Sierra Nevada Gold Inc. reported it has identified visible gold in one of its recently completed reverse circulation (RC) holes at the New Pass Gold Project, Nevada, USA. Drill hole NP006RC, drilled to test the southern extension of the Thomas West (Thomas W) vein below the historic Thomas W mine, successfully intersected what is interpreted to be the main Thomas W vein between 274.32m and 275.54m. While assays are not yet available, encouragingly SNX identified visible gold within this quartz vein dominated interval.

Results from NP006RC are expected in First Quarter CY2023. SNX completed six holes of its planned 16-hole program at New Pass before drilling was suspended due to inclement winter weather. Drilling will resume as soon as practical after the winter weather conditions have passed.

SNX expects the remaining assay results from this first program of RC drilling to be returned during First Quarter 2023, with the resumption of drilling to commence 2023 once weather conditions allow. SNX is continuing work on the project, including detailed 3D infrastructure and void modelling of historic workings, together with geomechanical investigations. Once these studies are complete and the mine workings declared safe, SNX will commence a program of detailed underground mapping and sampling of available ore positions with a view to confirming the historic estimates of past production and prospective remaining remnant mineralisation.

SNX is confident it can outline a pathway to a high-grade gold resource can be established within 18 months. The New Pass Project is prospective for vein-style gold deposits and jasperoid-hosted Carlin-style gold deposits within the NW orientated Austin Trend. The Austin Trend is south of, and parallel to, the prolific Carlin and Battle Mountain Trends of central Nevada.

The New Pass Project is centred on the New Pass Mining centre which until recently produced gold at an estimated average grade of 17g/t Au from two parallel NS striking quartz veins. Approximately 40koz of gold (non-JORC) is estimated1 to have been extracted by various private operators over its history. Discovered in 1864, a five-stamp steam-powered amalgamation mill was erected at Warm Springs in 1868.

The ore was primarily extracted by stoping along two short tunnels from a 45.7m deep shaft on the Superior vein. In 1917 a 75 ton-per-day cyanide mill was erected by the New Pass Mining Company; however, this mill was dismantled due to WWI, with only 5,500 tons treated. By 1939, mining on the Superior vein had developed three main adits, up to 457m long, with a 107m shaft.

Underground mining development continued in 1946, with active development along the Thomas W vein and underground rock-chip sampling undertaken by the Silver King Divide Mining Company. Don Jung, a local miner, acquired an interest in the New Pass property in 1965, and he continued mining the property up until he retired, selling it to Sierra Nevada in 2012.