EX-99.26 27 exhibit99-26.htm EXHIBIT 99.26 Integra Resources Corp.: Exhibit 99.26 - Filed by newsfilecorp.com


MINE DEVELOPMENT ASSOCIATES

 

A Division of RESPEC

 

Contents


1.0 SUMMARY 1
1.1 Property Description and Ownership 1
1.2 Exploration and Mining History 2
1.3 Geology and Mineralization 3
1.4 Drilling, Database and Data Verification 4
1.5 Metallurgical Testing 5
1.6 Estimated Mineral Resources 7
1.7 Conclusions and Recommendations 10
   
2.0 INTRODUCTION AND TERMS OF REFERENCE 11
2.1 Project Scope and Terms of Reference 11
2.2 Frequently Used Acronyms, Abbreviations, Definitions, and Units of Measure 12
   
3.0 RELIANCE ON OTHER EXPERTS 14
   
4.0 PROPERTY DESCRIPTION AND LOCATION 15
4.1 Location 15
4.2 Land Area 16
4.3 Agreements and Encumbrances 18
4.4 Environmental Liabilities and Permitting 19
   
5.0        ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE, AND PHYSIOGRAPHY 22
5.1 Access to Property 22
5.2 Physiography 22
5.3 Climate 23
5.4 Local Resources and Infrastructure 23
   
6.0 HISTORY 24
6.1 Carson Mining District Discovery and Early Mining: 1863 - 1942 24
6.2 Historical Exploration Since the 1960s 26
6.3 Modern Historical Mining: 1977 through 1998 28
6.4 Historical Resource and Reserve Estimations 30

775-856-5700

210 South Rock Blvd.

Reno, Nevada  89502

FAX: 775-856-6053


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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7.0 GEOLOGIC SETTING AND MINERALIZATION 33
7.1 Regional Geologic Setting 33
7.2 Owyhee Mountains and District Geology 34
7.3 DeLamar Project Area Geology 35
7.3.1 DeLamar Area 35
7.3.2 Florida Mountain - Stone Cabin Mine Area 39
7.4 Mineralization 44
7.4.1 District Mineralization 44
7.5 DeLamar Project Mineralization 45
7.5.1 DeLamar Area 45
 7.5.1.1 Milestone Prospect 49
7.5.2 Florida Mountain Area 49
   
8.0 DEPOSIT TYPE 52
   
9.0 EXPLORATION 54
9.1 Topographic and Geophysical Surveys 54
9.2 Rock and Soil Geochemical Sampling 55
9.3 Database Development and Checking 55
9.4 Cross-Sectional Geologic Model 56
   
10.0 DRILLING 57
10.1 Summary 57
10.2 Historical Drilling - DeLamar Area 58
10.2.1 Continental 1966 58
10.2.2 Earth Resources 1969 - 1970 58
10.2.3 Sidney Mining 1972 61
10.2.4 Earth Resources 1970? - 1983 61
10.2.5 NERCO 1985 - 1992 61
10.2.6 Kinross 1993 - 1998 61
10.3 Historical Drilling - Florida Mountain Area 62
10.3.1 Earth Resources 1972 - 1976 62
10.3.2 ASARCO 1977 62
10.3.3 Earth Resources 1980 62
10.3.4 NERCO  1985 - 1990 62
10.3.5 Kinross 1995 - 1997 63
10.4 Integra Drilling 2018 - 2019 63
10.4.1 DeLamar Area Drilling 2018 - 2019 63
10.4.2 Florida Mountain Area Drilling 2018 64
10.5 Drill-Hole Collar Surveys 64
10.6 Down-Hole Surveys 65
10.7 Sample Quality and Down-Hole Contamination 65
10.8 Summary Statement 66

 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page iii
     

11.0 SAMPLE PREPARATION, ANALYSIS, AND SECURITY 67
11.1 Historical Sample Preparation and Security 67
11.2 Integra Sample Handling and Security 67
11.3 Historical Sample Analysis - Prior to Commercial Open-Pit Mining Operations 68
11.4 Sample Analysis - During Commercial Open-Pit Mining Operations 68
11.5 Integra Sample Analysis 69
11.6 Quality Assurance / Quality Control Programs 70
11.6.1 Historical Operators 70
11.6.2 Integra 71
11.7 Summary Statement 71
   
12.0 DATA VERIFICATION 72
12.1 Drill-Hole Data Verification 72
12.1.1 Collar and Down-Hole Survey Data 72
12.1.2 Assay Data 73
12.1.3 Integra Data Verification 73
12.2 Quality Assurance/Quality Control Results 74
12.2.1 Historical QA/QC Results 74
12.2.2 Integra QA/QC Results 78
12.3 Additional Data Verification 83
12.4 Site Inspection 83
12.5 Independent Verification of Mineralization 84
12.6 Summary Statement 84
   
13.0 MINERAL PROCESSING AND METALLURGICAL TESTING 85
13.1 DeLamar Area Mill Production 1977 - 1992 85
13.2 Cyanide Heap-Leach Production 1987 - 1990 86
13.3 1970s Mineralogy from Metallurgical Studies 87
13.4 1970s Bench-Scale Testwork 88
13.5 1980s Sullivan Gulch Testing for NERCO 89
13.6 1980s Florida Mountain Testing for NERCO 90
13.7 Historical Mill Recovery Rates and Qualitative Estimates of Unoxidized-Type Ore Feed 91
13.8 Integra 2018-2019 Metallurgical Tests 94
13.8.1 General 94
13.8.2 DeLamar Area Testing 94
 13.8.2.1 DeLamar Heap Leach Testing 95
 13.8.2.2 DeLamar Agitated Cyanide Leach Testing 96
 13.8.2.3 DeLamar Gravity Concentration and Flotation Testing 97
13.8.3 Florida Mountain Area Testing 98
 13.8.3.1 Florida Mountain Heap Leach Testing 98
 13.8.3.2 Florida Mountain Agitated Cyanide Leach Testing 99
 13.8.3.3  Florida Mountain Gravity Concentration and Treatment of Gravity Tailings      100
 13.8.3.4 Florida Mountain Flotation Concentrate Regrind/Agitated Leach 101

Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page iv
     

13.9 Summary Statement 101
   
14.0 MINERAL RESOURCE ESTIMATES 104
14.1 Introduction 104
14.2 DeLamar Project Data 106
14.2.1 Drill-Hole Data 107
14.2.2 Topography 107
14.2.3 Modeling of Historical Underground Workings 108
14.3 Geological Modeling 108
14.4 Deposit Geology Pertinent to Resource Modeling 108
14.5 Water Table 109
14.6 Oxidation Modeling 109
14.7 Density Modeling 110
14.8 DeLamar Area Gold and Silver Modeling 111
14.8.1 Mineral Domains 111
14.8.2 Assay Coding, Capping, and Compositing 119
14.8.3 Block Model Coding 121
14.8.4 Grade Interpolation 122
14.8.1 Model Checks 123
14.9 Florida Mountain Area Gold and Silver Modeling 123
14.9.1 Mineral Domains 124
14.9.2 Assay Coding, Capping, and Compositing 125
14.9.3 Block Model Coding 131
14.9.4 Grade Interpolation 131
14.9.5 Model Checks 133
14.10 DeLamar Project Mineral Resources 133
14.11 Discussion of Resource Modeling 148
   
15.0 MINERAL RESERVE ESTIMATES 150
   
16.0 ADJACENT PROPERTIES 151
   
23.0 OTHER RELEVANT DATA AND INFORMATION 152
   
24.0 INTERPRETATION AND CONCLUSIONS 153
   
25.0 RECOMMENDATIONS 156
   
26.0 REFERENCES 158
   
27.0 DATE AND SIGNATURE PAGE 162
   
28.0 CERTIFICATE OF QUALIFIED PERSONS 163

Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page v
     

Tables

Table 1.1   Pit Optimization Cost Parameters 8
Table 1.2   Pit-Optimization Metal Recoveries by Deposit and Oxidation State 8
Table 1.3  Total DeLamar Project Gold and Silver Resources 9
Table 1.4  DeLamar Area Gold and Silver Resources 9
Table 1.5  Florida Mountain Area Gold and Silver Resources 9
Table 1.6  Summary of Estimated Costs for Recommended Exploration 10
Table 4.1  Summary of Estimated Land Holding Costs for the DeLamar Property 18
Table 4.2   Summary of Agreements and Encumbrances 19
Table 6.1   DeLamar Mine Gold and Silver Production 1977 - 1992 29
Table 6.2   Historical Mineral Resource and Reserve Estimates 31
Table 7.1   Summary of Volcanic Rock Units in the Vicinity of the DeLamar Mine 36
Table 10.1   DeLamar Project Drilling Summary 57
Table 10.2   Historical Drilling at the DeLamar and Florida Mountain Areas 58
Table 10.3   Integra Drilling Summary 63
Table 12.1   Integra Certified Reference Materials 79
Table 13.1   1987 - 1990 Heap Leach Summary 86
Table 13.2   Composite Tests at Hazen, 1971 88
Table 13.3   1974 Hazen Flotation and Leach, North DeLamar Composite 88
Table 13.4   Gravity, Flotation and Cyanide Leach Tests, Sullivan Gulch Drill Samples 90
Table 13.5   NERCO Florida Mountain Column-Leach Tests 91
Table 13.6   Other NERCO Florida Mountain Column-Leach Tests 91
Table 13.7   Historical Mill Recovery Rates, Open-Pit Sources, and Estimated Unoxidized Ore 93
Table 14.1  Integra Specific Gravity Determinations from DeLamar Deposit Drill Core 110
Table 14.2  Integra Specific Gravity Determinations from Florida Mountain Deposit Drill Core 111
Table 14.3  Approximate Grade Ranges of DeLamar Area Gold and Silver Domains 111
Table 14.4  DeLamar Area Gold and Silver Assay Caps by Domain 119
Table 14.5  Descriptive Statistics of DeLamar Area Coded Gold Assays 120
Table 14.6  Descriptive Statistics of DeLamar Area Coded Silver Assays 120
Table 14.7  Descriptive Statistics of DeLamar Area Gold Composites 121
Table 14.8  Descriptive Statistics of DeLamar Area Silver Composites 121
Table 14.9  Summary of DeLamar Area Grade Estimation Parameters 122
Table 14.10  Approximate Grade Ranges of Florida Mountain Area Gold and Silver Domains 124
Table 14.11  Florida Mountain Area Gold and Silver Assay Caps by Domain 125
Table 14.12  Descriptive Statistics of Florida Mountain Area Coded Gold Assays 130
Table 14.13  Descriptive Statistics of Florida Mountain Area Coded Silver Assays 130
Table 14.14  Descriptive Statistics of Florida Mountain Area Gold Composites 130
Table 14.15  Descriptive Statistics of Florida Mountain Area Silver Composites 131
Table 14.16   Summary of Florida Mountain Area Estimation Parameters 132
Table 14.17   Pit Optimization Cost Parameters 133
Table 14.18   Pit-Optimization Metal Recoveries by Deposit and Oxidation State 133
Table 14.19  Total DeLamar Project Gold and Silver Resources 134
Table 14.20  DeLamar Area Gold and Silver Resources 135
Table 14.21  Florida Mountain Area Gold and Silver Resources 135
Table 14.22  Resource Classification Parameters 136
Table 14.23  Total Project In-Pit Oxidized and Transitional Mineralization at Various Cutoffs 147
Table 14.24  Total Project In-Pit Unoxidized Mineralization at Various Cutoffs 148
Table 25.1   Cost Estimate for the Recommended Program 157

Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page vi
     

Figures

Figure 4.1   Location Map, DeLamar Gold - Silver Project 15
Figure 4.2   Property Map for the DeLamar Project 17
Figure 5.1   Access Map for the DeLamar Project 22
Figure 6.1   Estimated Annual Production Value, Silver City (Carson) Mining District 1863-1942 25
Figure 6.2   Aerial View, Zones of Exploration and Mining Since 1969 within the DeLamar Area 27
Figure 6.3   Aerial View of the Florida Mountain (Stone Cabin Mine) Area 29
Figure 6.4   Photograph of the Reclaimed Florida Mountain (Stone Cabin) Mine Area 30
Figure 7.1   Shade Relief Map with Regional Setting of the Owyhee Mountains 33
Figure 7.2   Geologic Map of the Central Owyhee Mountains 34
Figure 7.3   Land Position Map Showing Mineralized Zones 37
Figure 7.4   Integra Generalized Generalized 2018 DeLamar Area Geology 38
Figure 7.5   Integra 2018 Schematic Cross-Section, DeLamar Mine Area 38
Figure 7.6   Volcano-Tectonic Setting of the DeLamar Area 39
Figure 7.8   Geologic Map of Florida Mountain 41
Figure 7.9   Map Legend for Florida Mountain Geology 42
Figure 7.10   Schematic Florida Mountain Cross Section (Looking Northeast) 43
Figure 7.11   Veins of the Historical De Lamar Mine, Elevation 6,240 Feet 46
Figure 7.12   Longitudinal Section of the Black Jack - Trade Dollar Mine 51
Figure 8.1   Schematic Model of a Low-Sulfidation Epithermal Mineralizing System 52
Figure 9.1   Plan View of Resistivity from 2017 and 2018 IP/RES Surveys 54
Figure 9.2   Plan View of Chargeability from 2017 and 2018 IP/RES Surveys 55
Figure 10.1   Map of DeLamar Area Drill Holes 59
Figure 10.2   Map of Florida Mountain Area Drill Holes 60
Figure 12.1   Repeat Mine Lab Silver Assays Relative to Original Mine Lab Assays 75
Figure 12.2   Outside Lab Silver Assays Relative to Original Mine Lab Assays 76
Figure 12.3   Mine Lab Silver AA Analyses Relative to Mine Lab Silver Fire Assays 77
Figure 12.4   Mine Lab Gold AA Analyses Relative to Mine Lab Gold Fire Assays 77
Figure 12.5   CRM CDN-GS-P6A Gold Analyses 80
Figure 12.6   CRM SN74 Silver Analyses 80
Figure 12.7   Coarse Blank Gold Values vs. Gold Values of Previous Samples 81
Figure 12.8   RC Field Duplicate Gold Results Relative to Primary Sample Assays 82
Figure 13.1   CN/FA vs. Sulfide Grade, DeLamar 2018-2019 Composites 95
Figure 14.1   Cross Section 1230 NW Showing Sullivan Gulch Gold Domains 113
Figure 14.2   Cross Section 1230 NW Showing Sullivan Gulch Silver Domains 114
Figure 14.3   Cross Section 2010 NW Showing Sommercamp and N. DeLamar Gold Domains 115
Figure 14.4   Cross Section 2010 NW Showing Sommercamp and N. DeLamar Silver Domains 116
Figure 14.5   Cross Section 2790 NW Showing Gold Domains at Glen Silver 117
Figure 14.6   Cross Section 2790 NW Showing Silver Domains at Glen Silver 118
Figure 14.7   Florida Mountain Cross Section 2830 N Showing Geology and Gold Domains 126

