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Plans are afoot to reopen the Idaho-Maryland mine in Grass Valley, a family-friendly area 50 miles northeast of Sacramento.
That mine — now flooded — has not had hard hats in it since 1956, but a Canadian company is convinced that more than one million ounces of gold were left behind. “This was a world-class ore body,” said David Watkinson, chief executive of the Emgold Mining Corporation, which is spearheading the project.
The Idaho-Maryland project is further from being shovel-ready than the Lincoln Mine: pumping out more than 50 years of water will take time, after all, as does completing a variety of environmental impact reports and permitting processes. And the prospect of a newly opened mine has also been met with opposition from some local activists, whose worries are rooted in both the legacy of the first Gold Rush — including contaminated and sediment-filled rivers and hillsides denuded by hydraulic mining — and by more modern quality-of-life concerns like traffic, noise and water rights.
“We’d be looking at reopening a mine in the middle of a city,” said Ralph Silberstein, the president of a grass-roots group called Citizens Looking at the Impacts of Mining in Grass Valley (or Claim-GV). “Which is not a good idea.”
Like many of the other towns in the Mother Lode, Grass Valley has long since moved its economy away from mining toward things like software and tourism. The Gold Rush itself peaked in 1852, according to the state’s Department of Conservation, when nearly four million ounces were discovered in California. By 1971, when the nation went off the gold standard, less than 2,000 ounces were produced in California.
But the rebound in price has led to a rebound in production. Domestic gold mine production in 2010 increased for the first time in a decade, according to the United States Geological Survey. Nevada is by far the largest gold-producing state, producing roughly four times that of all other states combined.
Early California prospectors used pans and their hands to find nuggets in freezing cold streams. Methods soon became more intrusive, however, with machinery and dynamite being used to dig into hard rock and lethal chemicals like mercury and cyanide used to help process the crushed ore.
And while today’s methods are safer, Izzy Martin, chief executive of the Sierra Fund, a nonprofit group devoted to preservation of the Sierra Nevada, says there are several challenges to mining old mines, including what previous companies might have left behind.
“There’s a lot of toxic materials in there,” Ms. Martin said. “And you have to clean it up.”
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This article has been revised to reflect the following correction:
NEWS!!!!!!!!!
http://finance.yahoo.com/news/Emgold-Finds-High-Grade-Gold-iw-1141731891.html?x=0&.v=1
.Emgold Finds High Grade Gold at Its Buckskin Rawhide Property, Nevada, Including 9.0 opt and 7.4 opt Gold Chip Samples in the Black Eagle Vein
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EmailPrint..Companies:EMGOLD MINING CORPEmgold Mining Corporation.Related Quotes
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EGMCF.PK 0.2550 0.00
{"s" : "egmcf.pk,emr.v","k" : "a00,a50,b00,b60,c10,g00,h00,l10,p20,t10,v00","o" : "","j" : ""} Press Release Source: Emgold Mining Corporation On Wednesday January 12, 2011, 9:00 am
VANCOUVER, BRITISH COLUMBIA--(Marketwire - 01/12/11) - Emgold Mining Corporation (TSX-V:EMR - News)(OTC.BB:EGMCF - News)(Frankfurt:EMC - News) ("Emgold" or the "Company") is pleased to report the results of initial exploration activities at its Buckskin Rawhide property, located about 40 miles south of Fallon, Nevada. The property is located in the Rawhide Mining District and is situated adjacent to Fronteer Gold Inc.'s Regent gold-silver deposit and to Rawhide Mining Company's Rawhide Mine. Initial surface sampling of the Black Eagle Vein included two high grade gold chip samples assaying 9.0 and 7.4 ounces per ton ("opt") gold respectively (see details below).
The Buckskin Rawhide property is a volcanic-hosted, structurally controlled, epithermal gold-silver prospect in the Walker Lane gold belt of western Nevada. The Walker Lane is a regional shear zone and known gold trend that hosts large and small historic and currently operating gold-silver mines, including mines of the Comstock Lode, Tonopah District and Rawhide District. Buckskin Rawhide geology and mineralization are associated with structures from the Walker Lane along with lithologic units and structures of the Rawhide caldera.
