Scorpio Gold Corp., a Canadian mining company, purchased the Kinross Manhattan Property from affiliates of Kinross Gold Corp., according to the press release.
The purchased property is adjacent to the company’s Goldwedge property in Nye County. Scorpio Gold now controls 6,071 acres around the Goldwedge facility, providing the opportunity to expand surface operations and the potential for expanding underground mining and exploration, the release said.
The acquisition consolidates a large land position along the Reliance Fault Zone, which has significant exploration potential for high-grade gold targets at the intersections of the reliance structure and ring faulting related to the Manhattan Caldera, the company said.
The Manhattan Property is located within the Manhattan Mining District and south of the Kinross Round Mountain Mine. It adjoins the southwest boundary of Scorpio Gold’s Goldwedge property and includes two formerly producing mines.
The Reliance Mine, located within 600 meters of the Goldwedge deposit, reportedly produced 59,000 tons grading 0.435 oz./ton from 1932 to 1941. The Manhattan Mine East and West pits, situated 600-1,000 meters southwest of Goldwedge, produced 236,000 oz. from 1974 to 1990.
The deposits lie along the northwest-trending Reliance Fault Zone, which is considered the most predominant ore-controlling structure in the region, according to the press release.
The Reliance trend continues southeast to Scorpio Gold’s Keystone-Jumbo project area. Within the Manhattan West Pit, the northwest-trending structures controlling mineralization are referred to as the “Little Gray Fault.”
Exploration work by various operators since production ended at the Manhattan Mine in 1990 has outlined the potential continuity of mineralization to the north of the West Pit toward the Goldwedge deposit as well as the potential extension of mineralization to the north and south of the East Pit, according to the press release.
Scorpio Gold now holds a 100 percent interest in the consolidated Manhattan District in Nevada comprising the advanced exploration-stage Goldwedge property in Manhattan, Nevada with a fully permitted underground mine and a 400 ton per day mill facility and a 100 percent interest of the Manhattan Property adjacent to the Goldwedge property, according to the records.