RENO " A young mining firm using modern day science to re-examine an Old West bonanza says Nevada's Comstock Lode still has buried riches to be recovered.
GoldSpring Inc., in a mineral declaration report, estimates its Hartford/Lucerne complex near Virginia City contains reserves of more than 20 million tons of ore with 564,000 recoverable ounces of gold and 5.8 million ounces of silver.
At today's prices, the company estimated the value of the precious metals at $604 million.
Additionally, the report said potential resources of 30 million additional tons of ore containing 870,000 ounces of gold and nearly 13 million ounces of silver have been identified, but more drilling and development is necessary to confirm the findings.
"It looks extremely promising," Robert T. Faber, GoldSpring president and chief executive officer, said Monday.
From November 2007 through February, the company has been looking at results from 182 development drill holes, along with results from 458 previous drill holes.
Larry Martin, GoldSpring's chief geologist, said the drilling has increased the geological knowledge and understanding of the region's mineral structure and helped identify new targets for additional exploration.
Drilling will continue in the near term, Faber said, before the company shifts its focus to production.
"That's what math and science is telling us to do," he said.
An 80-acre site currently being drilled represents only about 2 percent of GoldSpring's land holdings, Faber said.
"We've got a lot more to look at," he said.
The company controls mineral rights on about 4,300 acres in the historic Comstock district, where silver was first discovered in 1859.
"None of us believe those early miners found all the high-grade deposits," Faber said.
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On the Net:
GoldSpring Inc.: http://www.goldspring.us