway Gold Corp. of the Spring Valley project, Nevada;
- Terraco has royalty coverage of up to 3-per-cent NSR on claims covering the known Spring Valley gold deposit.
On Nov. 18, 2013, Midway Gold reported that Barrick Gold had informed Midway of the completion of $38-million in expenditures on the Spring Valley project, Pershing county, Nevada, which meets the expenditure requirement for Barrick to earn a 70-per-cent interest in the joint venture. Midway also reported that the Barrick expenditures for the earn-in on the Spring Valley project are more than a year ahead of the scheduled requirements under their agreement.
The Spring Valley project is a large, porphyry-hosted gold system, located approximately 32 kilometres northeast of Lovelock, Nev., that hosts a National Instrument 43-101-compliant gold resource. Terraco has gold royalty coverage of up to 3-per-cent NSR on claims covering the project and also controls over 35 square kilometres of early stage exploration potential (the Moonlight project) adjoining the Spring Valley project joint venture to the north.
"With a significant royalty structure and option of up to 3-per-cent NSR on the Spring Valley gold project, we are pleased to see that Barrick has completed this earn-in with Midway. This milestone is encouraging from a project development standpoint. The Spring Valley project is a great Nevada story from the discovery by the early prospectors to a grass roots project to its current advanced stage development and we look forward to the continued success at Spring Valley," stated Todd Hilditch, president and chief executive officer of Terraco.