 

 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page vii
     
Figure 14.8   Florida Mountain Cross Section 2830 N Showing Geology and Silver Domains 127
Figure 14.9   Florida Mountain Cross Section 3280 N Showing Geology and Gold Domains 128
Figure 14.10   Florida Mountain Cross Section 3280 N Showing Geology and Silver Domains 129
Figure 14.11   Cross Section 1230 NW Showing Sullivan Gulch Block-Model Gold Grades 137
Figure 14.12   Cross Section 1230 NW Showing Sullivan Gulch Block-Model Silver Grades 138
Figure 14.13   Cross Section 2010 NW Showing Sommercamp - Regan and N. DeLamar Block-Model Gold Grades 139
Figure 14.14  Cross Section 2010 NW Showing Sommercamp - Regan and N. DeLamar Block-Model Silver Grades 140
Figure 14.15  Cross Section 2790 NW Showing Glen Silver Block-Model Gold Grades 141
Figure 14.16  Cross Section 2790 NW Showing Glen Silver Block-Model Silver Grades 142
Figure 14.17  Cross Section 2830 N Showing Florida Mountain Block-Model Gold Grades 143
Figure 14.18  Cross Section 2830 N Showing Florida Mountain Block-Model Silver Grades 144
Figure 14.19  Cross Section 3280 N Showing Florida Mountain Block-Model Gold Grades 145
Figure 14.20  Cross Section 3280 N Showing Florida Mountain Block-Model Silver Grades 146

Appendices

Appendix A  Listing of Unpatented and Patented Claims and Leased Land

Appendix B  Metallurgical Test Results

Frontispiece: view looking northwest to the partly back-filled Sommercamp pit and Sommercamp highwall; top of the north highwall of the Glen Silver pit is barely visible to the left of the trees above the Sommercamp highwall.


MINE DEVELOPMENT ASSOCIATES

 

A Division of RESPEC

 

1.0 SUMMARY

Mine Development Associates ("MDA") has prepared this technical report on the DeLamar gold - silver project, located in Owyhee County, Idaho, at the request of Integra Resources Corp. ("Integra"), a Canadian company listed on the TSX Venture Exchange (TSX.V:ITR) and the OTC Markets (OTCQX: IRRZF).  The DeLamar project encompasses the DeLamar and Florida Mountain deposit areas.  Both deposit areas have been subject to historical underground mines that operated in the late 1800s and early 1900s, as well as late 20th century open-pit mining.  The most recent open-pit mining, which ceased in 1998, was conducted by the Kinross Gold Corporation ("Kinross").

This report has been prepared under the supervision of Michael M. Gustin, C.P.G. and Senior Geologist for MDA, Steven I. Weiss, C.P.G. and Senior Associate Geologist for MDA, and Jack McPartland, Senior Metallurgist with McClelland Laboratories, Inc., in accordance with the disclosure and reporting requirements set forth in the Canadian Securities Administrators' National Instrument 43-101 ("NI 43-101"), Companion Policy 43-101CP, and Form 43-101F1, as amended.  Mr. Gustin and Mr. Weiss are Qualified Persons under NI 43-101 and have no affiliation with Integra or Kinross except that of independent consultant/client relationships.  Mr. Weiss visited the project site on August 1, 2 and 3, 2017, and Mr. Gustin was visited the project on October 16, 17, and 18, 2018.

The effective date of this technical report is June 15, 2019.

1.1 Property Description and Ownership

The DeLamar project consists of 675 unpatented lode, placer, and millsite claims, and 16 tax parcels comprised of patented mining claims, as well as certain leasehold and easement interests, that cover approximately 7,500 hectares in southwestern Idaho, about 80 kilometers southwest of Boise.  The property is approximately centered at 43°00′48″N, 116°47′35″W, within portions of the historical Carson (Silver City) mining district, and it includes the formerly producing DeLamar mine last operated by Kinross.  The total annual land-holding costs are estimated to be $309,581.  All mineral titles and permits are held by the DeLamar Mining Company ("DMC"), an indirect, 100% wholly owned subsidiary of Integra that was acquired from Kinross through a Stock Purchase Agreement in 2017.

Of the 284 unpatented claims acquired from Kinross, 101 are subject to a 2.0% net smelter returns royalty ("NSR") payable to a predecessor owner.  This royalty is not applicable to the current project resources.

There are also six lease agreements covering 26 of the patented claims and one unpatented claim that require NSR payments ranging from 2.5% to 5.0%.  One of these leases covers a small portion of the DeLamar area resources and one covers a small portion of the Florida Mountain area resources, with 5.0% and 2.5% NSRs applicable, respectively.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 2
     

The property includes 1,355 hectares under six leases from the State of Idaho, which are subject to a 5.0% production royalty of gross receipts plus annual payments of $23,252.  One of these leases has been issued and five are pending issuance.  The State of Idaho leases include very small portions of both the DeLamar and Florida Mountain resources.

Kinross has retained a 2.5% NSR royalty that applies to those portions of the DeLamar area claims that are unencumbered by the royalties outlined above.  The Kinross royalty, which does not apply to the Florida Mountain area, applies to more than 90% of the current DeLamar area resources, but this royalty will be reduced to 1.0% upon Kinross receiving total royalty payments of CAD$10,000,000. 

DMC also owns mining claims and leased lands peripheral to the DeLamar project described above.  These landholdings are not part of the DeLamar project, although some of the lands are contiguous with those of the DeLamar and Florida Mountain claims and state leases.

The DeLamar project historical open-pit mine areas have been in closure since 2003.  Even though a substantial amount of reclamation and closure work has been completed to date at the site, there remain ongoing water-management activities and monitoring and reporting.  A reclamation bond of $2,778,929 remains with the Idaho Department of Lands and a reclamation bond of $100,000 remains with the Idaho Department of Environmental Quality.  A reclamation bond in the amount of $51,500 has been placed with the U.S. Bureau of Land Management ("BLM") for exploration activities on public lands.

1.2 Exploration and Mining History

Total production of gold and silver from the DeLamar - Florida Mountain project area is estimated to be approximately 1.3 million ounces of gold and 70 million ounces of silver from 1891 through 1998.  This includes an estimated 1.025 million ounces of gold and 45 million ounces of silver produced from the original De Lamar underground mine and the later DeLamar open-pit operations.  At Florida Mountain, nearly 260,000 ounces of gold and 18 million ounces of silver were produced from the historical underground mines and late 1990s open-pit mining. 

Mining activity began in the area of the DeLamar project when placer gold deposits were discovered in 1863 in Jordan Creek, just upstream from what later became the town site of De Lamar.  During the summer of 1863, the first silver-gold lodes were discovered in quartz veins at War Eagle Mountain, to the east of Florida Mountain, resulting in the initial settlement of Silver City.  Between 1876 and 1888, significant silver-gold veins were discovered and developed in the district, including underground mines at De Lamar Mountain and Florida Mountain.  A total of 553,000 ounces of gold and 21.3 million ounces of silver were reportedly produced from the De Lamar and Florida Mountain underground mines from the late 1800s to early 1900s. 

The mines in the district were closed in 1914 and very little production took place until the gold and silver prices increased in the1930s.  Placer gold was again recovered from Jordan Creek from 1934 to 1940, and in 1938 a 181 tonne-per-day flotation mill was constructed to process waste dumps from the De Lamar underground mine.  The flotation mill reportedly operated until the end of 1942.  Including Florida Mountain, the De Lamar - Silver City area is believed to have produced about 1 million ounces of gold and 25 million ounces of silver from 1863 through 1942.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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During the late 1960s, the district began to undergo exploration for near-surface bulk-mineable gold-silver deposits, and in 1977 a joint venture operated by Earth Resources Corporation ("Earth Resources") began production from an open-pit milling and cyanide tank-leach operation at De Lamar Mountain, known as the DeLamar mine.  In 1981, Earth Resources was acquired by the Mid Atlantic Petroleum Company ("MAPCO"), and in 1984 and 1985 the NERCO Mineral Company ("NERCO") successively acquired the MAPCO interest and the entire joint venture to operate the DeLamar mine with 100% ownership.  NERCO was purchased by the Kennecott Copper Corporation ("Kennecott") in 1993.  Two months later in 1993, Kennecott sold its 100% interest in the DeLamar mine and property to Kinross, and Kinross operated the mine, which expanded to the Florida Mountain area in 1994.  Mining ceased in 1998, milling ceased in 1999, and mine closure activities commenced in 2003.  Closure and reclamation were nearly completed by 2014, as the mill and other mine buildings were removed and drainage and cover of the tailings facility were developed.

Total open-pit production from the DeLamar project from 1977 through 1998, including the Florida Mountain operation, is estimated at approximately 750,000 ounces of gold and 47.6 million ounces of silver.  From start-up in 1977 through to the end of 1998, open-pit production in the DeLamar area totaled 625,000 ounces of gold and about 45 million ounces of silver.  This production came from pits developed at the Glen Silver, Sommercamp - Regan (including North and South Wahl), and North DeLamar areas.  In 1993, the DeLamar mine was operating at a mining rate of 27,216 tonnes per day, with a milling capacity of about 3,629 tonnes per day.  In 1994, Kinross commenced open-pit mining at Florida Mountain while continuing production from the DeLamar mine.  The ore from Florida Mountain, which was mined through 1998, was processed at the DeLamar facilities.  Florida Mountain production in 1994 through 1998 totaled 124,500 ounces of gold and 2.6 million ounces of silver.

1.3 Geology and Mineralization

The DeLamar project is situated in the Owyhee Mountains near the east margin of the mid-Miocene Columbia River - Steens flood-basalt province and the west margin of the Snake River Plain.  The Owyhee Mountains comprise a major mid-Miocene eruptive center, generally composed of mid-Miocene basalt flows intruded and overlain by mid-Miocene rhyolite dikes, domes, flows and tuffs, developed on an eroded surface of Late Cretaceous granitic rocks. 

Earth Resources and NERCO geologists defined a local volcanic stratigraphic sequence in the DeLamar and Florida Mountain areas.  The DeLamar mine area and mineralized zones are situated within an arcuate, nearly circular array of overlapping porphyritic and flow-banded rhyolite flows and domes that overlie cogenetic, precursor pyroclastic deposits erupted as local tuff rings.  Integra believes the porphyritic and banded rhyolite flows and latites were emplaced along northwest-trending structures as composite flow domes.  At Florida Mountain, flow-banded rhyolite flows and domes cap a sequence of pyroclastic units that overlie basaltic lava flows.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 4
     

Gold-silver mineralization has been recognized in two types of deposits: (i) relatively continuous, quartz-filled fissure veins that were the focus of late 19th and early 20th century underground mining, hosted mainly in the basalt and granodiorite and to a lesser degree in the overlying felsic volcanic units; and (ii) broader, bulk-mineable zones of closely-spaced quartz veinlets and quartz-cemented hydrothermal breccia veinlets that are individually continuous for only a few feet laterally and vertically, and of mainly less than 1.3 centimeters in width.  This second type of mineralization was mined in the open pits of the late 20th century DeLamar and Florida Mountain operations, hosted primarily by the felsic volcanic units.

The fissure veins mainly strike north to northwest and are filled with quartz accompanied by variable amounts of adularia, sericite or clay, ± minor calcite.  Much of the quartz is massive, but some has drusy or comb structure, and a lamellar (or lattice) variety is locally abundant.  Vein widths vary from a few centimeters to several meters, but the veins persist laterally for as much as several hundreds of meters.  Principal silver and gold minerals are naumannite, aguilarite, argentite, ruby silver, native gold and electrum, native silver, cerargyrite, and acanthite.  Variable amounts of pyrite and marcasite with very minor chalcopyrite, sphalerite, and galena occur in some veins.

The bulk mineable type of mineralization has been delineated is often centered on fissure veins.  This type of mineralization occurs as zones of closely spaced veinlets and fracture fillings that are hosted in felsic volcanic units.  Most of the veinlets are less than 5 mm in width and have short lengths that are laterally and vertically discontinuous.  Small veins can form pods or irregular zones up to 1- to 2-centimeters wide that persist for several centimeters before pinching down to more restricted widths.  In highly silicified zones, the host units are commonly permeated by anastomosing microveinlets typically less than 0.5-millimeters wide.  Vein gangue minerals consist mainly of quartz, with minor amounts of adularia.  Naumannite, acanthite and acanthite-aguilarite solid solution are the principal silver minerals, with lesser amounts of argentopyrite, selenium-bearing pyrargyrite, selenium-bearing polybasite, cerargyrite, selenium-bearing stephanite, native silver, and native gold.  Minor selenium-bearing billingsleyite, pyrostilpnite, and selenium-bearing pearceite have also been reported.  Gold- and silver-bearing minerals are generally very fine grained.

In addition to the bulk mineralization associated with veinlets, mineralized breccias have also been recognized.  These consist of close-packed angular volcanic fragments in a chalcedonic matrix are interpreted by Integra to be hydrothermal breccias. 

The gold and silver mineralization at the DeLamar project is best interpreted in the context of the volcanic-hosted, low-sulfidation type of epithermal model.  Various vein textures, mineralization, alteration features, and the low contents of base metals in the district are typical of shallow low-sulfidation epithermal deposits worldwide.

1.4 Drilling, Database and Data Verification

As of the effective date of this report, the resource database includes data from 2,718 holes, for a total of 306,078 meters, that were drilled by Integra and various historical operators at the DeLamar and Florida Mountain areas.  The historical drilling was completed from 1966 to 1998 and includes 2,625 holes for a total of 275,790 meters of drilling.  Most of the historical drilling was done using reverse-circulation ("RC") and conventional rotary methods; a total of 106 historical holes were drilled using diamond-core ("core") methods for a total of 10,845 meters.  Approximately 74% of the historical drilling was vertical, including all historical conventional rotary holes. 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 5
     

Integra commenced drilling in 2018.  As of the end of April 2019, Integra had drilled a total of 55 RC holes, 36 core holes, and 11 holes started with RC and finished with core tails, for a total of 33,573 meters in the DeLamar and Florida Mountain areas combined.  All but one of the Integra holes were angled. 

