P. ZIHLMANN INVESTMENT · MANAGEMENT AG
Special Situations for SMART INVESTORS www.timeless-gold.com
Monthly Report December
BULLION RIVER GOLD CORP. (OTC BB:BLRV): FOLLOW-UP NO 2
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BULLION RIVER GOLD CORP: RETURN ON USD 10,000 INVESTMENT |
Purchase Date | No. of Shares | Purchase Price | Cost (USD) | Price Today | Value Today |
September 16, 2004 | 18'200 | 0.55 | 10'010.00 | | |
Total | 18'200 | 0.55 | 10'010.00 | 0.87 | 15'834.00 |
Profit | | | | | 5'824.00 |
Profit (in %) | | | | | 58% |
GOLD WITH A FOCUS ON CALIFORNIA AND NEVADA
Business Summary
Bullion River Gold Corp. is a mineral exploration company focused on discovering and developing gold-silver deposits in the western U.S., chiefly in Nevada and California. The company's goal is to become a significant gold producer during 2005.
Nevada is the world's third leading gold producer after South Africa and Australia. Significant discoveries continue to be made, and Bullion River Gold is positioned to be a part of this continuing success.
California is famous for its high-grade veins, which produced significant gold in the past, and its new business-oriented approach is opening up new opportunities.
French Gulch Property
The property is 15 miles northwest of Redding, California, and consists of approximately 2 square miles of patented and unpatented mining claims covering a series of underexplored high-grade, mesothermal gold-bearing quartz veins. Historic underground mining at the property's Washington and Niagara mines from 1852 through 1950 yielded an estimated 185,000 ounces of gold.
Potential
The recent discovery of the Lucky-7 vein in 1990 points to the significant exploration potential of the property as a whole. There has been very limited exploration drilling from surface and underground. The Washington and Lucky-7 veins in the Washington mine contain significant ore shoots that remain open to depth. In addition, field evidence and historic data indicate that significant potential exists for additional high-grade veins on the property, particularly along strike of the Washington and Niagara mine areas.
The vertical extent of high-grade mineralization is also expected to be significant.
Although coarse visible gold is common, grades and vein thicknesses show a strong consistency within ore shoots. In the recently-mined Lucky-7 vein in the Washington mine, channel samples across the vein showed consistently high grades over a strike length of 120 feet and a dip extent of 220 feet.
Of 149 samples collected along the main ore shoot, the average grade was 2.79 opt Au across an average width of 4.6 feet; 78 of the samples graded above 1 opt Au.
North Fork Property
Bullion River Gold Corporation has recently acquired the mineral rights of the North Fork and Mugwump properties through an attractive lease-purchase agreement.
Due to its exceptional potential, BRG is very motivated to accelerate the exploration and development of the mine. The properties are located in the northern part of the historic and famous Mother Lode district in Northern California, some 36 miles northeast of Grass Valley and about 12 miles south of Downieville in Sierra County.
Nevada
Bullion River Gold Corp.'s current projects are well-positioned, both within productive gold-silver districts as well as in potential new frontier areas where geologic evidence leads them.
The portfolio contains a mix of advanced-stage development projects and early-stage exploration projects.
Bullion River are aggressively exploring and developing their properties through surface and underground drilling, surface geologic mapping and sampling, geophysical surveys and the use of 3D computer-based models .
Recent News: Bullion River Gold Corp. Starts Surface Drilling at its French Gulch Mine
Bullion River Gold Corp. has started its surface drill program at its French Gulch mine. After some weather-related delays, Lang Exploratory Drilling has started to drill the first of seven to eight reverse-circulation drill holes of the planned 15,000-foot program. Each hole will be drilled to a depth of about 2,000 feet and angled across the area where multiple high-grade veins are known from previous mining.
The drilling is testing outboard at depth and along strike of previously-mined areas, and the program aims to provide significant information about the potential and future development of the French Gulch mine.
Despite the existence of high-grade ore, the French Gulch mine was never systematically explored and, therefore, its potential never properly quantified. Bullion River's surface exploration program has already identified several additional mineralized structures that have not been developed, with samples returning high-grade values up to 4.20 ounces per ton, as previously reported. More recent surface sampling has returned additional encouraging assays, including two separate unexplored vein areas returning values of 0.95 and 0.38 opt Au, respectively.
Bullion River's President Peter M. Kuhn states: "Despite the inclement weather, we have succeeded in starting to drill our first hole. We expect to get a lot of valuable information about new and existing vein systems and their extensions and hope to finally do justice to this intriguing property."
Fundamental Considerations
Strategic Edge
- Experienced and aggressive management team for quick and efficient execution of exploration projects
- Commitment to put investors’ money into the ground
- Excellent property portfolio
- Cutting edge technology applied