Emgold's initial surface sampling on the Black Eagle Vein was intended to check historic results from past owners of the property and to develop further understanding of gold and silver mineralization on the Black Eagle Fault. Small-scale historic mining and prospecting occurred on the Black Eagle Vein from the years 1907 to 1920 as indicated by several adits, a shaft, and four narrow stopes that were mined through to surface. Several companies explored the Buckskin Rawhide property between the years 1982 through 2001, but apparently only Kennecott Minerals Company examined the Black Eagle Vein. Kennecott's prior exploration attempted to identify open pit targets and included surface rock sampling and shallow reverse-circulation drilling.
The Black Eagle Fault is a prominent north-trending structure situated on the west side of Emgold's claim block. The surrounding bedrock is volcanic and includes latite and vent breccia. The gold-silver mineralization is related to the fault and occurs over a measured strike length of 1,100 feet (and open to extension). This mineralized zone is called the Black Eagle Vein and consists of fault gouge, quartz veins, and silicified wall rocks overprinted with iron-manganese oxides. Within the Black Eagle Vein is a zone 300 feet in strike length that has been identified, to date, containing high grade gold, which is interpreted to be a steep dipping shoot.
Emgold took chip samples in rock outcrops across and along the Black Eagle Vein structure. Because sample locations were based on available rock exposures, spacing between sites along strike varied from 10 to 98 feet. Chip samples were also taken across exposed segments of the vein at sample lengths of 12 to 24 inches, but did not represent the true or total thickness of the vein. Sample weights varied from one to two pounds.
The first set of assays (Assay 1 in the table below) resulted in several samples with very high grades up to 9.0 opt gold. To check these results, sample rejects (the unused portion of sample in the original bags) were then used to assay the highest grade samples a second time (Assay 2 in the table below). Also, a metallic screen fire assay was conducted on high grade sample EBE 10-29 to determine the presence of fine gold. The additional testing verified the high grades and that much of the gold is fine-grained (below 150 mesh).
Table 1 Gold and Silver Assays Black Eagle Vein, Buckskin Rawhide Property, NV--------------------------------------------------------------------------- Assay 1-Gold Assay 2-Gold Assay 1-Silver Assay 2-SilverSample No. (opt) (opt) (opt) (opt)---------------------------------------------------------------------------EBE 10-9 0.017 0.49---------------------------------------------------------------------------EBE 10-20 0.014 0.06---------------------------------------------------------------------------EBE 10-21 0.030 0.08---------------------------------------------------------------------------EBE 10-23 9.000 7.278/7.746 17.58 18.20---------------------------------------------------------------------------EBE 10-24 0.994 0.863/0.972 7.21 6.90---------------------------------------------------------------------------EBE 10-25 0.079 1.30---------------------------------------------------------------------------EBE 10-26 0.123 23.91---------------------------------------------------------------------------EBE 10-27 0.220 3.04---------------------------------------------------------------------------EBE 10-28 0.399 5.78---------------------------------------------------------------------------EBE 10-29 7.347 7.403 (m) 7.39---------------------------------------------------------------------------EBE 10-30 0.021 0.39---------------------------------------------------------------------------EBE 10-34 0.005 0.13---------------------------------------------------------------------------EBE 10-35 0.316 3.42---------------------------------------------------------------------------EBE 10-36 0.003 0.55---------------------------------------------------------------------------EBE 10-37 0.016 0.77---------------------------------------------------------------------------EBE 10-39 0.010 0.46---------------------------------------------------------------------------EBE 10-40 0.859 0.744/0.786 1.05 1.07---------------------------------------------------------------------------EBE 10-41 0.033 0.21---------------------------------------------------------------------------EBE 10-42 0.031 0.23---------------------------------------------------------------------------All samples are chip samples taken over 12 inch lengths except EBE 10-9, EBE10-20, and EBE 10-21, which are over 24-inch lengths. These are not truewidths across the vein.(m) is a metallic screen fire assay.Assay 2 column includes duplicate assays if conducted.
American Assay Laboratories, Inc. of Sparks, Nevada, conducted the laboratory analyses. Mr. Robert Pease, Chief Geologist of the Company and a Qualified Person as defined in National Instrument 43-101, participated in and directly supervised the sampling program. It should be noted that sampling was preliminary in nature and not conclusive evidence of the likelihood of the occurrence of a mineral deposit. However, the results of this first sampling program justify further exploration of the property.