The current resource drill-hole databases for the DeLamar and Florida Mountain deposit areas are comprised of information derived from the 2,625 historical holes and 93 of the holes drilled by Integra.  The historical portions of these databases were originally created by MDA using original DeLamar mine digital database files, and this information was subjected to various verification measures by both MDA and Integra.  The Integra portion of the drill-hole databases was directly created by MDA using original digital analytical certificates in the case of the assay tables, or it was checked against original digital records in the case of the collar and down-hole deviation tables.  Through these and other verification procedures summarized herein, the authors have verified that the DeLamar data as a whole are acceptable as used in this report. 

1.5 Metallurgical Testing

Beginning in 2018, Integra initiated a detailed metallurgical testing program which is ongoing, primarily with McClelland Laboratories, Inc.  Samples used for this 2018-2019 testing, primarily composites of 2018 and 2019 drill core, were selected to represent the various material types contained in the current resources from both the DeLamar and Florida Mountain deposits.  Composites were selected to evaluate effects of area, depth, grade, oxidation, lithology, and alteration on metallurgical response.  In general, test results indicate that materials from each of the DeLamar and Florida Mountain deposits can most usefully be evaluated by considering the oxidation state (oxidized, transitional, or unoxidized). 

Testing in 2018-2019 on oxidized and transitional material types from both the DeLamar and Florida Mountain deposits has focused on evaluation and optimization of heap-leach cyanidation processing.  Available bottle-roll and column-leach test results generally indicate that these material types will be amenable to heap leaching, and they generally demonstrate high recoveries and low to moderate reagent consumptions.

Preliminary bottle-roll testing in 2018-2019 on unoxidized materials from both the DeLamar and Florida Mountain deposits has indicated that those material types will not be amenable to heap leach processing.  This is not unexpected for these higher sulfide-bearing materials.

In the case of the unoxidized material from the DeLamar deposit, 2018-2019 testing has shown a highly variable response to grinding followed by agitated cyanidation, with gold and silver recoveries, on average, generally low.  Reasons for the variability in recoveries are poorly understood at present.  Additional testing and mineralogic studies will be required to gain a better understanding of the observed variability in recoveries.  Testing has also shown that the DeLamar unoxidized material generally responds well to upgrading by gravity and flotation processing.  Testing to evaluate subsequent processing of the resulting concentrate is planned, but not available at the time of this report.  It is expected that flotation concentrate produced from a significant portion of the DeLamar unoxidized materials will not be amenable to regrind followed by agitated cyanidation.  It is expected that for these flotation concentrates, some form of oxidative pre-treatment (such as pressure oxidation or roasting) will be required to maximize gold recovery by cyanidation.  Alternatively, the concentrates could be shipped off site for toll processing.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 6
     

In the case of unoxidized material from the Florida Mountain deposit, testing in 2018-2019 has consistently shown that the material is amenable to grinding followed by agitated cyanide leaching.  This material type also responds very well to upgrading by gravity and flotation processing.  Highest gold and silver recoveries were achieved with relatively coarse grinding (80% -212µm), followed by gravity concentration, flotation of the gravity tailings and regrind-agitated cyanidation of the flotation concentrate.

During 1977 through 1992, the DeLamar mine was operated by processing material from both the DeLamar and Florida Mountain deposits.  Processing was done by crushing, grinding, and tank leaching with cyanide, followed by precipitation with zinc dust and in-house smelting of the precipitate to produce silver-gold doré.  Records show that from 1977 through 1992, the mill processed 11.686 million tonnes of ore with average head grades of 1.17 g Au/t and 87.1 g Ag/t.  During this 15-year period, the mill recovered, on average, 96.2% of the contained gold and 79.5% of the contained silver.

Extensive mineralogical and metallurgical testing was also conducted during the 1970s and 1980s on samples from the DeLamar and Florida Mountain deposits.  Testing of the DeLamar samples was focused on grinding followed by agitated cyanidation, but also included evaluation of gravity concentration, flotation and heap leaching.  Historical testing on the Florida Mountain samples was focused on grinding followed by agitated cyanidation and heap leaching.  In some cases, details concerning sample origin are not available for the historical testing, and it is likely the case that some or most of these samples represented material mined and processed during commercial production activities during 1977 through 1992.  Results from the historical metallurgical testing are generally consistent with results from the current 2018-2019 metallurgical testing program.

A summary of recovery estimates for the most likely processing methods for the DeLamar and Florida Mountain oxide and transitional material types, along with the Florida Mountain unoxidized material type are presented in Table 1.1 as of the effective date of this report.

Table 1.1  Preliminary Recovery Estimates by Material Type, and Processing Methods

 

 

Indicated

 

Preliminary Recovery Estimates1)

 

 

Processing

Concentrate

Au

Ag

Deposit

Type of Material

Method

Processing

Recovery

Recovery

 

Oxidized and

Crush (50mm), Heap

 

 

 

Florida Mountain

Transitional

Leach

N/A

80% - 90%

20% - 50%

 

 

Grind (212µm)

Regrind - Agitated

 

 

Florida Mountain

Unoxidized

Gravity/Flotation

Cyanidation

85% - 90%

65% - 80%

 

 

Crush (13mm),

 

 

 

 

Oxidized and

Agglomeration, Heap

 

 

 

DeLamar

Transitional

Leach

N/A

65% - 80%

15% - 40%

1) Estimated range of recoveries based on available preliminary metallurgical test data.

DeLamar unoxidized material has shown highly variable responses to grinding followed by agitated cyanidation, with generally low gold and silver recoveries.  Additional testing and mineralogic studies are needed to gain a better understanding of the observed variability in recoveries.  DeLamar unoxidized material generally responds well to upgrading by gravity and flotation processing.  Testing to evaluate subsequent processing of the resulting concentrate is planned, but not available at the time of this report.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 7
     

1.6 Estimated Mineral Resources

Mineral resources have been estimated for both the Florida Mountain and DeLamar areas of the DeLamar project. The gold and silver resources were modeled and estimated by:

  • evaluating the drill data statistically;

  • creating low-, medium- and high-grade mineral-domain polygons for both gold and silver on sets of cross sections spaced at 30-meter intervals;

  • projecting the sectional mineral-domain polygons three-dimensionally to the drill data within each sectional window;

  • slicing the three-dimensional mineral-domain polygons along 6-meter-spaced horizontal and vertical planes and using these slices to recreate the gold and silver mineral-domain polygons on level plans and long sections, respectively;

  • coding a block model to the gold and silver domains for each of the two deposit areas using the level-plan and long-section mineral-domain polygons;

  • analyzing the modeled mineralization geostatistically to aid in the establishment of estimation and classification parameters; and

  • interpolating grades into models comprised of 6x6x6-meter blocks using the gold and silver mineral domains to explicitly constrain the grade estimations.

The DeLamar project mineral resources have been estimated to reflect potential open-pit extraction and processing by a combination of heap leaching, milling / agitated leaching, and flotation.  To meet the requirement of the in-pit resources having reasonable prospects for eventual economic extraction, pit optimizations for the DeLamar and Florida Mountain deposit areas were run using the parameters summarized in Table 1.2 and Table 1.3.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 8
     

Table 1.2  Pit Optimization Cost Parameters

Parameter DeLamar Florida Mtn Unit
Mining Cost $            2.20 $            2.20 $/tonne mined
Heap Leach Processing $            3.35 $            3.35 $/tonne processed
Mill / Agitated Leach Processing $                    $          10.00 $/tonne processed
Flotation Processing  $          12.00  $                    $/tonne processed
G&A Cost $          4,000 $          4,000 $1,000s/year
Tonnes per Day            15,000           15,000 tonnes-per-day processed
Tonnes per Year              5,250             5,250 1000s tonnes-per-year processed
G&A per Ton $             0.76 $            0.76 $/tonne processed
Au Price $           1,400 $          1,400 $/oz produced
Ag Price $                18 $              18 $/oz produced
Au Refining Cost $            5.00 $            5.00 $/oz produced
Ag Refining Cost $            0.50 $            0.50 $/oz produced
NSR Royalty                1%                 0%  

Table 1.3  Pit-Optimization Metal Recoveries by Deposit and Oxidation State

 

DeLamar

Florida Mountain

Process Type

Oxidized

Transitional

Unoxidized

Oxidized

Transitional

Unoxidized

Leach Recovery - Au

85%

80%

-

85%

80%

-

Leach Recovery - Ag

45%

40%

-

45%

40%

-

Mill/Leach Recovery - Au

-

-

-

-

-

86%

Mill/Leach Recovery - Ag

-

-

-

-

-

63%

Flotation Recovery - Au

-

-

90%

-

-

-

Flotation Recovery - Ag

-

-

95%

-

-

-

The pit shells created using these optimization parameters were applied to constrain the project resources of both the DeLamar and Florida Mountain deposit areas.  The in-pit resources were further constrained by the application of a gold-equivalent cutoff of 0.2 g/t to all model blocks lying within the optimized pits that are coded as oxidized or transitional, and 0.3 g/t for blocks coded as unoxidized.  Gold equivalency, as used in the application of the resource cutoffs, is a function of metal prices (Table 1.2) and metal recoveries, with the recoveries varying by deposit and oxidation state (Table 1.3). 

The total DeLamar project resources, which include the resources for both the DeLamar and Florida Mountain areas, are summarized in Table 1.4.  Mineral resources that are not mineral reserves do not have demonstrated economic viability.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 9
     

Table 1.4 Total DeLamar Project Gold and Silver Resources

Classification

Tonnes

g Au/t

oz Au

g Ag/t

oz Ag

Measured

16,078,000

0.52

270,000

34.3

17,726,000

Indicated

156,287,000

0.42

2,106,000

19.7

98,788,000

Measured + Indicated

172,365,000

0.43

2,376,000

21.0

116,514,000

Inferred

28,266,000

0.38

343,000

13.5

12,240,000

 

1. Mineral Resources are comprised of all oxidized and transitional model blocks at a 0.2 g AuEq/t cutoff and all unoxidized blocks at a 0.3 g AuEq/t that lie within optimized pits

2. The effective date of the resource estimations is May 1, 2019

3. Mineral resources that are not mineral reserves do not have demonstrated economic viability

4. Rounding may result in apparent discrepancies between tonnes, grade, and contained metal content

The gold and silver resources for the DeLamar and Florida Mountain areas are reported separately in Table 1.5 and Table 1.6, respectively.

Table 1.5 DeLamar Area Gold and Silver Resources

Classification

Tonnes

g Au/t

oz Au

g Ag/t

oz Ag

Measured

14,481,000

0.51

238,000

36.4

16,942,000

Indicated

105,140,000

0.39

1,334,000

23.4

79,241,000

Measured + Indicated

119,621,000

0.41

1,572,000

25.1

96,183,000

Inferred

21,291,000

0.39

266,000

15.2

10,418,000

 

1. Mineral Resources are comprised of all oxidized and transitional model blocks at a 0.2 g AuEq/t cutoff and all unoxidized blocks at a 0.3 g AuEq/t that lie within optimized pits

2. The effective date of the DeLamar deposit DeLamar area resources is May 1, 2019

3. Mineral resources that are not mineral reserves do not have demonstrated economic viability

4. Rounding may result in apparent discrepancies between tonnes, grade, and contained metal content

Table 1.6 Florida Mountain Area Gold and Silver Resources

Classification

Tonnes

g Au/t

oz Au

g Ag/t

oz Ag

Measured

1,597,000

0.63

32,000

15.3

784,000

Indicated

51,147,000

0.47

772,000

11.9

19,547,000

Measured + Indicated

52,744,000

0.47

804,000

12.0

20,331,000

Inferred

6,975,000

0.34

77,000

8.1

1,822,000

1. Mineral Resources are comprised of all oxidized and transitional model blocks at a 0.2 g AuEq/t cutoff and all unoxidized blocks at a 0.3 g AuEq/t that lie within optimized pits

2. The effective date of the Florida Mountain deposit DeLamar area resources is May 1, 2019

3. Mineral resources that are not mineral reserves do not have demonstrated economic viability

4. Rounding may result in apparent discrepancies between tonnes, grade, and contained metal content 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 10
     

1.7 Conclusions and Recommendations

The authors conclude that the DeLamar project is a project of merit that warrants significant additional investment.  There is an excellent opportunity to expand the extents of the current resources both down dip and along strike; altered and mineralized zones peripheral to the resources warrant additional surface prospection and drilling, and there remains potential for discovering high-grade veins below the current levels of drilling.  A work program with an estimated cost of $8,000,000 is recommended, as summarized in Table 1.7.  This program includes 22,500 meters of RC and core drilling, further metallurgical testing, the completion of a preliminary economic assessment ("PEA"), and permitting and environmental expenditures.

Table 1.7  Summary of Estimated Costs for Recommended Exploration

Item

Estimated Cost US$

Exploration RC Drilling  (10,000m)

2,000,000

Infill RC Drilling  (5,000m)

1,000,000

Metallurgical / Infill Core Drilling  (7,500m)

2,500,000

Geological Mapping, Soil Sampling, Geophysics

250,000

Land Holding Costs

300,000

Metallurgy

400,000

PEA

200,000

Permitting and Environmental (incl. water management, maintenance, safety, & related G&A)

1,000,000

Other Project Administrative / Office Expenses

350,000

Total

$ 8,000,000



Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 11
     

2.0 INTRODUCTION AND TERMS OF REFERENCE

Mine Development Associates ("MDA") has prepared this technical report on the DeLamar and Florida Mountain gold-silver project ("the DeLamar project"), located in Owyhee County, Idaho, at the request of Integra Resources Corp. ("Integra"), a Canadian company based in Vancouver, British Columbia.  Integra entered into a binding stock purchase agreement dated September 18, 2017 with Kinross Gold Corporation ("Kinross") to acquire the Kinross DeLamar Mining Company, then an indirect, wholly owned subsidiary of Kinross, and thereby acquired 100% of its DeLamar gold-silver property.  Subsequent to that transaction, Integra has acquired 100% interests in significant additional lands at the adjacent Florida Mountain property, as well as other lands outside of the limits of the project.

