Hasbrouck Project Exploration

The Hasbrouck Project consists of 41 patented mining claims and 583 unpatented mining claims held by WK-Allied Hasbrouck LLC in which WK Mining (USA) Ltd has a 75% interest, and 83 patented mining claims and 182 unpatented claims held by WK Mining (USA) Ltd.

Hasbrouck Gold Project Land Holdings

West Kirkland has identified high-grade epithermal vein and bulk tonnage exploration targets at Three Hills, Hill of Gold, Hasbrouck, and Gold Mountain. West Kirkland expanded its land package from the original 13,000 acres it acquired in 2014 to 17,000 acres by the end of 2017 through a series of lease agreements.

West Kirkland acquired the Hasbrouck and Three Hills properties with historic drilling totalling 94,300 meters, mainly performed at the Hasbrouck and Three Hills deposits. By February 2018, West Kirkland had drilled a further 5,400 meters on the property.

Hasbrouck Deposit

The Hasbrouck Deposit is a low-sulfidation, epithermal gold–silver deposit and is located in the western portion of the Divide Mining District. Hasbrouck Mountain, which forms the core of the deposit, is composed primarily of tuffs and epiclastic sediments of the Siebert Formation, which is underlain by Fraction Tuff. Several occurrences of chalcedonic sinter, deposited during hot spring activity, have been mapped near the top of the mountain. Gold and silver mineralization outcrops over much of the western half of Hasbrouck Mountain.

The currently-known mineralization extent is approximately 1,900 ft east–west by 1,100 ft north–south and has been drill-tested to a depth greater than 900 ft. Mineralization is open to the north and south at depth.

No exploration is currently planned at the Hasbrouck Deposit as this deposit is well-drilled with 349 boreholes in and around it. Modern exploration started in 1970s and has progressively continued since then to adequately defined the Resource and Reserves.

Three Hills Deposit

The Three Hills Deposit is a low-sulfidation, epithermal gold deposit, with mineralization associated with structural features, rock unit contacts, and with high permeability lithology. Gold mineralization occurs in a zone of pervasive silicification within the Siebert Formation and the upper 10 to 30 feet of the Fraction Tuff. The contact between these two units contains consistently higher grades of gold and is commonly argillized. The currently known Resources extend 600 ft east–west by 2,000 ft north–south and have been drill-tested to a depth greater than 1,000 ft. Mineralization remains open to the east and at depth. The Company continues to explore this deposit.

In July-August of 2014, West Kirkland drilled four exploration holes on the eastern flank of the Three Hills deposit, testing a newly developed structural interpretation of the deposit. The company has identified northwest structures as a potential host of high-grade mineralization. The company tested for zones of structural preparation near the contact between the Siebert formation and the Fraction Tuff.

Three Hill plan map showing target structure and 2014 drill results
Three Hills facing west showing younger Brougher Dacite cap on the north hill which has eroded on the south hill, suggesting a fault zone

Hole TH14R-004 returned 50.3 meters grading 0.73 g/t Au and 3.2 g/t Ag within a zone of intersecting structures and includes 9.2 meters at 2.27 g/t Au. Mineralization started 26 meters above the contact between the Siebert and Fraction Tuff and continued 24 meters below the contact. This intercept is 70 meters northwest of hole TH12R-15, drilled by a previous owner, which returned 66 meters of 3.3 g/t Au in a similar setting at the same elevation.

A table of West Kirkland's 2014 Exploration drilling at Three Hills is presented below.

Hole ID From (m) To (m) Length (m) Au (g/t) Ag (g/t)
TH14R-002 161.54 174.26 12.72 0.61 4.04
TH14R-003 128.02 134.11 6.09 0.48 3.16
and 153.92 158.50 4.58 0.97 7.16
TH14R-004 172.21 222.50 50.29 0.73 3.22
including 172.21 181.36 9.15 2.27 2.03
TH14R-005 179.83 185.93 6.10 1.03 4.98

*true thickness has been estimated by Company geologists to be approximately 70% of length

Hill of Gold Deposit

In late 2016, West Kirkland leased the Hill of Gold deposit with an option to acquire a 100% interest. Hill of Gold is located equidistant between the Three Hills and Hasbrouck deposits and is now being explored as a possible additional source of ore for processing for the heap leach at the fully-permitted Three Hills Mine some three kilometers due north.

Historical metallurgical work at Hill of Gold indicates that mineralization is oxidized and amenable to heap leaching at 1.5 inch particle size with 80% gold recovery. The host rocks and geological setting at Hill of Gold are very similar to the Three Hills deposit.

Drilling performed in 1993 at Hill of Gold is in the same area WKM is now targeting for follow-up drilling, and includes Hole 93-63 which intercepted 32 meters of 0.5 g/t gold at 58 meters below collar, and Hole 93-61 which intercepted 41 meters of 1 g/t gold at 70 meters below collar. Drilling in this same area in 1996 included Hole HG96-5 which intercepted 29 meters of 1.2 g/t gold at 55 meters below collar and Hole HGC96-6 which intercepted 17 meters of 2.9 g/t gold at 59 meters below collar. Modelling by West Kirkland suggests that these intercepts are open for further expansion, shallow enough for open pit mining.

West Kirkland drilled one hole at Hill of Gold in early 2017 which successfully expanded the gold zone defined by the historical 29,926 feet of drilling which involving 83 reverse circulation holes and 6 core holes:-

  Hole No. From (m) To (m) Length (m) Au (g/t) Ag (g/t) AuEq (g/t)
HILL OF GOLD HOG17-001 0.0 103.6 103.6 0.5 8.0 0.6

AuEq grade is (gold grade) +( silver grade multiplied by $16.89 divided by $1,200)

Further drilling at Hill of Gold will be targeted up–dip towards surface from this initial gold bearing intercept.

