Nevada Rae Gold, Inc., a subsidiary of Pacific Gold Corp., owns 68 placer and lode mining claims, covering almost 1,200 acres in Lander County, Nevada. In addition the company leases another 440 acres of private land. The Black Rock Canyon Mine is located on these properties. The Company acquired an additional 13.67 acres near to the mining claims where the Company's processing plant and mine offices are located.

The Black Rock Canyon Mine, made up of the Black Rock Canyon, Mud Springs Gulch and Tub Springs Gulch, has estimated resources of up to 500,000 ounces of gold contained in approximately 12,500,000 cubic yards of alluvial gravels, with an average grade of over 1 gram per cubic yard. These resources have been outlined in reports prepared by Bharti Engineering and Robertson Research. The mine is located in the Crescent Valley Placer deposits in the Bullion Mining District, approximately 50 miles south-west of Elko, Nevada in the town of Crescent Valley. The site is accessible by an all-weather asphalt road (Highway 306) approximately 22 miles from Interstate 80.

Nevada Rae Gold received approval of its Plan of Operations (Mining Permit), from the Bureau of Land Management (BLM), and the Nevada State Division of Environmental Protection (NDEP) during the first quarter of 2005. The Plan of Operations was submitted on behalf of the Company by AquAeTer (formerly known as Chemrox Technologies), an environmental specialist firm providing professional services in due diligence, reserve confirmation, mine planning, forensic geochemistry, groundwater modeling, water restoration, environmental permitting and reclamation.

Following approval, the mine facilities were built and completed in the first quarter of 2006, and pre-production testing of the plant began. The buildings on-site include the screening plant, gold room, staff area, offices, and security headquarters.

The Company also purchased two water wells and operating equipment for the Black Rock Canyon Mine. The private land and water wells have been formally analyzed and tested by the State of Nevada and AquAeTer, and are determined to be in excellent condition, free of any contaminants. The tests also confirmed that the certified capacity of each well exceeds the output rates required by the mining operations to successfully operate the processing plant. The site and water wells are supplied by a 23,000 volt State-supplied power grid, reduced to 480 volts for use at the facilities.

The operations require the excavation of the gravel deposit at the mine, screening and washing the gravels at the processing plant to recover gold, then replacing the remaining gravels at the point of extraction. Typically, the vegetation and minor topsoil cover is stripped and side cast for subsequent reclamation. The gravels are dug with an excavator until bedrock is reached, and the material is hauled approximately three to four miles to the processing plant. The trucks dump the gravels to be fed into the screening plant and then are reloaded with waste material for concurrent reclamation work at the mine site.

The contents of the remainder of the Nevada Rae Gold section of this website are excerpts from a geological report covering the region as prepared by Bharti Engineering Associates in 1994. Nevada Rae Gold claims cover approximately 40% of this area.

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