Integra is listed on the TSX Venture Exchange (TSX.V: ITR) and the OTC Markets (OTCQX: IRRZF).  This report has been prepared in accordance with the disclosure and reporting requirements set forth in the Canadian Securities Administrators' National Instrument 43-101 ("NI 43-101"), Companion Policy 43-101CP, and Form 43-101F1, as amended. 

2.1 Project Scope and Terms of Reference

The purpose of this report is to provide an updated technical summary of the DeLamar gold-silver project, including an updated estimate of the mineral resources that incorporates data generated by Integra since drilling commenced in February 2018. 

The DeLamar project lies within the historical Carson (Silver City) mining district of southwestern Idaho.  The most recent production from the project occurred in 1977 through 1998 by open-pit mining with both milling and minor cyanide heap-leach processing of gold-silver ores.  The mine was placed on care and maintenance in 1999, and later underwent mine closure by Kinross. 

In addition to the estimation of the updated DeLamar and Florida Mountain mineral resources, the scope of the work completed by the authors included a review of pertinent technical reports and data provided to the authors by Integra relative to the general setting, geology, project history, exploration and mining activities and results, drilling programs, methodologies, quality assurance, metallurgy, and interpretations.  References are cited in the text and listed in Section 20.0.

This report has been prepared under the supervision of Michael M. Gustin, C.P.G. and Senior Geologist for MDA, and Steven I. Weiss, C.P.G. and Senior Associate Geologist for MDA.  Mr. Gustin and Mr. Weiss are Qualified Persons under NI 43-101 and have no affiliation with Integra except that of independent consultant/client relationships.  Mr. Weiss visited the project site on August 1, 2, and 3, 2017, accompanied and assisted by Ms. Kim Richardson of Jordan Valley, Idaho.  Ms. Richardson is a geologist who joined the DeLamar mine staff in 1980 and eventually held the positions of Senior Mine Geologist, Mine Superintendent, and Mine General Manager before leaving the project in 1997.  Mr. Weiss reviewed the property geology, exposures of mineralized rocks in still accessible open pits, and areas of historical exploration drilling peripheral to the open pits, as well as historical exploration data on file at the DeLamar mine-site office.  Mr. Gustin visited the project site on October 16, 17, and 18, 2018, accompanied by various members of the Integra technical team.  Mr. Gustin received updates on the property geology, drilling results to date, and drill-targeting concepts.  He also inspected mineralized drill-core intervals from various holes, and discussed details of the drilling, drill-sampling, and quality control methods and procedures with the Integra technical team.  Section 13, Mineral Processing and Metallurgical Testing, was prepared under the supervision of Mr. Jack S. McPartland, Senior Metallurgist with McClelland Laboratories, Inc., in Sparks, Nevada.  Mr. McPartland also visited the DeLamar project site on January 17, 2019. 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 12
     

The authors have reviewed the available data and have made judgments as to the general reliability of this information.  Where deemed either inadequate or unreliable, the data were either eliminated from use or procedures were modified to account for lack of confidence in that specific information.  Mr. Gustin and Mr. Weiss have made such independent investigations as deemed necessary in their professional judgment to be able to reasonably present the conclusions discussed herein. 

The effective date of this technical report is June 15, 2019.

2.2              Frequently Used Acronyms, Abbreviations, Definitions, and Units of Measure

In this report, measurements are generally reported in metric units.  Where information was originally reported in Imperial units, conversions have been made with the following conversion factors:

Linear Measure

1 centimeter = 0.3937 inch

1 meter = 3.2808 feet = 1.0936 yard

1 kilometer = 0.6214 mile

Area Measure

1 hectare = 2.471 acres = 0.0039 square mile

Capacity Measure (liquid)

1 liter = 0.2642 US gallons

Weight

1 tonne = 1.1023 short tons = 2,205 pounds

 1 kilogram = 2.205 pounds

Conversion of Imperial to Metric Grades

1 troy ounce per short ton = 34.2857 grams per metric tonne


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 13
     

Currency: Unless otherwise indicated, all references to dollars ($) in this report refer to currency of the United States.

Frequently used acronyms and abbreviations

AA atomic absorption spectrometry

Ag silver

Au gold

cm centimeters

core diamond core-drilling method

oC degrees centigrade

CAD$ Canadian dollars

°F degrees Fahrenheit

ft foot or feet

g/t grams per tonne

ha hectares

ICP inductively coupled plasma analytical method

in. inch or inches

kg kilograms

km kilometers

l or L liter

lbs pounds

µm micron

m meters

Ma million years old

mi mile or miles

mm millimeters

NSR net smelter return

oz ounce

ppm parts per million

ppb parts per billion

QA/QC quality assurance and quality control

RC reverse-circulation drilling method

RQD rock-quality designation

t metric tonne or tonnes

ton Imperial short ton

U.S. United States of America


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 14
     

3.0 RELIANCE ON OTHER EXPERTS

Mr. Gustin, Mr. Weiss, and Mr. McPartland are not experts in legal matters, such as the assessment of the validity of mining claims, mineral rights, and property agreements in the United States or elsewhere.  Furthermore, the authors did not conduct any investigations of the environmental, social, or political issues associated with the DeLamar project, and are not experts with respect to these matters.  The authors have therefore relied fully upon information and opinions provided by Integra and Mr. Edward Devenyns, consulting Landman for Integra, with regards to the following:

  • Section 4.2, which pertains to land tenure, including a Limited Due Diligence Review of the property prepared by Perkins Coie LLP (dated August 21, 2017) and further information from Perkins Coie LLP dated March 2, 2018 and March 8, 2018; and

  • Section 4.3, which pertains to legal agreements and encumbrances.

The authors have relied fully upon information and opinions provided by Integra's consultant, Mr. Richard DeLong of EM Strategies, Inc., an expert in environmental and permitting matters.  Section 4.4, which pertains to environmental permits and liabilities, was provided by Mr. DeLong in communications via emails on September 25, 2017 (DeLong, 2017) and July 17, 2019 (DeLong, 2019).

The authors have fully relied on Integra to provide complete information concerning the pertinent legal status of Integra and its affiliates, as provided in Sections 1, 2, and 4, as well as current legal title, material terms of all agreements, and material environmental and permitting information that pertains to the DeLamar project, as summarized in Sections 1 and 4.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 15
     

4.0 PROPERTY DESCRIPTION AND LOCATION

The authors are not experts in land, legal, environmental, and permitting matters and express no opinion regarding these topics as they pertain to the DeLamar project. Subsections 4.2 and 4.3 were prepared under the supervision of Mr. Edward Devenyns, Mineral Land Consultant for Integra. Mr. Devenyns prepared a Limited Title Report on the unpatented claims dated August 15, 2017. A Limited Due Diligence Review of the property was prepared by Perkins Coie LLP dated August 21, 2017.  On March 2 and March 8, 2018, Perkins Coie LLP provided MDA information concerning the Banner and Empire claims at Florida Mountain.  Mr. Richard DeLong of EM Strategies, Inc., an expert in environmental and permitting matters, prepared Section 4.4.

Integra owns 100% of the DeLamar project.  All mineral titles are held by the DeLamar Mining Company ("DMC"), a wholly owned subsidiary of Integra. 

Mr. Gustin and Mr. Weiss do not know of any significant factors or risks that may affect access, title, or the right or ability to perform work on the property, beyond what is described in this report.

4.1 Location

Integra's DeLamar gold-silver project is located in southwestern Idaho in Owyhee County, 80 kilometers southwest of the city of Boise, just west of the historical mining town of Silver City (Figure 4.1).  The property is centered at approximately 43°00′48″N, 116°47′35″W, within the historical Carson mining district, and includes the formerly producing DeLamar silver-gold mine, which was last operated by the Kinross DeLamar Mining Company, a subsidiary of Kinross. 

Figure 4.1  Location Map, DeLamar Gold - Silver Project

(modified from Hill and Lindgren, 1912; red numbers refer to 1912 mining districts)


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 16
     

4.2 Land Area

The DeLamar project consists of 675 unpatented lode, placer, and millsite claims, and 16 tax parcels comprised of patented mining claims, as well as certain leasehold and easement interests located in Owyhee County, Idaho.  In total, the property covers approximately 7,500 hectares owned or controlled by Integra (Figure 4.2) and occupies portions of:

  • Sections 30 and 31 of Township 4 South, Range 3 West;

  • Sections 28, 29, and 31 through 36 of Township 4 South, Range 4 West;

  • Sections 35 and 36 of Township 4 South Range 5 West;

  • Section 6 and 7 of Township 5 South, Range 3 West;

  • Sections 1 through 16 of Township 5 South, Range 4 West; and

  • Sections 1 through 3, 10, 11, 14, 15 and 22 of Township 5 South, Range 5 West, Boise Base and Meridian.

A listing of the patented and unpatented claims and leasehold interests that comprise the property is provided in Appendix A, Parts 1 through 4.  Integra represents that the list of claims and leasehold interests in Appendix A is complete to the best of its knowledge as of the effective date of this report.  Included in Appendix A, Part 1, are five Idaho Department of Lands leases that are in the process of being issued to DMC as well as the JK 1 through JK 165 unpatented lode mining claims which have been properly located.  Integra intends for these claims to be timely filed with the U.S. Bureau of Land Management ("BLM") and recorded in the Office of the Owyhee County Clerk.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 17
     

DMC also owns mining claims and leases of State of Idaho lands located beyond the limits of the property described above.  These landholdings are not part of the DeLamar project, although some of the claims are contiguous with those of the DeLamar and Florida Mountain claims and state leases.

Ownership of the unpatented mining claims is in the name of the holder (locator), subject to the paramount title of the United States of America, under the administration of the U.S. Bureau of Land Management ("BLM").  Under the Mining Law of 1872, which governs the location of unpatented mining claims on federal lands, the locator has the right to explore, develop, and mine minerals on unpatented mining claims without payments of production royalties to the U.S. government, subject to the surface management regulation of the BLM.  Currently, annual claim-maintenance fees are the only federal payments related to unpatented mining claims, and these fees have been paid in full to September 1, 2019.  Integra intends to timely file the mining claim maintenance fees prior to September 1, 2019 for the period ending September 1, 2020.  The current annual holding costs for the DeLamar project unpatented mining claims are estimated at $120,200 (Table 4.1), including the county recording fees.  This cost is calculated to reflect an increase in the annual holding cost per claim from $155 to $165, which the BLM implemented on July 1, 2019. 

Other annual land holding costs, including county taxes for the patented claims and leased fee lands, and lease payments due to third-party claim owners, are listed in Table 4.1.  The total annual land-holding costs are estimated to be $309,581.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 18
     

Figure 4.2  Property Map for the DeLamar Project


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 19
     

 

Table 4.1  Summary of Estimated Land Holding Costs for the DeLamar Project

Annual Fee Type

Amount

Unpatented Claims BLM Maintenance Fees

$     120,120

Unpatented Claims County Filing Fees

$              80

Estimated Holding Costs for Unpatented Mining Claims

$     120,200

Access, Pipeline, Land Agreement Fees

$     130,180

Owyhee County Patented Claims Taxes

$         5,849

Patented Claims Agreement Fees

$       30,100

State Lands Lease (annual rental and advanced minimum royalty payments)

$       23,252

Total Estimated Annual Holding Taxes and Fees

$     309,581

The reviews by Mr. Devenyns and Perkins Coie LLP have not identified any known fatal defects in the title of the claims, and the authors are not aware of any significant land use or conflicting rights, or such other factors and risks that might substantially affect title or the right to explore and mine the property, based on the information provided by Integra and Perkins Coie LLP.

Integra's subsidiary, the DeLamar Mining Company, holds the surface rights to the patented claims it owns and has leased, subject to various easements and other reservations and encumbrances.  The DeLamar Mining Company has rights to use the surface of the unpatented mining claims for mining related purposes to September 1, 2019, and which it may maintain on a yearly basis beyond that by timely annual payment of claim maintenance fees and other filing requirements, and subject to the paramount title of the U.S. federal government.  The DeLamar Mining Company holds surface rights to the areas it has under lease in accordance with the terms of each lease.

4.3 Agreements and Encumbrances

On November 3, 2017, Integra announced that it acquired 100% of the DeLamar gold - silver project from a wholly owned subsidiary of Kinross for CAD$7.5 million in cash and the issuance of Integra shares.  In addition, Table 4.2 summarizes further the agreements and encumbrances applicable to the property.  Fees other than royalties associated with these agreements are included in the land-holding costs of Table 4.1. 

In terms of royalties, 101 of the 284 unpatented claims acquired from Kinross are subject to a 2.0% net smelter returns royalty ("NSR") payable to a predecessor owner (Table 4.2); this royalty is not applicable to the current project resources.  There are also six lease agreements that include 2.5% to 5.0% NSR obligations (referred to as Leases A through F in Figure 4.2, and Party A through F in Table 4.2) that apply to 26 of the patented claims and one unpatented claim.  These claims are located within portions of Sections 1, 2, 4, 6, 11, and 12 of Township 5 South, Range 4 West; Section 6 of Township 5 South, Range 3 West; Section 36 of Township 4 South, Range 4 West, and Section 31 of Township 4 South, Range 3 West,  Boise Base and Meridian.  Leases B and E apply to small portions of the DeLamar area (5% NSR) and Florida Mountain area (2.5% NSR) resources, respectively. 

The property also includes 1,355 hectares (3,348 acres) leased from the State of Idaho under six separate State Mineral Leases that are subject to a 5.0% production royalty of gross receipts (Table 4.2), plus annual lease fees of $23,252 (Table 4.1).  One of these leases has been issued and five are pending issuance.  The issued lease has an expiration date of February 28, 2028.  The five pending leases are expected to have expiration dates in the second half of 2029, depending on the actual date of issuance.  The State of Idaho leases include very small portions of both the DeLamar and Florida Mountain resources.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 20
     

Kinross has retained a 2.5% NSR royalty that applies to those portions of the DeLamar claims acquired from Kinross that are unencumbered by the royalties described above.  The Kinross royalty applies only to claims in the DeLamar area, including more than 90% of the DeLamar area resources; the royalty will be reduced to 1.0% upon Kinross receiving total royalty payments of CAD$10,000,000.  The Kinross royalty does not apply to the Florida Mountain area. 

Figure 4.2 shows the areas subject to the royalties and lease agreements summarized in Table 4.2.

