Pony Spur property is a dual, Carlin-style sediment-hosted and Low Sulfidation Breccia Pipe Style gold prospect in the southern part of the prolific, +100,000,000 oz. Carlin-Rain Gold Trend, and is situated 2.25 Km northwest of the adjoining 1,500,000 oz. Pony Creek gold deposit controlled by Allied Nevada Gold, owners of the Hycroft gold mine in northwestern Nevada. The Pony Spur project is along trend in the Rain gold deposit cluster, which includes the Rain, Tess, and Emigrant mines (Newmont), the 2,000,000 oz. M/I/I high-grade Saddle gold deposit (presently being drilled by Premier Gold Mines and Newmont), Railroad-Bullion (presently being drilled by Gold Standard Ventures), and other peripheral gold deposits. The Rain deposit cluster has a combined M/I/I resource in excess of 5 million ounces in open pit operations and higher-grade underground gold deposits. Sage Gold Inc. drilled one core hole on the Pony Spur property in 2007, discovering silica-rich gold mineralization. The property comprises 7 lode mining claims of approximately 140 acres, which have been filed with the BLM.
The Pony Spur property area sits along a WNW-trending, Rain-parallel fault system of undetermined width that intersects the Pony Creek gold deposit area just east of our property boundary. Two types of strong surface gold mineralization and alteration are present at the Pony Spur gold property. A silica-rich, breccia “pipe” with gold mineralization crops out at the surface of Pony Spur, similar to mineralization present in Allied Nevada’s 1.5M oz Pony Creek gold deposit, and the drill hole by Sage Gold intersected gold mineralization in this “pipe”. Carlin-style, thallium-gold rich geochemical rock anomalies also are present at the surface at Pony Spur, possibly indicative of Rain-Meikle type fault-controlled Carlin-style sediment-hosted gold mineralization at depth.