Previous surface sampling by other companies from years 1982-2001 indicated the presence of both low and high grade gold, with grades being similar to those obtained by Emgold. Historic results included a channel sample six feet in length across the Black Eagle Vein that assayed 0.56 opt gold, and a chip sample that was 2.3 opt gold. Although no details regarding the sampling methods exist, these historic results suggest that high grade gold is present.
Kennecott, according to internal company reports, drilled six reverse circulation holes near the Black Eagle Fault in the year 2000. Drillhole RK2789 intersected a mineralized zone 10 feet thick containing 0.21 opt gold, and drillhole RK2829 encountered a zone 15 feet thick that averaged 0.15 opt. However, neither the drilling method nor the number of drillholes was adequate to define high grade shoots. Also, the quality assurance of Kennecott's drilling is unknown. Regardless, that drilling indicates that mineralized structures exist.
Emgold believes additional exploration activity is warranted on the property, including a core drilling program on the Black Eagle Vein. Estimated cost of a first phase of drilling is US$500,000. The Company plans to complete this drilling in 2011, subject to available funds. If adequate mineralization were to be found in the first phase, more drilling would be necessary to define a resource.
Emgold acquired the Buckskin Rawhide Property in December, 2009. It is currently under a lease and option to purchase agreement with Nevada Sunrise LLC, a private company. Since Emgold acquired the Buckskin Rawhide Property, the adjacent Regent Property was acquired by Fronteer Development Inc. (FRG: TSX, NYSE, AMEX) through its acquisition of Nevada Eagle Resources Inc., formerly a wholly-owned subsidiary of Gryphon Gold Corporation.
The Buckskin Rawhide Property is also adjacent to the Rawhide Mine, formerly owned and operated by Kennecott Rawhide Mining Company, a subsidiary of Kennecott Minerals Inc. In 2010, Kennecott Minerals Inc. sold the Rawhide Mine to a private company called Rawhide Mining Corporation. Rawhide Mining Corporation is continuing to recover gold from existing heap leach pads at Rawhide Mine.
Emgold's President Dave Watkinson stated, "We are encouraged by these initial exploration results, which reinforces our opinion that the Buckskin Rawhide property has been under-explored. In addition to the Black Eagle Vein, other exploration targets have been identified that have yet to be examined. We believe that Buckskin Rawhide is a strategically located in relation to the Rawhide and Regent properties, and we look forward to doing further work on the site."
Information Regarding Emgold
Emgold is currently in the advanced stage of permitting the Idaho-Maryland Project, located in Grass Valley, CA. The Idaho-Maryland Mine was once the second largest underground gold mine in California and is reported to have produced 2.4 million ounces of gold at an average recovered grade of 0.43 ounce per ton. It is adjacent to the Empire Mine, Newmont Mining Corporation's first operating gold mine and historically California's largest underground gold mine. Empire Mine is reported to have produced 5.8 million ounces of gold. The Grass Valley Mining District is reported to have produced over 17 million ounces of gold from 1850 to 1956. Both the Idaho-Maryland Mine and Empire Mine shut down in 1956 due to the fixed price of gold at US$35 per ounce and rising labor and supply costs after WWII.
The Idaho-Maryland Project contains a NI 43-101 compliant measured and indicated resource of 472,000 ounces of gold at a grade of 0.28 ounces per ton and an inferred resource of 1,002,000 ounces of gold at a grade of 0.39 ounce per ton, estimated as at March 1, 2007 (See Emgold's NI 43-101 compliant Technical Report titled "Idaho-Maryland Mine Project" dated December 8, 2009 at www.emgold.com or, filed under the Company's profile at www.sedar.com).
Emgold has a number of earlier stage exploration properties including the Buckskin Rawhide Property in Nevada, the Stewart Property in British Columbia, and the Rozan Property in British Columbia. The Rozan Property is currently optioned to Valterra Resource Corporation. Emgold just completed a CDN $500,000 flow through financing which it intends to use to further explore the Stewart Property in 2011.
Information in this news release that is of a scientific or technical nature was prepared by Mr. Robert Pease, Professional Geologist (California), Chief Geologist of the Company and a Qualified Person as defined in National Instrument 43-101.
For more information about Emgold, the Idaho-Maryland Gold Project and the Buckskin Rawhide, Stewart, and Rozan Properties, please visit www.emgold.com.
You are correct that they will need a lot of money, but not correct about considerable community support.