Table 4.2  Summary of Agreements and Encumbrances

(from Integra, 2019)

Owner

Number of Claims or Lease

Royalty

Kinross Gold

183 unpatented claims and 13 tax parcels comprised of patented claims

2.5% NSR up to CAD$10M; then 1.0% NSR

Predecessor Owner

101 unpatented claims

2.0% NSR

State of Idaho

3,348 acres under six separate Mining Leases

5.0% production royalty of gross receipts

Party A

1 patented claim

5.0% NSR to $50,000; then 2.5% NSR to a maximum of $400,000

Party B

1 patented claim

5.0% NSR

Party C

2 patented claims

2.5% NSR

Party D

1 patented claim

2.5% NSR

Party E

9 patented claims and 1 unpatented claim

2.5% NSR to a maximum of $650K

Party F

12 patented claims

2% NSR to a maximum of $400K

Portions of the property are subject to a private land agreement, road access agreement, pipeline agreement, State of Idaho Easement Agreement and a BLM right-of-way agreement that include lands and certain rights within portions Sections 2, 3, 4, 7, 9, 10, 11, 14 and 18 of Township 5 South, Range 4 West, and Sections 11, 12, 13, 14, 23, 24, 25 and 26 of Township 5 South, Range 5 West.

4.4 Environmental Liabilities and Permitting

The 1977 - 1998 DeLamar mine consisted of the DeLamar mine proper, as well as the Florida Mountain mining area.  The DeLamar mine facilities, specifically the historical Sommercamp and North DeLamar open pits, incorporate essentially all the historical underground mining features (adits and dumps) in the vicinity.  In the Florida Mountain area, many historical underground mining features remain to the north of the Florida Mountain open pits and waste rock dump, and several of these historical underground mining features are located within the DeLamar project, including collapsed adits, dumps, and collapsed structures.  None of these features have water draining from them.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 21
     

The DeLamar mine has been in closure since 2003.  Since 2003, the following reclamation and closure activities have been conducted on the DeLamar project:

  • Tailings pond de-watered and capped with clay and soil;

  • Two waste piles regraded and capped with clay and soil;

  • Heap-leach pad removed;

  • Much of the reclaimed surface includes an engineered cover consisting of two feet (61 centimeters) of compacted clay, 10 inches (25.4 centimeters) of non-acid generating run-of-mine ("ROM") material, and 8 inches (20.3 centimeters) of suitable plant growth media;

  • The DeLamar mine facilities include three primary pit areas.  These are the North DeLamar, Sommercamp - Regan (including North and South Wahl), and Glen Silver pits (Figure 6.2), which are partially backfilled and clay capped to allow for positive drainage;

  • The Florida Mountain mine facilities within the DeLamar project include the Jacobs Gulch waste-rock dump, which has been regraded and reclaimed, and the Tip-top, Stone Cabin, and Black Jack pits, which have been partly back-filled; 

  • The DeLamar mine is in the Closure Phase with the Idaho Department of Lands ("IDL") and activities that focus on water management;

  • Water management includes collection of water at four primary collection and pumping stations referred to as Meadows, SP5, Spillway, and SP1.  There are also two ancillary pumping stations at Adit 16 and SP14; and

  • The collection stations route water to a primary lime amendment facility and a smaller caustic-drip facility.  Water passing through the lime amendment plant is routed to a storage pond and seasonally released at a nearby land application site ("LAS").

The DeLamar project holds the following primary permits: two Plans of Operation ("PoO"), one with IDL and the BLM (PoO #248), and one with IDL (PoO #936).  In addition, the DeLamar Mining Company holds a Cyanidation Permit from the Idaho Department of Environmental Quality ("IDEQ"), an Air Quality Permit from IDEQ, a Dam Safety Permit from the Idaho Department of Water Resources ("IDWR"), and a 2015 Multi-Sector General Permit ("MSGP"), Storm Water Permit, and a Ground Water Remediation Permit from the United States Environmental Protection Agency ("EPA").

Even though a substantial amount of reclamation and closure work has been completed at the site, there remain ongoing water-management activities and monitoring and reporting.  The monitoring and reporting activities include: stream water quality and benthic, air quality, the LAS, and quality assurance and control.  Water-management activities consist of an annual cycle of winter and spring storage and then summer and fall treatment and land application discharge.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 22
     

In January of 2017, Kinross submitted to IDL a reclamation bond reduction request, prepared by SRK Consulting (US) Inc.  IDL responded in writing on April 24, 2017, indicating they had received the partial bond reduction request on March 29, 2017, and stated that they needed more time to complete the required site inspection prior to acting on the bond reduction request.  On May 31, 2017, the IDWR issued a letter stating their relinquishment of any claims on the bond held by IDL.  On June 19, 2017, IDL concurred with Kinross' request for a $9,032,148 reduction in the bond.  A reclamation bond of $2,778,929 remains with the Idaho Department of Lands ("IDL") and a reclamation bond of $100,000 remains with the Idaho Department of Environmental Quality ("IDEQ").  In addition, a reclamation bond in the amount of $51,500 has been placed with the BLM to cover exploration activities on public lands. 

As of the date of this report, Integra is conducting a reverse-circulation ("RC") and core drilling program on patented and unpatented mining claims in the DeLamar and Florida Mountain areas of the project.  This drilling is being undertaken under a Notification from IDL, as well as two Notices filed with the BLM.  The exploration program recommended in Section 25.0 includes proposed drilling in the Florida Mountain area of the project, as well as further drilling in the DeLamar area.  This proposed work would necessitate a modification to the existing Notification for drilling in the DeLamar area, and a new Notification for Florida Mountain drilling performed on patented claims.  A Notice would need to be filed with the BLM if any of the recommended drilling is undertaken on unpatented claims.  Separate Notices would be filed with the BLM for each of the DeLamar and Florida Mountain areas of unpatented claims. 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 23
     

5.0 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE, AND PHYSIOGRAPHY

The information summarized in this section is derived from publicly available sources, as cited.  Mr. Gustin and Mr. Weiss have reviewed this information and believe this summary is materially accurate.

5.1 Access to Property

The principal access is from U.S. Highway 95 and the town of Jordan Valley, Oregon, proceeding east on Yturri Blvd. from Jordan Valley for 7.6 kilometers to the Trout Creek Road (Figure 5.1).  It is then another 39.4 kilometers travelling east on the gravel Trout Creek Road to reach the DeLamar mine tailings facility and nearby site office building.  Travel time by automobile via this route is approximately 35 minutes.  Secondary access is from the town of Murphy, Idaho and State Highway 78 (Figure 4.1 and Figure 5.1), via the Old Stage Road and the Silver City Road.  Travel time by this secondary route is estimated to be about 1.5 hours.

Figure 5.1  Access Map for the DeLamar Project

5.2 Physiography

The property is situated in rolling to mountainous terrain of the Owyhee Mountains at elevations ranging from about 1,525 meters to 2,350 meters above sea level within portions of the De Lamar, Silver City, Flint, and Cinnabar Mountain U.S.G.S. 7.5-minute topographic quadrangles.  Portions of the property are forested with second- or third-growth spruce, pine, aspen, and fir.  Vegetation types include Douglas fir, juniper - mountain mahogany, sagebrush, mixed shrubs, and wyethia meadow communities.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 24
     

5.3 Climate

The climate can be described as moderately arid in the lower elevations to mid-continental at the higher elevations, with warm summers and cold, snowy winters.  MDA is unaware of published historical temperature and precipitation data for the Owyhee Mountains.  According to Kinross' DeLamar mine personnel, summer maximum temperatures can reach 20°C and winter minimum temperatures can be as low as -40°C.  Precipitation at the mine site is believed to average about 50 centimeters per year, most of which occurs as winter snowfall.  Snow cover at the upper elevations can be 1.0 to 2.0 meters deep.  Mining operations have been demonstrated to be feasible year-round but do require snow removal equipment to maintain road access during the winter.  Road access for exploration may be limited or interrupted by snow during December through April. 

5.4 Local Resources and Infrastructure

A highly trained mining and industrial workforce is available in Boise, Idaho, approximately 100 kilometers northeast of the project area.  The project area is served by U.S. Interstate Highway 84 through Boise and by U.S. Highway 95 about 30 kilometers west of the site in southeastern Oregon.  Mining and industrial equipment, fuel, maintenance, and engineering services and supplies are available in Boise, Idaho, as are telecommunications, a regional commercial airport, hospitals, and banking.

Housing, fuel, and schools are available in the nearby town of Jordan Valley, Oregon, which presently has a population of about 175 inhabitants.  There are as many as a few dozen summer residents of the old historical mining town of Silver City, located about 8.5 kilometers east of the DeLamar mine, but few or no residents during the winter when road access is interrupted by accumulated snow. 

An administrative office building with communications and an emergency medical clinic from the historical, late 20th century open-pit mining operation remain on site and in use.  A truck shop and storage building also remain on site.  The processing plant and facilities, crushing equipment, and assay laboratory have been removed from the property.  Electrical power at the project site is delivered via a 69Kv transmission line from the Idaho Power Company.  Although the project area is generally hilly, flat areas are present and have served in the past for siting the processing plant and tailings storage areas.  Developed water wells are present for mining and process requirements.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 25
     

6.0 HISTORY

The information summarized in this section has been extracted and modified to a significant extent from Piper and Laney (1926), Asher (1968), Bonnichsen (1983), Thomason (1983), and unpublished company files, as well as other sources as cited.  Mr. Gustin and Mr. Weiss have reviewed this information and believe this summary is materially accurate. 

For clarity, this report will retain the term "De Lamar" to refer to the historical De Lamar underground mining operation of the late 19th and early 20th centuries and, consistent with official USGS topographic maps and place names, the historical De Lamar town site on Jordan Creek and De Lamar Mountain.  According to Bonnichsen (1983), the present-day term "DeLamar" follows the usage of Earth Resources Company starting in the 1970s (see below).  In this report, the term "DeLamar mine" refers to the open-pit mine and processing operation at De Lamar Mountain that began in the late 1970s.

6.1 Carson Mining District Discovery and Early Mining: 1863 - 1942

Mining activity began in the DeLamar project area in May of 1863 when placer gold deposits were discovered in Jordan Creek, just upstream from what later became the town site of De Lamar (Wells, 1963 as cited in Asher, 1968).  The placer deposits were traced up stream, beyond the DeLamar project area, and during the summer of 1863 the first silver-gold lodes were discovered in quartz veins at War Eagle Mountain, which is outside the current property controlled by Integra.  This resulted in a rush of miners to the area and the initial settlement of Silver City.  Several small mines at War Eagle Mountain were quickly developed with rich, near-surface ore.  By 1866, there were 12 mills in operation (Piper and Laney, 1926).  Grades decreased at depth and in 1875 the Bank of California failed, resulting in a loss of financial backing, which contributed to the closure of the mines by 1876.  According to Lindgren (1900), cited in Bonnichsen (1983) and Piper and Laney (1926), an estimated $12 to $12.5 million was produced from the War Eagle Mountain veins from 1863 through 1875, or the equivalent of 600,000 to 625,000 ounces of gold.  Silver-to-gold ratios of the ores during this period were on the order of 1:1 to 1:6 according to Piper and Laney (1926). 

The general area of De Lamar, Florida Mountain, Silver City and War Eagle Mountain was known as the Carson mining district, which was larger than the current property controlled by Integra.  There was only minor production from sporadic activity in the district at the War Eagle Mountain mines from 1876 through 1888, and some of the mines were never reopened.  However, significant silver-gold veins were discovered during this time period at De Lamar Mountain and at Florida Mountain.  Captain J.R. De Lamar founded the De Lamar Mining Company and was largely responsible for the development of important veins at the original, underground De Lamar mine, just to the south of Jordan Creek.  De Lamar's name was applied to the mine, the mountain, and the small mining town that was established on Jordan Creek. 

In 1889, rich ore shoots were discovered in veins at the De Lamar mine area.  De Lamar sold his interest to the London-based DeLamar Mining Company, Ltd. in 1901.  Declining grades and increasing costs caused the closure of the De Lamar mines by 1914.  An estimated total production value of precious metals of nearly $23 million was reported from the Carson district for the period 1889 - 1914 by Piper and Laney (1926).  The De Lamar mine is believed to have produced approximately 400,000 ounces of gold and 5.9 million ounces of silver from a minimum of about 726,000 tonnes milled from 1891 through 1913, based on annual company reports (Gierzycki, 2004a).  Mines in Florida Mountain are estimated to have produced a total of 133,000 ounces of gold and 15.4 million ounces of silver from 1883 to 1910 (Bonnichsen et al. undated, cited in Gierzycki, 2004a).


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 26
     

Very little production took place in the Carson district until the 1930s, when gold and silver prices increased.  Placer gold was recovered from Jordan Creek from 1934 to 1940, and in 1938 a 181 tonne-per-day flotation mill was constructed to process dumps from the De Lamar mine.  The flotation mill reportedly operated until the end of 1942.  In 1939, the Morrison-Knudson Company excavated a small open pit on the east side of Florida Mountain, but the operation was not profitable and was shut down in November of that year (Asher, 1968).

A summary of estimated annual production value for the entire district, including the DeLamar project, through 1942 is shown in Figure 6.1.  Altogether, the district is believed to have produced about 1 million ounces of gold and 25 million ounces of silver from 1863 through 1942 (Piper and Laney, 1926; Bergendahl, 1964).  Gierzycki (2004b) estimated a total district production of 0.6 million ounces of gold and 42 million ounces of silver for this period.

Figure 6.1  Estimated Annual Production Value, Silver City (Carson) Mining District 1863-1942

(from Asher, 1968)


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 27
     

6.2 Historical Exploration Since the 1960s

It is believed that mining properties in the De Lamar project area were largely inactive from 1942 until the mid-1960s.  Anecdotal information suggests that the Sidney Mining Company and the Continental Materials Corporation ("Continental") both engaged in diamond-core ("core") drilling in 1966, but MDA has information only for the Continental drilling during this time.  Continental's holes were drilled to test veins down-dip from stopes of the old De Lamar mine (Porterfield, 1992).

During the late 1960s, the district began to undergo exploration for near-surface, bulk-mineable gold-silver deposits, but few records of the work are available.  The Glen Silver Mining Company conducted core drilling in what later became either the Glen Silver or the Sommercamp area of the DeLamar project, but the exact locations of the drill holes are not known to MDA. 