Gold Mountain Deposit

WKM has identified a significant new gold and silver target, at or near-surface, on its 100%-controlled Gold Mountain mining claims acquired in late 2017. Gold Mountain is located 1.6 km east of Hasbrouck Peak which is and economic distance for moving ore that might be found there to the heap leach facility planned at Hasbrouck Mine. The objective of WKM’s exploration program in the district is to add gold Resources and Reserves near the Company’s existing Reserves within easy trucking distance from the currently-planned and permitted heap leach processing facilities.

The Gold Mountain target was identified by analyzing historic samples along existing, long road-cuts with assay values at or better than Hasbrouck reserve grades. Through the December, 2017 lease agreement with Tonopah Divide Mining Company, WKM acquired an extensive historic exploration database. Utilizing the historical data base together with field samples and observations, WKM has mapped the bedding of known structures and completed a three-dimensional geological model of Gold Mountain. 

The Hasbrouck Technical Report [1]summarizes one of the key ore controls at Hasbrouck as follows: “Stratigraphic control, whereby the porous volcaniclastic units are preferentially mineralized, is prevalent throughout the deposit, but is especially evident in many of the moderate-grade zones…” Comparison of WKM’s three-dimensional model for Gold Mountain to the flat-bedded controls for part of the known Reserves on the adjacent Hasbrouck hill demonstrated the potential for a relatively flat-lying, thick and near-surface deposit at Gold Mountain. 

WKM’s analysis also determined that some historic drilling did test the flat-lying, gold bearing zone that now forms the target identified by WKM. At the time of the historic road-cut sampling and drilling in the 1980’s and 1990’s, the flat-bedded host rock control of gold mineralization in the area was not well recognized or understood. Gold prices were also lower then, causing exploration at the time to be focused on high-grade targets.

From the database WKM found 1,608 feet (490 meters) of road-cuts into Gold Mountain that have the gold and silver assay values reported below. A series of 20 foot (7m) continuous samples were taken along the road-cuts. Results are shown in the table below.

Historic Road-cut Continuous 20 foot Chip Sample Sections

Surface Samples Interval (ft) Gold (g/t) Silver g/t Location
Road-cut 1 441 0.87 2.4 NE Side (26 samples)
Road-cut 2 917 0.65 13.2 SW Side (47 samples)
Road-cut 3 250 0.68 22.5 East-High (16 samples)

The mineralized road-cuts have similar grades to the Hasbrouck Reserves (0.58 g/t Au and 7.9 g/t Ag) located approximately 6,500 feet (2,000 meters) to the west. The road-cuts with mineralization are close to the flat-dipping contact of two mapped units. The mineralized road-cuts cover a large area. Three approximately 250-foot sections of road-cut were sampled with low values and are interpreted as being off the layered contact. Some mapped and well-mineralized road-cuts were not sampled and WKM plans to sample these. Detailed mapping and further sampling are required to delineate and expand the target.

Limited historic drilling under the road-cuts described above has shown gold and silver values at- or near-surface with results in the table below. Historic deep drilling which cut across the mountain are interpreted to have been collared in or under the new WKM identified flat-bedded contact. The historic drilling was targeting different, higher grade structures below the flat-bedded layers now identified by WKM. Areas above the historic road-cuts are observed to host the new flat-bedded target and are open for new road-cut sampling/trenching and further drilling. The historic drill holes that do intercept the newly-identified flat-bedded target have similar grades to the Hasbrouck Reserves. See table below.

Historic Drill Holes in the Area of the Flat Road-cut Targets

Drillhole Interval (ft) Gold (g/t) Silver g/t From (ft)
DR-1 95 225 1.10 5.2 45
DR-2 95 60 0.86 10.5 60
DR-3 95 55 0.85 10.3 Surface
GM-9-90 25 0.41 3.1 30
DR-4 95 20 1.19 7.6 25
GM-10-90 15 0.44 2.1 50
F-1309-80 90 1.49 5.2 120
F-1313 80 30 0.31 0.8 80
F-1312 80 20 0.39 9.3 5
GM-11-90 45 0.95 2.6 165

The interpretation of stratigraphic control at the nearby Hasbrouck deposit supports WKM’s interpretation at Gold Mountain. Estimation of the overall dip and thickness of the newly-identified target requires further roads to be cut, both above and below existing road-cuts, as well as several short vertical holes drilled into exposed mineralization.

A historic, north-east trending, near-vertical narrow vein at Gold Mountain from which small- scale production had been performed from portals on multiple levels may have acted as a feeder to the flat-bedded target. This vertical zone has been tested by several historic holes which returned low values. A series of high-grade grab-samples along this interpreted vein for 280 meters of strike length trending north east outlines this target, see figure below. Values range from 0.29 g/t gold to 50 g/t, with nine values ranging from 10 g/t to 20 g/t gold. The width of this vein is unclear. The intersection of the high-grade vein and the flat-bedded target has not yet been drilled or sampled; this intersection area is also a target for new road-cuts/trenches and surface sampling.

Authors and Qualified Persons Statement

R. Michael Jones, CEO of West Kirkland Mining, and a qualified person as defined by NI 43-101, has reviewed and approved the foregoing technical information. He is the non-independent qualified person for the purpose of the information contained on this web page.

Updated February 16, 2018

1 Technical Report and Updated Preliminary Feasibility Study for The Hasbrouck and Three Hills Gold-Silver Project, Esmeralda County, Nevada, USA, Report Date: September 14, 2016 (the “Technical Report”).