The Project. The Hackberry Silver
Project (the "Project") covers what is believed to be a very large epithermal
silver deposit occurring in a six square mile area. The Project is presently comprised of
seven groups of mining claims covering 750+ acres (240 acres of which are patented) along
one or more vein systems that extend for at least six miles. The claims cover all known
mineralized portions of the Peacock Mining District, which produced a recorded $3,000,000
in silver and gold as of 1919, when mining ceased as a result of litigation among the
then-owners of the Hackberry Silver Mine. The owner believes that historic mining only
scratched the surface of what will turn out to be a very large polymetallic deposit.
The Peacock Mining District. The Peacock Mining District is on
the easterly flanks of the Peacock Mountains, about 30 miles NE of Kingman, Arizona. (The
mineralization also extends to the westerly flanks, where the recently discovered Rainbow
Vein is located). Silver mineralization is associated with wide and persistant quartz
veins. Known ore shoots have been concentrated at vein junctions or "Y’s."
The veins are in preCambrian (?) fractured granite. Alteration haloes of kaolin extend far
into the country rock, and appreciable silver values are found in the kaolin gouge. The
two main veins (known as the "Hackberry Vein" and the "Silver King" or
"Hillside Vein") are also associated with volcanic dikes. Both veins
"horsetail," with "crows foot" offshoots and, based on a number of
similarities to the Butte, Montana deposits, the owner believes that there is strong
potential for a major copper deposit in the "Crows Foot" claims, as well as in a
gossanous area to the southeast ("Homestead Claims"). Of course, since this is a
zoned deposit, there is also the potential for copper at depth.
Historic Mines. The historic Peacock District mines included in
the Project are all located along the Hackberry and Silver King vein systems with the
likely exception of the Silver Queen / Rainbow, which may be a parallel vein system. From
north to south they are known as (1) Kelly Silver Mine (Hackberry Vein), (2) Silver King
and Big Ben Mines (Silver King Vein), (3) Homestake Mine (vein intersecting Silver King
Vein), (4) North Hackberry Mine (Hackberry Vein), (5) Old Hackberry Mine a/k/a Sunshine
Mine ( Intersection ("Y") of Hackberry Vein and Silver King Vein), (6) South
Hackberry Mine (Hackberry Vein) and (7) Silver Queen Mine / Rainbow Claims. The historic
workings encountered high grade ore, and a 150,000 T resource of up to 32 oz/T silver is
believed to remain unmined on the sixth and seventh levels of the Sunshine Mine. Sampling
by the owner has found Ag mineralization of up to 36 oz/T at the Old Hackberry Mine.
Previous Exploration. The most recent professional exploration
activity prior to Searchlight West’s involvement was a 1985 geochemical survey along
the Hackberry and Silver King vein systems. Almost 100 samples were assayed for 10
elements and geochemical anamolies were found over the historic South Hackberry, Old
Hackberry, North Hackberry, Silver King, Big Ben and Silver Queen Mines. Silver values
ranged up to 17 oz/T (Silver Queen), 15 oz/T (Silver King) and 14 oz/T (Homestake). A copy
of the geological report and drill proposal from this survey is available upon execution
of a non-disclosure agreement.
Recent Exploration. The present owner has focused its sampling
on the Rainbow Claims and the Kelly Silver Mine, which were not covered in the 1985
program. The objective has been to confirm mineralization over a broader area to the north
and to the west in order to establish that the deposit is large enough to be commercially
viable and of interest to industry Majors. Sampling at the Rainbow Vein, only recently
discovered by the present owner on the western flank of the Peacock Mountains near the
Silver Queen, has found 5 oz / T Ag in two outcrops along 250’ of vein strike. The
Rainbow Vein in appearance closely resembles the Hackberry and Silver King veins, as it is
wide (20’) and has a broad kaolin alteration halo. Sampling of dumps at the Kelly
Mine has confirmed that silver mineralization extends along the main Hackberry Vein to the
northern tip of the Peacock Mountains, although the tenor (2 oz/T) is not as high as what
has been found further to the south.
Open Pit Potential – Similarities to the McCracken. The
geochemical work indicates that the northern and western portions of the Project (i.e. Big
Ben, Silver King and Homestake Mines) are in the precious metal zone at or near the
surface, and past mining in these areas has mostly been done by open cut or shallow shaft.
Thus there is the potential to begin mining by open pit method, while continuing
exploration for the rich underground resources believed to exist in the vicinity of the
main Old Hackberry Mine. This strategy was successfully undertaken in the 1980’s at
the McCracken Silver Mine, also in Mohave County, where Fischer-Watt and, later, Arizona
Silver / Corval Development mined the northern portion of the McCracken vein deposit by
open pit, and then turned south to underground mining of the Stonehouse vein.
Contractual Arrangements. The owner is a family trust that has
been gradually selling its extensive portfolio of patented mining claims located in the
eleven western United States in order to increase liquidity and investment diversity.
Given increased real estate property values along the "Historic Route 66
Corridor" centered in Kingman, the trust has been leaning toward subdividing the 240
acres of patented claims that are at the southern end of the Hackberry Project. However,
because of the huge mineral potential of this property, the owner is willing to entertain
offers for an industry standard exploration arrangement. Nevertheless, proposals will be
favored that provide significant cash to the trust following successful exploration
results.