In 1969, the "Silver Group" was formed as a joint venture comprised of Earth Resources Company ("Earth Resources"), Superior Oil Company, and Canadian Superior Mining (U.S.) Ltd.  The Silver Group acquired property in the De Lamar - Florida Mountain area and conducted geological mapping and sampling.  Much of the early exploration work was carried out by Perry, Knox, Kaufman Inc. for Earth Resources, the operator of the project. 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 28
     

During 1969 and 1970, Earth Resources carried out trenching, sampling, and surface geological work, and drilled 39 conventional rotary drill holes at De Lamar Mountain.  This resulted in the discovery of broad areas of near-surface silver-gold mineralization in the Sommercamp and Glen Silver zones, and what Earth Resources termed the North DeLamar zone.  Following these discoveries, Earth Resources ramped up exploration and development drilling, and from about 1971 through 1976 at least 432 holes were drilled, mainly in the North DeLamar, Glen Silver, Sommercamp - Regan (including North and South Wahl), and Ohio areas (Figure 6.2).  This drilling also included the first holes drilled at the nearby Sullivan Gulch and Milestone prospects, as well in the Florida Mountain area. 

The Sidney Mining Company drilled eight core holes in the Sommercamp and North DeLamar zones in 1972.  In 1974, Perry, Knox, Kaufman Inc. completed a feasibility study for the Silver Group with reserve estimates for an open-pit mining scenario at the Sommercamp and North DeLamar zones.  In 1977, Earth Resources commenced operation of the DeLamar silver-gold mine with initial open-pit mining at the North DeLamar and Sommercamp zones (see Section 6.3 for a summary of the DeLamar mine production).  In 1981, Earth Resources was acquired by the Mid Atlantic Petroleum Company ("MAPCO"), and Earth Resources continued to operate the DeLamar mine and exploration joint venture.

Earth Resources continued to explore the Sullivan Gulch, North DeLamar, Glen Silver and Florida Mountain zones between 1978 and mid-1984.  Incomplete records show that at least 135 holes were drilled by Earth Resources in these areas of the property.   


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 29
     

Figure 6.2  Aerial View, Zones of Exploration and Mining Since 1969 within the DeLamar Area

Note: North and South Wahl are included in what is referred to as the Sommercamp - Regan zone.

In September of 1984, the NERCO Minerals Company Inc. ("NERCO") purchased MAPCO's interest in the DeLamar project and became the operator of the joint venture.  Less than a year later, in mid-1985, NERCO purchased the interests of the remaining joint venture partners and thereby attained 100% ownership of the project. 

During 1985 through 1992, NERCO conducted extensive exploration and development drilling, as well as surface mapping and sampling.  Drilling was focused mainly on expansion and definition of bulk-mineable mineralization at Florida Mountain, with significant amounts of drilling also completed at North DeLamar, Glen Silver, Sullivan Gulch, Town Road, and Milestone.  Incomplete records indicate that a minimum of 1,594 holes were drilled by NERCO within the DeLamar project during this period. 

NERCO was purchased by the Kennecott Copper Corporation ("Kennecott"), then a subsidiary of Rio Tinto - Zinc Corporation ("RTZ"), in 1993.  Two months later in 1993, Kennecott sold its 100% interest in the DeLamar mine and property to Kinross. 

Kinross continued exploration of the property while operating the DeLamar mine.  A total of 338 exploration and development holes were drilled by Kinross in 1993 through 1997.  Most of the drilling was focused in the Glen Silver, North DeLamar, and Florida Mountain areas of the project. 

In addition to the surface sampling, drilling, and geological work, several campaigns of geophysical studies were performed at various times in the project history. 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 30
     

Kinross ceased exploration work in 1997 and mining was halted at the end of 1998 due to unfavorable metal prices.  In 1999, milling ceased and Kinross placed the DeLamar and Florida Mountain operations on care and maintenance.  Mine closure activities commenced in 2003.  Mine closure and reclamation were nearly completed by 2014, including removal of the mill and other mine buildings, and drainage and cover of the tailings facility. 

The property continued to be in closure and monitoring from 2014 to 2017.   

6.3 Modern Historical Mining: 1977 through 1998

Total open-pit production from 1977 through 1998, including the Florida Mountain operation, is estimated at approximately 750,000 ounces of gold and 47.6 million ounces of silver (Gierzycki, 2004b).  Although the mill reportedly continued to operate for some unknown amount of time in 1999, historical production records are only available to the end of 1998. 

Earth Resources commenced open-pit operations and milling at the DeLamar mine in 1977.  The mine initially operated five days per week with a target production of about 9,980 tonnes per day of ore and waste.  Ore was processed by grinding in ball mills followed by agitated tank leaching with cyanide prior to precipitation with zinc dust.  By the late 1980s, NERCO was mining ore and waste that totaled 21,772 tonnes per day and the mill processing capacity was 1,996 tonnes per day.  At the time of the Kinross acquisition in 1993, the DeLamar mine was operating at a mining rate of 27,216 tonnes per day and a milling capacity of about 3,629 tonnes per day (Elkin, 1993).  The DeLamar mine produced 421,300 ounces of gold and about 26 million ounces of silver from about 12.9 million tons mined from start-up in 1977 through to the end of 1992 (Table 6.1).  Production during this period came from pits developed in the Glen Silver, Sommercamp - Regan, and North DeLamar areas.

Kinross commenced production at Florida Mountain in 1994, while continuing operations at the DeLamar mine, moving Florida Mountain ore to the DeLamar mill via an 8.4-kilometer haul road.  Material was excavated from three open pits on the west side of the crest of Florida Mountain from 1994 through 1998.  These were named the Stone Cabin, Tip Top, and Black Jack pits (Figure 6.3 and Figure 6.4).  The Florida Mountain operation was formally referred to as the Stone Cabin mine in permitting and other documents.  Gierzycki (2004b) estimated that 124,500 ounces of gold and 2.6 million ounces of silver were produced from the Stone Cabin mine in 1994 through the end of mining in 1998, based on an examination of files and company reports at the DeLamar mine

Mining in the Glen Silver - Sommercamp - North DeLamar areas continued simultaneously with the Florida Mountain operation.  It has been reported that 625,500 ounces of gold and 45 million ounces of silver were produced from the Glen Silver - Sommercamp - North DeLamar areas over the entire life of mine from 1977 through 1998 (Gierzycki, 2004b).


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 31
     

Table 6.1  DeLamar Mine Gold and Silver Production 1977 - 1992

(from Elkin, 1993)

Year

Ore

Mill Grade

Bullion Poured

 

(short dry tons)

Gold

Silver

total troy ounces

 

 

(oz/ton)

(oz/ton)

Gold

Silver

1977

309,000

0.034

3.55

9,600

853,000

1978

637,000

0.031

3.78

18,100

1,872,000

1979

715,000

0.034

3.12

22,200

1,734,000

1980

780,000

0.031

2.53

22,100

1,534,000

1981

771,000

0.034

2.55

24,000

1,529,000

1982

738,000

0.036

2.77

24,300

1,589,000

1983

846,000

0.035

2.32

27,100

1,526,000

1984

784,000

0.023

2.83

15,500

1,742,000

1985

820,000

0.038

2.66

29,800

1,751,000

1986

849,000

0.035

2.52

27,700

1,713,000

1987

861,000

0.037

2.54

30,200

1,738,000

1988

830,000

0.033

2.34

32,000

1,738,000

1989

840,000

0.033

2.56

34,000

1,863,000

1990

829,000

0.037

2.04

30,400

1,374,000

1991

1,117,000

0.035

1.99

36,700

1,702,000

1992

1,156,000

0.035

2.01

37,600

1,820,000

Figure 6.3  Aerial View of the Florida Mountain (Stone Cabin Mine) Area


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 32
     

Figure 6.4  Photograph of the Reclaimed Florida Mountain (Stone Cabin) Mine Area

(view looking south-southeast)

6.4 Historical Resource and Reserve Estimations

The estimates described in this subsection are presented herein as an item of historical interest with respect to historical open-pit mining and exploration at DeLamar.  The historical estimations presented below are considered relevant because they represent an "ore reserve" that formed the basis of the initial open-pit mining, "reserves" estimated at the time of Kinross' acquisition of the mining operations, and "resources" estimated at the time of closure of the open-pit mining operations.  The classification terminology is presented as described in the original references, but these terms do not conform to the measured, indicated, and inferred mineral resource classifications as set out in NI 43-101 and the Canadian Institute of Mining, Metallurgy and Petroleum (the CIM Definition Standards).  Mr. Gustin has not completed sufficient work to classify these historical estimates as current mineral resources or mineral reserves, and Integra is not treating these historical estimates as current mineral resources or mineral reserves.  These historical estimates have been superseded by the current mineral resources described in this report and therefore they cannot be upgraded or verified as current mineral resources or reserves.  Accordingly, these estimates are relevant only for historical context and should not be relied upon.  The current mineral resources for the DeLamar project are discussed in Section 14.0.

The first reported historical "ore reserve" was presented in a 1974 feasibility study prepared by the Exploration Division of Earth Resources.  A total of 4.124 million tonnes of "ore reserves" with average grades of 142.29 grams Ag/t and 1.58 grams Au/t, for about 18.8 million silver ounces and 210,000 gold ounces, were estimated for the Sommercamp and North DeLamar zones as shown in Table 6.2 (Earth Resources, 1974).


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 33
     

At the time of the Kinross acquisition of the DeLamar operations and properties in 1993, the end-of-year 1992 reserves for the DeLamar mine area were estimated by Elkin (1993) at approximately 9.335 million tonnes with average silver and gold grades of 55.86 grams Ag/t and 0.72 grams Au/t, respectively (Table 6.2).  Following the cessation of mining at the end of 1998 due to low metal prices, Kinross reported estimated resources and no reserves of 8.406 million tonnes with average silver and gold grades of 32.05 grams Ag/t and 1.25 grams Au/t, respectively (Table 6.2).  The historical resources presented in Table 6.2 are based on the drill data available at the time of the estimations; the drill data are discussed in Sections 10.0, 11.0, 12.0, and 14.2.1.

Table 6.2  Historical Resource and Reserve Estimates

Year

Company

Area

Classification

Tonnes
(millions)

Ag Grade
g/tonne

Au Grade
g/tonne

Ag Oz
(millions)

Au Oz
(millions)

Cutoff Grade

1974

Earth Resources

Sommercamp

"ore reserves"

2.312

178.63

1.06

13.3

0.08

2.0 oz/ton Ag Eq

 

Earth Resources

North Delamar

"ore reserves"

1.813

95.66

2.23

5.6

0.13

2.0 oz/ton Ag Eq

1974

 

total

 

4.124

142.16

1.58

18.8

0.21

 

 

 

 

 

 

 

 

 

 

 

EOY 1992

Kinross1,2

Glen Silver

"P&P mill"

3.958

53.83

0.82

6.848

0.105

2.5 oz/ton Ag Eq

 

 

Glen Silver

"P&P low grade"

2.186

30.17

0.51

2.121

0.036

1.8 oz/ton Ag Eq

 

 

South Wahl

"P&P mill"

0.524

79.54

1.75

1.341

0.029

2.5 oz/ton Ag Eq

 

 

South Wahl

"P&P low grade"

0.019

50.40

0.34

0.031

 

1.8 oz/ton Ag Eq

 

 

Sommercamp/Regan

"P&P mill"

0.678

152.23

0.69

3.317

0.015

2.5 oz/ton Ag Eq

 

 

Sommercamp/Regan

"P&P low grade"

0.318

42.17

0.38

0.432

0.004

1.8 oz/ton Ag Eq

 

 

Stone Cabin

"P&P mill"

7.795

28.80

1.82

7.194

0.454

0.03 oz/ton Au Eq

 

 

Stone Cabin

"P&P low grade"

4.050

15.43

0.65

2.008

0.086

0.02 oz/ton Au Eq

 

 

Stockpile

"P&P mill"

0.422

70.97

0.65

0.963

0.009

 

 

 

Stockpile

"P&P low grade"

0.205

44.23

0.38

0.292

0.002

 

 

 

Ore Pad

"P&P mill"

0.244

67.89

0.89

0.533

0.007

 

 

 

Ore Pad

"P&P low grade"

0.780

34.63

0.48

0.869

0.012

 

 

 

total

"P&P mill"

13.620

46.29

1.41

20.196

0.619

 

 

 

total

"P&P low grade"

7.559

23.66

0.58

5.753

0.14

 

 

total 'P&P mill + low grade"

 

21.179

38.06

1.13

25.949

0.759

 

 

 

 

 

 

 

 

 

 

 

EOY 1997

Kinross3

all

"P&P"

7.688

36.04

1.23

8.907

0.304

 

 

 

all

"Possible Reserves"

0.766

28.27

1.18

0.767

0.032

 

 

 

total all

"P&P + Possible"

8.454

35.34

1.23

9.674

0.336

 

 

 

 

 

 

 

 

 

 

 

EOY 1998

Kinross4

all

"Measured,
Indicated and
Inferred
Resources"

8.406

32.05

1.25

9.547

0.372

 

 

 
notes: EOY = year ending on December 31; "P&P" = Proven and Probable Reserves
1 Elkin (1993); in place, mineable, partially diluted, metalurgical recovery not applied
2 Elkin (1993); price assumed = $360/oz of gold and $4.00/oz of silver for DeLamar; price assumed = $380/oz of gold and $4.20/oz of silver for Stone Cabin
3 Kinross Gold Corporation Annual Report for 1997
4 Kinross Gold Corporation Annual Report for 1998

Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 34
     

Mr. Gustin has not done sufficient work to classify the historical estimates summarized in Table 6.2 as current mineral resources or mineral reserves, which are relevant only for historical context, and Integra is not treating these historical estimates as current mineral resources or mineral reserves.  Mr. Gustin is unaware of the key assumptions, parameters, and methods used to prepare the historical estimates.  Accordingly, these estimates should not be relied upon.  The current mineral resources for the DeLamar project are discussed in Section 14.0.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 35
     

7.0 GEOLOGIC SETTING AND MINERALIZATION

The information presented in this section of the report is derived from multiple sources, as cited.  Mr. Gustin and Mr. Weiss have reviewed this information and believe this summary accurately represents the DeLamar project geology and mineralization as it is presently understood.

