The Company, through its US subsidiary, Endurance Resources Inc. (ERI), owned or had an option for a 100% interest in about 7,000 acres in the Rattlesnake Hills Gold District, Natrona County, Wyoming.
In October 2015, GFG Resources Inc. ("GFG") acquired the Company's Rattlesnake Hills property through the payment of US$150,000 in cash, and the issuance of 1,400,000 GFG shares to Endurance. Endurance retains a 2% net smelter returns royalty ("NSR") on Endurance's former mining claims. GFG can purchase one half of the 2% NSR, at any time, for a cash payment of US$1,500,000.
Through the Sale, the Company exchanged its 100% ownership in a portion of the Rattlesnake Hills Gold District for a 2% NSR royalty on 7,000 acres and share ownership in GFG, which now controls, under one owner, about 33,500 acres which constitutes the entire Rattlesnake Hills Gold District.
The geological setting of the Rattlesnake Hills Gold District is similar to a large scale alkaline intrusive hosted gold deposits within the Rocky Mountain alkaline gold province, that include Cripple Creek, in Colorado, that has produced 20 million ounces of gold to date. The Rattlesnake Hills Gold District encompasses an area over 15 square kilometres and hosts the North Stock Gold Discovery also owned by GFG. At the North Stock Discovery, drill results include 2.92 grams per tonne gold ("gpt Au") over 146.3 metres, 10.8 gpt Au over 67.1 metres, and 2.74 gpt Au over 131.1 metres associated with breccia related to the Tertiary intrusions.
The Endurance 2% NSR Property encompasses eighteen (18) mapped Tertiary volcanic breccia-phonolite complexes which define both the northern half and eastern and western extensions of the Rattlesnake Hills Gold District, Wyoming. These Tertiary-aged volcanic complexes are related to the known gold mineralization in the district.
The Endurance 2% NSR Property covers widespread areas of Tertiary phonolite (alkalic) intrusions emplaced into Precambrian aged sediments and metavolcanics. Most of the intrusions have associated pyroclastic breccia. Crackle breccia and adularia alteration spatially associated with the intrusions is observed in Archean basement in exposed areas on the Endurance 2% NSR Property. Some of these areas of breccia and alteration have elevated gold values in grab samples. This geological environment is identical to that hosting the North Stock Discovery, where gold mineralization occurs in breccia zones within and surrounding the alkalic intrusions.
Since acquisition GFG has conducted exploration programs including drilling in the district. In 2018 GFG optioned the Rattlesnake Hills Property to Newcrest Mining Limited who completed a drilling program in 2019. Newcrest withdrew from the option in 2020. GFG is currently considering their strategic alternatives for the Rattlesnake Hills Property. For a current update visit GFG's website.
Robert T. Boyd, P.Geo. is a qualified person as defined in National Instrument 43-101 and supervised the compilation of the information forming the basis for this summary.