Hycroft Mine Demonstrates Significant Increase Potential
WINNEMUCCA, NV - Hycroft Mining Holding Corporation (HYMC) recently completed completed an Initial Assessment on the Hycroft Mine. Gold Mineral Resources at Hycroft are estimated to be 10.6 million ounces of Measured & Indicated (“M&I”) and 3.4 million ounces of Inferred. Silver Mineral Resources are estimated to be 361.0 million ounces of Measured & Indicated and 96.0 million ounces of Inferred. Hycroft has a long and successful history of oxide heap leaching operations. The company is focused on completing the technical studies to transition Hycroft into a large-scale milling operation for processing the sulfide ore. In addition, the Company is engaged in a robust exploration drill program targeting higher-grade material identified through its work in 2021 and 2022. The Hycroft mine is permitted for both heap leach and milling operations and currently has extensive infrastructure on-site, including crushing facilities, leach pad capacity, and two Merrill Crowe plants with refinery.
The Hycroft gold and silver mine is located in the Sulfur Mining District, 54 miles west of Winnemucca, and straddles Humboldt and Pershing counties, in Nevada. The mine is accessible year-round via Nevada State Route 49 (Jungo Road). The mine encompasses approximately 64,000 acres, including both patented and unpatented claims.
HYMC announced the initiation of Phase 2 of its 2022-2023 exploration drill program at Hycroft Mine. Approximately 5,000 meters of reverse circulation (RC) drilling and 3,500 meters of core drilling are planned for Phase 2. The RC drill rig has arrived on site, and the core drill rig is scheduled to arrive in mid-June. The objectives and specific target areas of Phase 2 are designed to continue the success of Phase 1 and for the first time, test new targets within the Company's vast unexplored land position of over 60,000 acres. RC Drilling: Camel zone - the primary objective of drilling within the current resource boundary is to focus on the overall mine economics for the pre-feasibility study. The Camel zone is expected to be one of the initial phases of mining sulfide ore. During Phase 1 drilling in this area, the Company converted waste and inferred material into measured and indicated classification and saw an improvement in the internal mine plan economics as a result. Phase 2 will continue this objective for further enhancement of the economics. Core Drilling: Vortex zone – following up Phase 1 drill hole H22R-5700 that encountered 55 meters of 396 g/t silver at the bottom of the pit, ending in ore mineralization. Vortex is a very high-grade silver deposit and Phase 2 drilling will test deeper potential high grades for both silver and gold
Brimstone zone – drilling to expand the new target that was identified 150 meters east of the known resource. Drill hole H22R-5679 confirmed our belief that there is mineralization beyond the known resource. New high-priority targets to be tested within our unexplored land position and beyond the current known resource. Prior geophysics, recent hyperspectral analysis and recent ground-based geology programs and analysis indicate these areas are of high importance for potential new discoveries.
The 2022 – 2023 exploration drill program at the Hycroft Mine comprises approximately 30,000 meters of RC drilling and approximately 7,500 meters of core drilling.
The Hycroft Mine is one of the largest gold and silver deposits in the world. With the current resource representing only 5% of land position, HYMC believes there is significant opportunity to increase this world-class scale deposit as the mineralization remains open in all directions and at depth. In the past, there was no systematic exploration effort to understand the genesis of this unique asset, including exploring for potential feeder systems.
HYMC also announced the acquisition of claims near the historic past-producing high-grade gold and silver mine, Rosebud. The patented mining claims known as Lucky Boy 1, Lucky Boy 2, and White Alps were acquired from Newmont USA Limited and are part of a 50% undivided interest with Hecla Mining Company.
In addition the Company also received a significant amount of data covering over 10,000 acres of land currently owned by Hycroft and adjacent to the known resource area. The data includes information from approximately 230 drill holes, rock chip samples, soil geochemistry, geophysics, and significant surface mapping. Alex Davidson, Vice President of Exploration, said, "Not only do these patented claims improve our land position but the high-quality data acquired with the claims significantly improves our understanding of the Hycroft deposit as well as our targets within the corridor between the Hycroft Mine and the historical Rosebud Mine." Diane Garrett, President & CEO, said, "As we progress the Hycroft Mine to its next phase of commercial operations, this acquisition is part of our parallel work to understand and explore the vast land position owned by Hycroft. The significant amount of data obtained through this transaction on the acquired patented claims and on land we currently own, has been extremely valuable and correlates well with the hyperspectral and fieldwork we have been conducting. This newly acquired data has allowed us to prioritize many targets within our land position".
The Rosebud Mine, which operated during 1997 – 2000 through a joint venture between Newmont and Hecla, produced approximately 400,000 ounces of gold and over 2 million ounces of silver at an average grade of over 14 grams and 83 grams per ton, respectively1. The historical Rosebud Mine is situated within the Company's land position and is the same epithermal system as the Hycroft Mine. The proximity of this very high-grade mine to the vast mineralized system at the Hycroft Mine gives us confidence in finding higher-grade ore and potential feeder systems.
The company’s address is 4300 Water Canyon Road, Unit 1, Winnemucca, NV 89445, email: [email protected].