7.1 Regional Geologic Setting

The DeLamar project is situated in the Owyhee Mountains, which are located near the east margin of the mid-Miocene Columbia River - Steens flood basalt province and the west margin of the Snake River Plain (Figure 7.1).  The geology of various parts of the Owyhee Mountains has been described by Lindgren and Drake (1904), Piper and Laney (1926), Asher (1968), Bennett and Galbraith (1975), Panze (1975), Ekren et al. (1981), Ekren et al. (1982), and Bonnichsen and Godchaux (2006).  As summarized by Bonnichsen (1983), Halsor et al. (1988), and Mason et al. (2015), the Owyhee Mountains comprise a major mid-Miocene eruptive center, generally composed of mid-Miocene basalt flows and younger, mid-Miocene rhyolite flows, domes and tuffs, developed on an eroded surface of Late Cretaceous granitic rocks.  This Miocene magmatic and volcanic activity coincided with the regional Columbia River - Steens flood basalt event at about 16.7 to ~14.5 Ma (Mason et al., 2015). 

Figure 7.1  Shade Relief Map with Regional Setting of the Owyhee Mountains

(from Mason et al., 2015)


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 36
     

Note:  OM = Owyhee Mountains; OP = Oregon Plateau; OIG = Oregon-Idaho graben; NNR = Northern Nevada Rift.  Yellow shading shows the Columbia River - Steens flood basalt province; green shading indicates the Oregon Plateau underlain mainly by mid-Miocene silicic volcanic rocks.  Red lines show eruptive loci and dike swarms; purple lines and ovoids are isochrons and silicic volcanic centers, respectively, with ages of silicic volcanism of the Oregon High Lava Plains and Snake River - Yellowstone provinces in Ma.  Dark blue dashed and dotted lines are strontium isopleths.  See Mason et al. (2015) for sources of data.

7.2 Owyhee Mountains and District Geology

Five informal rock-stratigraphic sequences have been defined in the central Owyhee Mountains and the De Lamar - Silver City area (Figure 7.2).  From oldest to youngest these are the 1) Late Cretaceous Silver City granite; 2) mid-Miocene lower basalt; 3) mid-Miocene latite and quartz latite; 4) mid-Miocene Silver City rhyolite; and 5) mid-Miocene Swisher Mountain Tuff (formerly tuff of Swisher Mountain).  The Silver City granite crops out near the crest and in the eastern part of the range (Figure 7.2), and it forms the pre-volcanic basement in the area.  It has been described as mainly medium- to coarse-grained biotite-muscovite granodiorite to quartz monzonite and albite granite (e.g., Bonnichsen, 1983).  It is considered to represent an outlying portion of the Idaho Batholith based on Late Cretaceous potassium-argon age dates, and similarities in composition, and mineralogy (Taubeneck, 1971; Panze, 1972). 

Figure 7.2  Geologic Map of the Central Owyhee Mountains

(from Thomason, 1983)

The Silver City granite is directly overlain by flows of the Miocene lower basalt, which have filled up to several hundreds of feet of relief on the granite.  This demonstrates that the Silver City granite had been exhumed and underwent subaerial erosion by mid-Miocene time.  The lower basalt is exposed in a northwest-trending band through the central part of the Owyhee Mountains (Figure 7.2) and consists of as much as 762 meters of flows of alkali-olivine to tholeiitic basalt that change upward to basaltic andesite and trachyandesite (Asher, 1968; Ekren et al., 1982; Bonnichsen, 1983; Thomason, 1983).  As pointed out by Bonnichsen (1983), these basalts were erupted between 17 and 16 Ma, recalculated with modern decay constants from age dates of Panze (1975) and Armstrong (1975), and the lower part of the basalt sequence includes flows with distinctive large plagioclase phenocrysts, similar to flows of the Imnaha Basalt of the Columbia River Basalt Group.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 37
     

Flows of latite and quartz latite overlie the lower basalt and in places directly overlie the Silver City granite (Thomason, 1983).  The latite and quartz latite unit has a maximum thickness of about 549 meters (Panze, 1975).

The Silver City rhyolite (Asher, 1968) forms much of the central core of the Owyhee Mountains (Ekren et al., 1984) and consists of numerous individual and coalesced rhyolite flows and domes derived from local eruptive centers, as well as intercalated units of rhyolite ash-flow tuff (Panze, 1971; 1975; Thomason, 1983).  Thomason (1983) estimated a composite thickness of as much as 1,500 feet for the sequence.  Panze (1975) recognized a consistent succession of quartz latite, flow breccia and upper rhyolite that can be traced through the central Owyhee Mountains, and defined several vent areas and individual domes.  More recent studies have shown that some of the individual quartz latite and rhyolite units consist of flow-layered, rheomorphic ash-flow tuffs of regional extent (Ekren et al., 1984).

The western and southern flanks of the Owyhee Mountains are capped by one or more cooling units of the Swisher Mountain Tuff, which overlies the Silver City rhyolite (Figure 7.2; Thomason, 1983; Ekren et al., 1984).  To the west of DeLamar, the Swisher Mountain Tuff was emplaced at about 13.8 Ma as a regional sheet of unusually high-temperature rhyolite ash flows erupted from a vent area located near Juniper Mountain, about 64 kilometers south of De Lamar and Silver City (Ekren et al., 1984).  Most of the unit is extremely densely welded and underwent post-compaction internal flowage (rheomorphic deformation), resulting in brecciated vitrophyres, contorted flow laminations and internal flow brecciation.  In some places, however, eutaxitic textures and preserved pumice clasts provide evidence for the original ash-flow emplacement (Ekren et al., 1984). 

Map patterns indicate the Owyhee Mountains have undergone incipient to minor amounts of mid-Miocene and younger regional extension.  The principal faults recognized in the central Owyhee Mountains have normal displacements and primarily north-northwest orientations (Figure 7.2) approximately parallel to the Northern Nevada Rift (Figure 7.1).  As stated by Bonnichsen (1983), "The attitude of the volcanic units generally ranges from subhorizontal to gently dipping, most commonly southwards.  It is not clear if all the dips are due to initial deposition on uneven topography, or if some of the units have been rotated."

7.3 DeLamar Project Area Geology

7.3.1 DeLamar Area

Earth Resources and NERCO geologists defined a local volcanic stratigraphic sequence in the DeLamar area based on geologic mapping and drilling.  Mapping at various times benefited from exposures in the walls of the Glen Silver, Sommercamp - Regan, and North DeLamar pits.  In addition to internal company reports, the geology of the DeLamar area has been documented in studies by Thomason (1983), Halsor (1983), Halsor et al. (1988), and Cupp (1989).  These workers were involved with the exploration and operation of the project.  The most concise and complete description of the local stratigraphic units and the mine area geologic setting was given by Halsor et al. (1988) and is presented here in Table 7.1.  The Silver City granite is not exposed in the DeLamar area and has not been penetrated by drilling, although it is considered likely to underlie the Miocene rocks at depth. 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 38
     

Table 7.1  Summary of Volcanic Rock Units in the Vicinity of the DeLamar Mine

(modified from Halsor et al., 1988)

The mine geologists considered the units above the lower basalt to be subunits of the Silver City rhyolite.  However, the quartz latite (unit Tql, Table 7.1) has been correlated with the tuff of Flint Creek, a regional, high-temperature lava-like ash-flow tuff (Ekren et al., 1984). 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 39
     

Figure 7.3 shows the principal mineralized zones of the DeLamar project in relation to the DeLamar project outline, Figure 7.4 shows the surface geology of these mineralized zones, and Figure 7.5 shows a schematic geological cross section.  Open-pits of the DeLamar mine were developed at the Glen Silver, Sommercamp - Regan, and North DeLamar zones.  The Sullivan Gulch and Milestone zones have not been mined.

Figure 7.3 Land Position Map Showing Mineralized Zones


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 40
     

Figure 7.4  Integra Generalized 2018 DeLamar Area Geology

(from Integra, 2019)

Note: Red outlines are schematic surface projection of the resource footprint; blue lines are faults.  UTM grid NAD83, Zone 11; Y = North, X = East

Figure 7.5  Integra 2018 Schematic Cross-Section, DeLamar Area

(from Integra, 2019; line of section and rock unit legend shown in Figure 7.4)


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 41
     

Note: see Figure 7.4 for geology legend.  UTM grid NAD83, Zone 11; X = East, Y = North, Z = elevation in meters.

Mapping and drilling by Earth Resources and NERCO geologists has led to the interpretation that the mine area and mineralized zones are situated within an arcuate, nearly circular array of overlapping porphyritic and banded rhyolite flows and domes.  These flows and domes overlie cogenetic, precursor pyroclastic deposits erupted as local tuff rings (Halsor, 1983; Halsor et al., 1988).  Halsor (1983) interpreted the porphyritic and banded rhyolite flows and domes to have been emplaced along a system of ring fractures developed above a shallow magma chamber that supplied the erupted rhyolites, while Integra believes the rhyolites and latites were emplaced along northwest-trending structures as composite flow domes.  The magma chamber was inferred to have been intruded within a northwest flexure of regional north-northwest trending Basin and Range faults (Figure 7.6).

Figure 7.6  Volcano-Tectonic Setting of the DeLamar Area

(showing land boundaries; modified from Halsor et al., 1988)

Core drilling in 2018 by Integra has facilitated the recognition of a unit of hydrothermally altered tuffaceous mudstone that is locally present between the porphyritic rhyolite and the overlying banded rhyolite as shown in Figure 7.5.  This mudstone unit is up to 14 meters in thickness, strongly altered to clay, and includes fragmental volcanic layers of probable pyroclastic origin (Sillitoe, 2018; Hedenquist, 2018).

7.3.2 Florida Mountain - Stone Cabin Mine Area

The geology of the Florida Mountain area has been described in general by Lindgren (1900) and Piper and Laney (1926).  More detailed studies were carried out by Earth Resources and NERCO as documented by Lindberg (1985), Porterfield and Moss (1988), and summarized by Mosser (1992).  The oldest stratigraphic unit is the Late Cretaceous Silver City granite, which is unconformably overlain by the mid-Miocene lower basalt to trachyandesite lavas.  The granite and lower basalt are overlain by a sequence of andesitic volcanic-sedimentary and tuffaceous lacustrine rocks, which are in turn intruded and overlain successively by units of quartz latite, tuff breccia, and porphyritic rhyolite of the Silver City rhyolite (e.g., Lindberg, 1985).  As at DeLamar, the tuff-breccia unit is interpreted as a near-vent pyroclastic unit erupted as a precursor to emplacement of the rhyolite flows and domes.  NERCO's geologic map of the upper part of Florida Mountain is shown in Figure 7.7 and the explanation of map units is shown in Figure 7.8.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 42
     

In contrast to the DeLamar area, the Silver City granite crops out on the flanks of Florida Mountain and was extensively penetrated by workings of the historical underground mines.  It was designated granodiorite (unit Kgd of Figure 7.7) by the NERCO geologists.  Field relations demonstrate the lower basalt flows partially buried an erosional, paleotopographic high of Silver City granite.  Surface exposures and maps of the underground workings, as well as early drilling at Florida Mountain, led Lindberg (1985) to infer the granite forms a northeast-trending ridge beneath a relatively thin capping of quartz latite, tuff breccia, and one or more flows of rhyolite lava.  Lindberg's schematic cross section through Florida Mountain is shown in Figure 7.9.

The Earth Resources and NERCO geologists interpreted certain rocks at Florida Mountain to represent volcanic vents from which portions of the rhyolite flows and possibly tuffs were presumably erupted (map units Thbx, Tpfv-bx, and Tfv of Figure 7.7 and Figure 7.8), and which later were important foci of hydrothermal activity, alteration, and mineralization (e.g., Porterfield and Moss, 1988; Mosser, 1992).  However, exposures of rock units at Florida Mountain were generally poor prior to the start of mining by Kinross in 1994 as explained by Lindberg (1985), and the criteria used by the above authors to define the vent facies units and to delineate their geometries are not known to the authors.  Moreover, most of the drilling at Florida Mountain was done by conventional rotary and RC methods, which can make outcrop-scale rock textural characteristics much more difficult, to impossible, to discern and correctly interpret. 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 43
     

Figure 7.7  Geologic Map of Florida Mountain

(from Porterfield and Moss, 1988)


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 44
     

Figure 7.8  Map Legend for Florida Mountain Geology

(from Porterfield and Moss, 1988)


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 45
     

Figure 7.9  Schematic Florida Mountain Cross Section (Looking Northeast)

(from Lindberg, 1985)

Note: Kg = Cretaceous Silver City granite; Tlb = mid-Miocene lower basalt; Tlat and Tlas = show volcanic-sedimentary and tuffaceous lacustrine sequence; Tql, Tr shows quartz latite and ash-flow tuff (tuff of Flint Creek?); Ttb = tuff breccia; Tbp = tuff breccia pipe; Tr undiff.  = rhyolite flows.  Elevations in feet above sea level.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 46
     

7.4 Mineralization

Numerous studies of the gold and silver mineralization in the DeLamar project - Silver City area have been conducted, beginning in the late 1860s.  The most definitive studies and descriptions have been those of Lindgren (1900), Piper and Laney (1926), Thomason (1983), Halsor (1983), Halsor et al. (1988), and Mosser (1992).  Mr. Gustin and Mr. Weiss have reviewed this information and believe it reasonably describes the mineralization as presently understood. 

7.4.1 District Mineralization

Precious-metal mineralization has been recognized in two types of deposits: within 1) relatively continuous, quartz-filled fissure veins, and 2) broader, bulk-mineable zones of closely-spaced quartz veinlets and quartz-cemented hydrothermal breccia veinlets that are individually continuous for only a few feet laterally and vertically, and of mainly less than 1.3 centimeters in width. 

Fissure Vein Mineralization

Mineralization mined from bedrock prior to 1942 was of the fissure vein deposit type.  A concise summary of this type of mineralization in the Carson district was given by Bonnichsen (1983), as follows:

"Nearly all of the gold- and silver-bearing veins in the district strike north to northwest, following the main fault and dike trends, and are thought to be the same age.... 

Most of the veins are fissures filled with quartz, accompanied by variable amounts of adularia, sericite, or clay.  A few have been described as silicified shear zones." 

At the De Lamar underground mine, the veins were as much as 23 meters in width, but more commonly were 6 meters in width or less.  Referring to veins in the Florida Mountain area, Bonnichsen (1983) went on to state:

"The veins are narrow, in most places only a few inches to a few feet wide, but persist laterally and vertically for as much as several thousand feet.  Within an individual vein, the gold and silver ore occurs in definite shoots, generally with a moderate rake and somewhat irregular outline.  The localization of ore shoots has commonly been attributed to the presence of cross-fractures, or, in one instance (Trade Dollar Mine), to the intersection of the vein with the granite-basalt contact.  Some of the most productive veins in the district follow thin basaltic dikes. 