For those that want to look more closely I invite you to look at the CLAIM website.
http://www.claim-gv.com
You may also want to look at the local Union newspaper and search for Emgold or Idaho Maryland Mine (IMM)
http://www.theunion.com
One local has offered to not only eat his hat, but yours too if one ounce of gold is ever recovered from the IMM.
Share count is favorable all right. They are gonna need a lot of money though.
It appears there is considerable community support which is a big plus.
Yes Sir,
I agree Emgold is quietly doing there thing. O/S at 18 Mill is awesome, coupled with the shareprice could mean much better financing then a sub penny.
Check out there Website, a Ton of info is there.
Smitter SMTT
Looks like an interesting play. Still a little early in the game.
They will have to sell shares during the interim between now and production just to fund the ongoing operations and get everything updated and ready to go.
Hard to argue with the historic ore grades. Interesting to see where the share price will be in a year or so.
These guys will be one to watch for sure.
Yeppers, and Production could start imo in Spring of 2012.
O/S is only 18 million and were trading in the .20's so financing would be for way less shares.
EGMCF could be a really awesome play.
I will be emailing the company soon, and opening a dialogue.
Smitter SMTT
Hey Smitter! I've been doing a little excavating, too. The exact technical report is still being difficult, but, check this out...
Emgold has applied for and intends to obtain all necessary permits for exploration, development, and re-opening of the Idaho-Maryland Mine. Emgold's permitting strategy has been designed to eliminate the need to apply for additional permits at a later date to commence production
From 2003 to March 31, 2007, Emgold has spent approximately US $6.3 million directly on permitting, geological studies, digitizing the database and resource modeling for IMM, and incurred additional expenditures of approximately US $1.5 million on related drilling, land lease and property tax payments. The Company has completed the first and longest phase of the three phase permitting process through the preparation and submission of a Master Environmental Assessment in support of its application to the City of Grass Valley. On June 22, 2007, the City of Grass Valley accepted the Company's revised permit application and has commenced work to complete the next two phases in the process, with the objective of issuing a final Use Permit by June 2008.
Upon receipt of the Use Permit, Emgold plans to dewater, rehabilitate, and explore the historic mine workings with the objective of expanding the existing Canadian National Instrument 43-101 compliant gold resource at the IMM.
Resource and Geology Update
---------------------------
Existing mineral resources consist of 216 resource blocks that were defined in a NI 43-101 Technical Report completed in November 2004 and subsequent geologic modeling by Emgold's geologists.
Current resources are:
- Measured and Indicated: 1.67 million tons @ 0.28 opt =
472,000 ounces gold
- Inferred: 2.57 million tons at 0.39 opt = 1,002,000 ounces
gold
Emgold has elected to permit not only the dewatering and exploration of the mine, but also the development of a 2,400-ton per day operation with potential to produce over 250,000 ounces of gold per year. The Company has assembled a large and valuable library of historical information about the project. This information has been used to establish a NI 43-101 gold resource as outlined above, and has indicated over 500 additional underground exploration targets. Currently, work is underway to lay out the drill program for underground exploration planned to commence once the mine is permitted and dewatered.
I found this at Emgold... The 43-101 appears to be Idaho-Maryland with much of the company's previous losses attributed to EIR and non-private property procurement.
Psy
My Guess 2012. It's in the link I posted. Looks very promising.
I will start adding more to the ibox everyday. Check out there website. There much farther ahead than most.
If they land minor financing, since there trading so high we may see a small dip but not much. I can see great value here.
Smitter SMTT
Thanks
Any timeframe of when production starts?
Link to Idaho-Maryland Project (43-101 and much more in this link)
http://www.emgold.com/s/Idaho-Maryland_Project.asp
The Idaho-Maryland Mine currently has an NI 43-101 compliant measured and indicated resource of 472,000 ounces of gold and an inferred resource of 1,002,000 ounces of gold. The Idaho-Maryland deposit has significant exploration potential and is potentially a world class mineral deposit. Emgold management believes the exploration targets at the mine have potential for the delineation of three to five million ounces of gold (subject to dewatering and additional underground exploration).
