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.
A third core drill rig has been deployed to Terraco Gold Corp.'s 100-per-cent-owned Almaden (Nutmeg Mountain) gold project located in Washington county, Idaho. Terraco now has three core rigs drilling.
Terraco's 2012 Phase I drill program consists of 2 rigs focused on infill and development core drilling, using Marcus & Marcus of Coeur d'Alene, Idaho, together with a third rig drilling large 4" diameter core holes, using National EWP of Elko, Nevada, for metallurgical test work.
"Terraco is drilling with 3 core rigs in an effort to provide, as quickly as possible, infill drill assay information necessary for the next step of evaluation. We are aggressively pushing towards the economic and geological studies required for a production decision,"
stated Todd Hilditch, President and CEO of Terraco.
The Almaden (Nutmeg Mountain) Project
The advanced-stage project has excellent access, infrastructure and now includes over 66,140 metres (217,000 feet) of drilling in 903 drill holes. The project is host to a low-sulphidation, epithermal gold deposit drilled extensively from 1980 to 1992 by a number of companies including Homestake and Amax Gold.
The Almaden project is a flat-lying outcropping ore body that, within surface to approximately 300 feet, hosts a National Instrument 43-101 ("NI 43-101") compliant measured resource of 239,000 ounces of gold (10,810,000 tons grading 0.022 ounces per ton ("opt"), an indicated resource of 625,000 ounces of gold (32,240,000 tons grading 0.019 opt) and an inferred resource of 84,000 ounces of gold (5,270,000 tons grading 0.016 opt), at cut-off grades of 0.008 opt, 0.012 opt and 0.023 opt, respectively, for oxide, mixed and sulfide mineralization.
The technical information in this release has been reviewed and approved by Charles Sulfrian, C.P.G., Vice President, Exploration of Terraco and a 'qualified person', as defined by NI 43-101, unless otherwise noted.
