Congress Gold Mine:
Exploration and potential mining project
The Congress Gold Mine is located three miles north of Congress in the Martinez Mining District of Yavapai County, Arizona. The property consists of 14 Patented Mineral Properties with approximately 260 acres area. Commencing in or about 1887, the Congress mine operated at intervals until 1992 and at one time supported a full scale mining and milling operation and the small town of Congress. It has the distinction of being Arizona’s largest gold-silver mine with production of about 500,000 ounces of gold.
On closing of the option agreement, Casa paid US $45,000 to the owners of the Congress Gold Mine (the “optionors”) and issued a total of 1,125,000 common shares to the optionors (which shares will be subject to restrictions on resale for a period of four months from the date of issue). In order to exercise the option to acquire a 90% interest in the Congress Gold Mine, Casa will be required to make the following additional payments: (i) US $45,000 within one year of acceptance of the TSX Venture Exchange, (ii) 1,125,000 common shares within one year of acceptance of the TSX Venture Exchange, and (iii) incurring $2,000,000 in exploration expenditures over the next three years. The optionors will retain a 1.5% NSR of which one third may be purchased for $2,500,000. If a potentially viable NI43-101 mineral reserve is developed, the Company will make payments of US$500,000 per every 100,000 oz of gold in reserve up to a maximum of US$10,000,000. Ownership of surface rights to a depth of 40 feet from surface are excluded from the purchase agreement.
[History from WIKIPEDIA] The Congress Mine is a gold mine located at the ghost town of Congress, Arizona on the southeastern slope of the Date Creek Mountains, approximately 18 miles north-northeast of Wickenburg, Arizona at an elevation of about 3,000 feet (Lat. 34.216 – Long. -122.841). The nearest community, four miles away, is modern Congress, formerly known as Congress Jct railroad station or Martinez Post Office. The Congress Mine produced substantial quantities of gold and was considered one of the most productive gold mines in Arizona.
The gold found in the mine was primarily small veins embedded in white quartz with inclusions of iron pyrite (fool’s gold), iron, and sulfur. The Congress vein was considered a peculiar formation, characterized as “a dike of green stone trap.” The ore ran through this dike and the dike was found throughout the entire geographical ledge. The most valuable ore-bearing rocks could be found lodged on or near a foot wall in the ledge usually in drifts 12 to 15 feet high. The vein had a dip of 22 degrees and was usually about 15 feet wide. The vein was accessed by shafts dug (often quite deep) into the areas around the ledge.