Emgold is in the process of completing an Environmental Impact Report (EIR) for the IM-Project, which will cover the dewatering, exploration, redevelopment, operation, and closure of the mine. The City of Grass Valley is the Lead Agency for the EIR process and will be responsible for certifying the EIR as complete. The City will then need to approve a Conditional Mine Use Permit for the Project, after which Emgold can obtain the necessary ancillary permits and entitlements to reopen the mine. The permitting process in California is comprehensive and well defined.
Upon completion of permitting and obtaining the necessary financing, Emgold would dewater the historic mine workings, excavate new underground accesses, and conduct exploration necessary to convert the existing mineral resources into mining reserves. A feasibility study would be completed and, assuming positive results, the mine would then be brought into production. The mine will initially be phased into production at 1,200 tons per day and then possibly expanded to 2,400 tons per day, with gold production at these tonnage rates expected to be about 120,000 ounces of gold per year and 200,000 ounces per year respectively. Conventional underground mining and gold processing methods will be applied. Project environmental protection measures would include a cyanide destruction plant and water treatment plant. The Project will include unique additions such as an Education Center and Outdoor Mining Display Park to enhance tourist opportunities for the City of Grass Valley.
Very Promising. So they need more financing, so a possible Dip to keep in mind if it comes to that, then BOOOOM Money Making time.
EGMCF going to have a great 2011/2012 imo
Smitter SMTT
Thanks, Smitter
I will hunt it down later this evening or in the am. If i cannot find it i will Email the company for the link.
It states on there website there 43-101
Smitter SMTT
Thanks, But Link to 43-101, Please?
tia
Okay, in the last 63 page financial statement (Jun '10) the company boasted approx $228K in plant and field assets and approx $125K in computer/software...you might want to check pg 6 of the FS for lease to buy challenges EGM financial...still digging...ah ha ha
Smitter... for the board - EMG is NI 43-101 compliant w/ measured and indicated resources totaling 472,000 ounces of gold and inferred resources totaling 1,000,200 ounces of gold.
- A 3-5 million ounce gold exploration target, subject to additional exploration.
- A major high grade, low cost, underground gold project at an advanced stage of permitting (draft Environmental Impact Report stage).
still checking equipment and milling...
Psy
Can Someone Direct Me to the 43-101?
I looked for it, but I probably overlooked it. I'm a little tired to try to find it right now, but I would like to see it.
tia
EGMCF is one to watch for sure. Late stages in there development, 43-101 compliant, and Investors have been very interested and not shying away from investing here.
Smitter SMTT
Good Morning, World Good Morning, EGMCF
I would like to welcome Mdeskm, and Psyopdude as assn't Mods.
Another Small Gem that could be hidden, and working towards huge gains
O/S only 18.5 Mill WOW
Smitter SMTT
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Business Description
Emgold Mining Corporation is a Vancouver-based exploration and mining company focused on the re-development of the former Idaho-Maryland Gold Mine located in Grass Valley, California and the exploration and development of several early stage prospects in British Columbia. Emgold is working to become a gold producer, focusing its efforts primarily on the Idaho-Maryland Property.
Emgold has:
Contact Info
570 Granville St.
Suite 1400
Vancouver, BC
Canada, V6C 3P1
Website: http://www.emgold.com
Phone: 604-687-4622
Email: info@emgold.com
EMGOLD MINING CORPORATION
Suite 1400-570 Granville Street
Vancouver, British Columbia
Canada V6C 3P1
Tel: 604.687.4622
Fax: 604.687.4212
Toll Free: 1-888-267-1400
Subsidiary Offices:
IDAHO-MARYLAND MINING CORPORATION
P.O. Box 1836
431 Crown Point Circle
Grass Valley, CA 95945
Tel:530.271.0679
Fax:530.271.0693
GOLDEN BEAR CERAMICS COMPANY
P.O. Box 1836
431 Crown Point Circle
Grass Valley, CA 95945
Tel:530.271.0679
Fax:530.271.0693
Transfer Agent(s)
Computershare Trust Company of Canada Inc.
Shares Outstanding 18,513,740 a/o Aug 31, 2010
OTC Market Tier Pink Sheets Current
Latest Filing Dec 6th 2010
http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=7600610
Recent News.......
Dec 13th- 2010 http://www.emgold.com/s/News-2010.asp?ReportID=433002
Dec 9th 2010 http://www.emgold.com/s/News-2010.asp?ReportID=432752
Oct 21st 2010 Prensentation http://www.emgold.com/s/News-2010.asp?ReportID=432752
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