U.S. Gold Corp. has closed on the acquisition of Orevada Metals in an all-share transaction. U.S. Gold Corp. issued 2 million shares to shareholders of Orevada. Orevada also has an option to acquire a 70% interest in the Maggie Creek Project.
The acquisition of Orevada and the option to acquire the Maggie Creek Project gives U.S. Gold Corp. its second promising exploration project in Nevada on the Carlin Trend, according to the company. The Maggie Creek Project is immediately adjacent to Newmont Mining’s 26-million-ounce Gold Quarry mine.
The recent discoveries at Carlin (Leeville) and Gold Quarry (Chukar) demonstrate the potential for high-grade deposits at depth — mostly untested at Maggie Creek, according to U.S. Gold.
“The numerous gold showings at Maggie Creek within classical stratigraphy and structure that hosts the majority of gold ounces in the Carlin Trend, highlight the significant potential of the property,” President and CEO Edward Karr said. “The host rocks and fault structures associated with Gold Quarry extend on to the property while the Chukar-Anulite Fault structure, driving the high-grade mineralization at Gold Quarry, projects into the Maggie Creek Property where it intersects the northwest structural corridor creating high-priority drill targets. With this acquisition, U.S. Gold Corp. now controls two promising exploration projects on two of the world’s leading gold trends.”
Drilling will initially test mineralized gold horizons that are projected to down dip into district-scale structures. These structures are part of a set of structures that focus large gold deposits that includes not only the Gold Quarry deposit, but also the 41-million-ounce Betze-Post deposit and the 15 million-ounce Leeville -Carlin deposit within the district.