Thunder Mountain Gold Provides an Update on Exploration Activities at Their South Mountain Propertyadmin
Thunder Mountain Gold, Inc., announced that Thunder Mountain Resources, Inc., a wholly-owned subsidiary, is advancing its planned exploration program at their South Mountain Mine, Owyhee County, Idaho. The 2008 program consists of core drilling from the surface and opening the 4,000-foot long Sonneman Tunnel so that underground sample results conducted during the period 1950 through 1985 can be confirmed. Underground drilling may be completed, depending upon the accessibility to the work areas.
The Company contracted with REI Drilling, Inc., headquartered in Salt Lake City, Utah to conduct a total of 3,500-foot surface core drilling program in several holes to test the down dip extension of the Texas and DMEA 2 ore zones encountered in the historic underground workings. The drill holes are targeted to test the mineralization approximately 300 feet down dip of the Sonneman Level, the lowermost tunnel that encountered both mineralized zones. The targets were refined by placing all the historic data into a Vulcan mine model. Drilling of the first hole to test the DMEA 2 ore zone commenced on September 16th.
The Sonneman Level portal has been totally rehabilitated, and the underground workings are now accessible. Warner Construction of Boise completed extensive track-mounted backhoe excavation in order to clean out the caved and backfilled areas of the portal site. Concrete box culverts and timbering were installed and backfilled along a total of 50 feet of the entry. An evaluation of the tunnel will be completed over the next couple of months once the ventilation system requirements and other timbered areas are inspected. A majority of the tunnel does not require timbering with the exception being in areas of some of the intrusive dikes that cut across the mineralized marble and skarn zones.
In early 2008, the Company commissioned Kleinfelder West, Inc. to produce an independent assessment and validation of geological and mineral data for the South Mountain Mine. Kleinfelder reviewed previous site work, physiography, history, geology, and historical development and production data. They also developed a panel model using existing historical records to estimate the total remaining mineral resources. Based upon such data, Kleinfelder`s panel modeling estimated an indicated resource of 629,979 tons containing 12,197,500 equivalent silver ounces. Additionally, an inferred resource of approximately 850,000 tons containing an estimated 6,340,800 silver equivalent ounces was calculated in the model, for a total indicated and inferred resource of 1,422,000 tons containing an estimated 18,538,400 silver equivalent ounces. The complete South Mountain Technical Report is available on Thunder Mountain Gold`s website at www.thundermountaingold.com. The Report is not a 43-101 compliant and serves as a mineral resource evaluation tool. Management defines a silver equivalent ounce as calculated by converting the values of silver, zinc, lead, copper and gold in U.S. dollars to silver ounces.
A successful drilling program during 2008 could significantly increase this resource by extending the known mineralized zones down dip of the cut off elevation for the Kleinfelder model of 150 feet below the Sonneman Level.
The land package was also increased with the staking of seven additional unpatented mining claims that cover possible down dip extension of the mineralized horizon. The Company now has a total of 21 unpatented mining claims around the original patented claim group.
In addition to the drilling program, tunnel rehabilitation and claim staking, Timberline Surveying of Nampa, Idaho has completed and extensive property boundary survey of the pertinent parts of the patented mining claims as well as some of the private land parcels that are adjacent to the Company’s 326 patented acres.
Jim Collord, President of Thunder Mountain Gold, said of these developments, “We are pleased to initiate this important phase of exploration with the goal to expand the South Mountain poly metallic resource that was affirmed by Kleinfelder. The drilling information, coupled with the sampling and mapping from underground in the Sonneman will be used to further confirm and expand the known mineralization at our South Mountain Project.”
Thunder Mountain Gold is an exploration company focused on the generation of precious and base metal projects in the Western United States, Mexico, and Alaska. A 73-year old company, Thunder Mountain Gold performs its own natural resource exploration and generates value for shareholders by aggressively developing high-grade, high-quality precious and base metal resources in politically stable mining regions.