Borealis, Nevada - Discovery Of Borealis Gold Mine, Ramona Sector Of Aurora District, Mineral County, Nevada

The commercial success of this low-grade property by Houston Oil and Minerals Corp. (succeeded in interest by Houston International Minerals, Inc.) resulted from credibility of analytical data furnished by the property vendor upon initial examination and from other favorable geologic criteria in evidence; from negotiation of lease terms not detrimental to project economics; from entrepreneurial exploration management; from an encouraging attitude by the US Forest Service; and from the favorable mining and metallurgical characteristics of the ore body. The potential of the property, but not its location, was brought to the attention of the project manager (the author) by the vendor some time before accepting employment with HO&M. In December, 1977, the vendor granted an examination to the project manager, by then an employee; and a lease to the 15 mining claims embracing the property was executed in April, 1978. (See Fig. 1.) Field work and extensive claim staking in this virgin district commenced in May, with drilling beginning in August. At the point that an apparent discovery was recognized in October, only $98,000-including property payments-had been expended on the project. By April, 1979, the deposit was drilled out on 60-m (200-ft) centers and a preliminary re- serve estimate, discounted cash-flow analysis, and recommendations for mine development and additional exploration submitted to management-all at a cost well below budget. The property was recommended for acquisition after matching favorable geologic criteria developed by the project manager. Favorable lithology, structure, and geochemical zonation converged on a subdued low-temperature hydrothermal alteration zone subtly expressed on a pediment surrounding the heart of the property, from which approx [ ]