Dry Mountain
Status: Joint Venture
 Dry Mountain Photo Gallery
 Dry Mountain Fact Sheet (22MB)
Target: Millrock is targeting giant, high-grade porphyry copper (+/- gold and molybdenum) deposits at its Dry Mountain project. The property is well located on the Morenci porphyry copper trends, 45 kilometers (28 miles). Morenci, one of the oldest and most productive open pit porphyry copper mines in Arizona, has production and reserves totaling up to 10 billion tons. The Safford deposits, upon which Freeport started production in 2007, contain resources totaling at least six billion tons of copper ore in a series of four deposits. Geologic projections indicate that a large porphyry copper deposit may be present beneath post-mineralization volcanic cover rocks and alluvium at Dry Mountain. Millrock seeks to discover a large tonnage porphyry of sufficient grade to warrant extraction by open pit or block caving underground mining.
Location and Setting: The Dry Mountain claim block is situated to the south and southwest of the Safford and Morenci mining districts of southeastern Arizona. It is located approximately 24 kilometers (15 miles) southeast of the town of Safford, 43 kilometers (27 miles) southwest of Clifton, and 161 kilometers (100 miles) northwest of Tucson in Graham County. The land on the claims is flat in the north, but rises in the south, with elevations ranging between 1,006 to 1,311 meters (3300 and 4300 feet) ASL. Paved highway 191 passes 6 kilometers (4 miles) north of the claim block, as does a power transmission line a few miles further north. Local access is by good dirt road. The claims can be easily traversed by all-terrain vehicle; there is little vegetation consisting of scrub and mesquite.
Property and Agreement: The target was brought to the attention of Millrock by geologist Michael Schaefer of Tucson, Arizona. A core Arizona state prospecting permit was obtained by Millrock under a purchase agreement, and a larger property position was subsequently secured with federal mining claims. Under the terms of this agreement, Millrock has paid Mr. Schaefer US$20,000 and issued 20,000 shares of the company. A further US$10,000 and 15,000 shares has, and will be issued on each anniversary that Millrock holds claims in the Area of Interest defined in the purchase agreement. If commercial production is achieved, Mr. Schaefer will be entitled to a payment of US$2 million. The property consists of 182 federal mining claims and one Arizona State exploration permit that covers a total area of 4,400 acres.
In early 2010 Millrock entered into a an Option to Joint Venture Agreement with Inmet Mining Corporation (Inmet) concerning the Dry Mountain property and Millrock's nearby San Jose property. The agreement will give Inmet the opportunity to earn a 70% interest in the two claim blocks by spending US$4.0 million in exploration expenditures and making option payments of US$300,000. The 2010 exploration expenditure commitment is US$500,000 and the initial payment is US$50,000. Millrock will be the exploration operator for the first year of exploration and thereafter at Inmet's option.
Geology and Mineralization: Dry Mountain is located at the southwestern end of the Morenci porphyry copper trend. The trend is defined by structural features, and a series of magmatic intrusive complexes identified in bedrock and traced by geophysical methods under post-mineralization volcanic cover and alluvium. Geochemical and geophysical surveys indicate a mineralized porphyry may be present beneath the Millrock claims, beneath this cover.
A copper - molybdenum biogeochemistry anomaly at Dry Mountain defines a large area measuring 5 kilometers by 6 kilometers (3 miles by 4 miles). The anomaly indicates the potential for a large buried porphyry. The Dry Mountain geochemical anomaly is the southernmost in a string of significant anomalies that starts at the Safford deposits.
A magnetic high beneath the claims is thought to represent a porphyry intrusive complex at depth. Gravity data defines a regional pre-mineral basement high. Depth through post-mineral volcanic cover and alluvium is uncertain.
Exploration Program: A ZTEM airborne survey followed by induced polarization geophysical surveys are planned for spring 2010. Pending results of these surveys a drilling program will be recommended.
Related News Releases:
May 12, 2010
Millrock Provides Corporate Update
March 11, 2010
Millrock Finalizes Option Agreement with Inmet for Exploration of San Jose and Dry Mountain Porphyry Copper Prospects in Arizona
January 8, 2010
Millrock and Inmet Mining Corporation Sign Letter of Intent to Enter Into an Option to Joint Venture Agreement on San Jose and Dry Mountain Projects, Arizona
January 12, 2009
Millrock Reports Property Payments for Arizona Properties
April 3, 2008
Millrock Announces Acquisition of Porphyry Copper-Gold Properties in Southeastern Arizona
|
