Worldwide Mining Resources - Gold Mines for Sale
|Home · Hardrock Mines for Sale · Placer Mines for Sale · Equipment for Sale · Contact Us|
GOLD STAR PLACER MINE - - - - EXECUTIVE SUMMARY
Location: Near Prescott and Skull Valley, Arizona - 4 unpatented claims on 360 acres
Ore Reserves: Mineral Reserves are 168,750 ounces of gold, or US $303 Million at $1,800 per ounce gold
Estimated Total Reserves at completion of mining: $700 Million +
Cash Flow: Annual net profit projection US $24.5 Million at 150 yards per hour.
Location: The Gold Star claims are located on approximately 360 acres in central Arizona, about 14 miles southwest of the city of Prescott, near Skull Valley. The claims are near a highway and fully accessible using an unimproved road to the site. Water will be available from wells to be drilled on the property. Local weather allows for a year around production season.
Mineral Reserve Reporting Standards: There are currently multiple and conflicting standards worldwide for the reporting of mineral reserves. Following a major stock fraud, Canada enacted a very restrictive law entitled NI 43-101 that essentially dismisses testing data older than 2 years. Under this standard, the Gold Star Ore Reserves would be characterized as estimated or historical reserves. Despite intensive lobbying by Canada, the US government has not adopted 43-101 standards. Under existing US law, embodied in SEC Industry Guide 7, and based on the reporting standards set forth by the US Society of Mining Engineers, the Gold Star Ore Reserves would be characterized as Proven and Probable Reserves.
Ore Reserves: The claims show Ore Reserves of 6.75 million cubic yards of ore. The average ore tenor is 0.025 oz/yd. At $1,800 per ounce, the 168,750 ounces of gold are valued at $303,750,000. An unusual and significant attribute of the Gold Star property is that the mineralized black sands, unlike most, appear to contain substantial gold values. Limited testing has shown these values to be fairly uniform across the claims. According to the Jenkins Technical Summary: “If the hi-bar deposits contain (mineralized black sand) gold values throughout, the potential may be staggering, and could far outweigh the free gold placer material.” Ultimately, total mineable free gold reserves are estimated at $700 Million +.
Production Analysis: The average recoverable ore value is $41.40 per yard at $1,500 per ounce. Average mining costs are $5, environmental and reclamation costs $2, and contingency and other costs $2. This leaves an average net profit projection of $32.40 per yard. At 150 yards per hour, the operation should yield a net profit $48,600 per 10 hour shift. A double shift operation should yield a net profit of $97,200 per day. Running the double shift 24 days per month should yield a net profit of $2,232,800 per month. Assuming about 11 months of actual operation, the annual net profit should be $24,560,800. This analysis does not include any values from the mineralized gold in the back sands.
Permitting: The permit jurisdiction is the US Bureau of Land Management. There are no anticipated impediments to BLM permitting.
Price: US $3,500,000
The following technical documents and reports are available for review:
2005 Jenkins Technical Summary and Geology Report
Other information available for review:
BLM LR2000 Database Report Verifying Ownership
2009 Independent Appraisal Report
Area and Site Maps
Area and Site Photographs (see limited photos below)
If you are interested in purchasing the Gold Star Placer Mine, or in obtaining further information, please click here for contact information.
Exposed Lo Bar Gravels
Reclaimed Test Pit
Exposed Stream Bed Gravels
Exposed Stream Bed Gravels