Auric Mining has signed a Letter of Intent (LOI) to purchase Homestead Tonopah Gold, which is situated at Carson City in Nevada.
Homestead Tonopah Gold holds a 50% interest in significant gold bearing assets near Tonopah in Nevada, through the joint venture agreement. The location of this property is in Walker Lane area of the Basin and Range physiographic district. Three well-known deposits enclose this property. In early 1990, Phelps Dodge had conducted some exploration on the property and identified 100,000 ounces of gold but it was not continued further.
Different public mining firms had explored this property in mid 1990s and have spent considerable funds for exploring the prospect. It was predicted that the property holds at least 200,000 ounces of gold having a worth of approximately $280 million. Gold was identified during the drilling process. But, due to the lack of additional funds for deeper drilling, gold price had decreased. If drilled deeper, the property possess excellent potential. There exists a chance of combining the property with one of the contiguous properties to make the prospective of a 500,000+ ounce ore body.
Source: http://www.auricminingcorp.com/