All three major rock units, the Silver City granite, the lower basalt-latite unit, and the Silver City rhyolite, are cut by mineralized veins.  Most of the production at War Eagle Mountain, Florida Mountain, and Flint was from veins in the granite, while at De Lamar all of the production was from the rhyolite. 

Naumannite (Ag2Se) is the principal hypogene silver mineral and normally is accompanied by variable but subordinate amounts of aguilarite (Ag4SeS), argentite, and ruby silver as well as other silver-bearing sulfantimonides and sulfarsenides.  Where interpreted to have been reorganized by supergene activity (Lindgren, 1900; Piper and Laney, 1926), the principal silver minerals are native silver, cerargyrite, and some secondary naumannite and acanthite.  In both the hypogene and the oxidized and supergene-enriched portions of the veins, the principal gold-bearing minerals are native gold and electrum.  Variable amounts of pyrite and marcasite, and minor chalcopyrite, sphalerite, and galena occur in some veins; the base metal-bearing minerals become more abundant at deeper levels. 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 47
     

Quartz is the principal gangue mineral.  Much is massive, but some has drusy or comb structure and a lamellar variety is locally abundant.  This lamellar (or cellular or pseudomorphic) variety consists of thin plates of quartz set at various angles to one another (see photographs in Lindgren, 1900; Piper and Laney, 1926).  Each plate consists of numerous tiny crystals that have grown from either side of a medial plane.  Lamellar quartz has been interpreted as the replacement of preexisting calcite (or perhaps barite) crystals.  Adularia commonly shows crystal outlines developed as open-space fillings."

Calcite is reported to be present in only a few veins in the district, such as the Banner vein at Florida Mountain (Piper and Laney, 1926).  Adularia is sparse in veins of the historical De Lamar mine, but is an abundant component of veins at Florida Mountain and War Eagle Mountain (Lindgren, 1900; Piper and Laney, 1926). 

Potassium-argon age dates of volcanic units cut by veins, and dates on vein adularia concentrates, indicate that vein mineralization in the Silver City district was coeval with rhyolite volcanism at about 16 to 15 Ma (e.g., Panze, 1972; 1975; Halsor et al., 1988).  More recent high-precision Ar40/Ar39 ages of adularia extracted from four samples of veins immediately outside of the project range from 15.42 ±0.07 Ma to 15.58 ±0.06 Ma (Aseto, 2012), in good agreement with the earlier studies. 

Bulk-Mineable Mineralization

Zones of bulk-mineable mineralization have been recognized in the district only since the early 1970s.  Mining of this type of mineralization has only occurred in the DeLamar project at both the DeLamar and Florida Mountain areas.  Accordingly, this type of mineralization is described below in Section 7.5.1 and Section 7.5.2. 

7.5 DeLamar Project Mineralization

Current mineral resources discussed in this report are in the Florida Mountain area and the DeLamar area, which includes the Milestone prospect.

7.5.1 DeLamar Area

The modern DeLamar open-pit mine area encompasses the historical De Lamar mine where fissure-vein mineralization was mined from 1889 through 1913.  Mineralized shoots in two sets of fissure veins, the Main De Lamar and Sommercamp veins, were mined from what are now the Sommercamp - Regan and North DeLamar open-pit zones of Figure 7.4, as shown in Figure 7.10 at the 4th level (elevation 1,902 meters).


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 48
     

Figure 7.10  Veins of the Historical De Lamar Mine, Elevation 6,240 Feet

(from Asher, 1968; based on Piper and Laney, 1926)

Note: the area of the above figure is entirely within the property boundary shown in Figure 7.3.

Bonnichsen's (1983) summary of the DeLamar area vein mineralization is as follows:

"The main De Lamar section, at the site of the present-day North DeLamar pit…was 1,300 feet long in a northwest-southeast direction and up to about 300 feet wide, as measured on the No. 4 level (6,240 feet elevation).  The section contained the Hamilton-Wilson No. 9 vein striking N. 25° W. and dipping 45°-66° W., and the 77 vein striking N. 62° W. and dipping 35° SW.  These were connected by smaller veins and stringers.  At lower levels the veins assumed steeper dips, 65 to 80 degrees being common.  The 77 vein was the most important producer.  The Sommercamp section, at the site of the present-day Sommercamp pit…was a zone about 300 feet across that contained ten interlinked veins striking N. 18° W. and dipping 65°-80° W.

These ore-bearing zones plunged 20 to 30 degrees southward.  In both, the southern limit of the ore was a clay zone several feet thick with a shallow dip to the south.  These clay zones were known as iron dikes to the miners and were interpreted to be the low-angle De Lamar and Sommercamp faults by Piper and Laney (1926), Asher (1968), and Panze (1975).  However, the excellent exposure in the present-day open-pit mines has shown that these zones really are mainly the thick basal vitrophyric section of the banded rhyolite unit (Tbr) which has been hydrothermally altered.  In the underground workings, much of the rich silver ore-the "silver talc"-was extracted where the veins abutted against the base of this clay zone.  With its shallow dip, this zone formed the upper as well as the southern limit to mineralization in both sections of the mine."


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 49
     

An indication of the grades mined can be found in Piper and Laney (1926), where the 77 vein was reported to have been stoped from 1893 through 1908 with average grades mainly of 17.14 - 20.57 grams gold per tonne, and about 44.57 - 1,714 grams silver per tonne, over widths of 0.305 to 7.3 meters.  The overall width of the 77 vein was as much as 23 meters.  During this period most of the production came from elevations above 1,786 meters, but some stopes were as deep as the 12th level at 1,768 meters.  Although the 77 vein was found to persist to the 16th level at an elevation of 1,712 meters, the lowest elevation of workings, grades were largely sub-economic below the 10th level and only a small amount of production came from the 12th level (Piper and Laney, 1926).  As pointed out by Piper and Laney (1926), there was little underground exploration, and the development that was done did not consider the southerly plunge of mineralization.

In addition to the fissure veins, the bulk mineable type of mineralization has been delineated in four broad, lower-grade zones, two of which overlap and are centered on the Sommercamp and main De Lamar fissure veins.  This type of mineralization has been described by Halsor et al. (1988) as follows:

"Low grade mineralization occurs in porphyritic rhyolite where closely spaced veinlets and fracture fillings provide bulk tonnage ore.  Most of the veinlets are less than 5 mm in width and have short lengths that are laterally and vertically discontinuous....Locally, small veins can form pods or irregular zones up to 1 to 2 cm wide that persist for several centimeters before pinching down to more restricted widths.  In highly silicified zones, porphyritic rhyolite is commonly permeated by anastomosing microveinlets typically less than 0.5 mm wide.  Most of the minute veining displays well-defined contacts with the enclosing rock and in some instances veins can be seen to sharply cut phenocrysts.  Still, in other zones, microveinlets are less distinct and difficult to distinguish from groundmass silicification.

Networks of high-density, quartz-free fractures are the sites for supergene mineralization. Major fractures generally trend north-northwest, but less prominent intervening and crosscutting fractures are present. Major fractures commonly have steep dips and show reversals in direction of dip vertically along faces. Fracture fillings commonly consist of thin coatings of goethite and jarosite but occasionally can be filled with seams of sericite and kaolinite up to several centimeters wide. Above the clay zone, veining is characterized by narrow, chalcedony-lined fractures of irregular extent. 

In the Sommercamp pit, the principal ore zone in porphyritic rhyolite occurred beneath the clay zone as a distinct shoot striking north-northwest, dipping 40° E; and plunging 9½° SE. It was 27 m thick at the south end and thickened to 90 m at the north end. The ore-waste boundary at the base of the shoot was sharp with ore-grade material (>2 oz Ag) in the shoot abruptly dropping to waste across a single 1.5-m sample interval. The base of the ore shoot was remarkably planar but dipped 40° E as mentioned above. The top of the ore shoot was undulatory and more or less defined by the base of the clay zone over the porphyritic rhyolite. Generally, major mineralized shoots in the Glen Silver, North DeLamar, and Sullivan Gulch zones all plunge 10° to 15° to the southeast. Determining the plunge in the North DeLamar pit proved difficult due to a very complex cross faulting pattern.

Ore mineralogy is reported by Thomason (1983) and Barrett (1985). Naumannite (Ag2Se) is the dominant silver mineral and acanthite (Ag2S) and acanthite-aguilarite [(Ag2S)-(Ag4)(Se,S)2] solid solution are the second most abundant. Remaining ore minerals consist of lesser amounts of argentopyrite (AgFe2S3), Se-bearing pyrargyrite [Ag3Sb(S,Se)3], Se-bearing polybasite [(Ag,Cu)16Sb2(S,Se)11], cerargyrite [AgCI], Se-bearing stephanite [Ag5Sb(S,Se)4], native silver, and native gold and minor Se-bearing billingsleyite [Ag7(Sb,As)(S,Se)6], pyrostilpnite [Ag3Sb(S,Se)3] and Se-bearing pearceite [(Ag,Cu)16As2(S,Se)11].  Ore minerals are generally very fine grained; 65 percent of the minerals average 62μ in diameter, with the remainder averaging 200μ (Rodgers, 1980). Naumannite, the dominant silver mineral, commonly occurs as finely disseminated grains in quartz veinlets and within some fractures. It is also found as crystal aggregates growing on drusy quartz that lines vugs. Acanthite, the second most abundant silver mineral, occurs as anhedral blebs in quartz gangue and hydrothermal clays commonly associated with naumannite.  It also is frequently present as a late-stage mineral coating drusy quartz in vugs.... Pyrite is the most widespread metallic mineral occurring in veins and altered country rock. Pyrite occurs along the edges of veins but also as coatings on some of the younger minerals. Polymorphic marcasite is commonly associated with pyrite, forming lath shaped crystals and anhedral aggregates surrounding pyrite. In some zones, marcasite is intimately intergrown in irregular clots with pyrite....


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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Vein gangue minerals consist almost entirely of quartz, with minor amounts of mosaic intergrowths of adularia. Texturally, quartz can be divided into three varieties: (1) cloudy, massive, fine-grained quartz, (2) lamellar quartz, and (3) clear, crystalline, coarse-grained quartz.... Cloudy, fine grained quartz, including a chalcedonic variety, is the dominant type in veins and veinlets that constitute ore. This quartz is characterized by turbid anhedral grains (<0.005 mm) rich in solid inclusions. 

The host rocks at DeLamar are pervasively altered.  The tuff breccia is altered to an assemblage of quartz, illite, pyrite, and marcasite. The alteration of the principal host of mineralization, porphyritic rhyolite, is vertically zoned. The alteration assemblage is quartz, illite, pyrite, and marcasite and locally in the upper portions there are complex assemblages including jarosite, and mixtures of alunite, goethite, and kaolinite; hematite with kaolinite; and illite plus kaolinite (Thomason, 1983; Barrett, 1985). The latter style of alteration produces a very conspicuous glaring white rock that overlies the principal ore zones at DeLamar. The porphyritic rhyolite is overlain by a clay zone which consists of variable quantities of mixed layers of illite and montmorillonite clays with 5 to 7 vol percent euhedral pyrite in fine-grained aggregates or as crystals up to a few millimeters across.  In less altered areas relic perlitic structure can be seen, demonstrating that the clay zone was a basal vitrophyre of the banded rhyolite. Above the clay zone, feldspar in the banded rhyolite is altered to kaolinite and the groundmass contains finely disseminated hematite, trace amounts of epidote, and patches of cryptocrystalline quartz. Sparse chemical data (Halsor, 1983) indicate that at least some of the DeLamar rocks were potassium metasomatized. 

Scattered zones of breccia in the banded rhyolite occur most frequently near the base of the unit.  These breccias crosscut flow layering, some ranging up to several meters in length by several decimeters in width. The breccias consist of close-packed angular fragments of flow-banded rhyolite in a chalcedonic matrix.  The fragments show little rotation and this, together with the crosscutting nature of the breccias, suggests a hydrothermal origin and not primary features related to flow." 

The above description seems to have been based on the Sommercamp and North DeLamar mineralized zones.  Mr. Gustin and Mr. Weiss have no information to suggest that the Glen Silver and the unmined Sullivan Gulch mineralization is different in a general sense.  However, there is no indication that major fissure-vein mineralization was mined historically or encountered in exploration drilling in the Sullivan Gulch and Glen Silver zones, where relatively shallow drilling to date has intersected mineralization of the bulk mineable type. 


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Integra Resources Corp.

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Based on Integra's core drilling, the clay zone described above by Bonnichsen (1983) and Halsor et al. (1988) at least locally consists of the altered mudstone unit between the porphyritic and flow-banded rhyolites.  The clay zone is interpreted as having acted as an important aquitard and barrier to upwelling hydrothermal fluids during mineralization (Sillitoe, 2018). 

Samples from three drill-core intervals were studied with optical microscopy and x-ray powder diffraction methods at Hazen Research Inc. ("Hazen") in 1971 (Perry, 1971).  In addition to identifying some of the silver minerals recognized by Thomason (1983) and Halsor (1988), the Hazen study noted that gold occurs as native gold and in electrum.  The gold grains were reported to be "blebs" that "rarely exceed 5 microns in size" intergrown with quartz, and within and on naumannite (Perry, 1971).  Electrum was found as silvery, nearly white blebs less than 5 microns in size "locked in cerargyrite".

The DeLamar area mineralization is situated stratigraphically below the Millsite rhyolite, which is reported to be little affected by hydrothermal alteration and is considered to be post-mineral in age (Thomason, 1983; Halsor et al., 1988).

7.5.1.1 Milestone Prospect

A shallow, hot-spring setting has been described by Barrett (1985) for gold-silver mineralization at the Milestone prospect, about 1 kilometer northwest and along the strike of the Glen Silver zone (Figure 7.3).  According to Gierzycki (2004b):

"The ore lies at the base of a basalt-rhyolite contact in hydrothermal eruption-breccia with clasts of porphyritic rhyolite within a large zone of cherty silicification.  It is capped at the surface by a sinter....Major ore minerals are naumannite, Se-rich pyrargyrite and gold."

7.5.2 Florida Mountain Area

Both fissure veins and the bulk-mineable type of mineralization are present at Florida Mountain and both have contributed to past gold and silver production.  The veins cropped out intermittently near the crest and on the flanks of Florida Mountain, in some cases with lateral continuity of 1.6 kilometers or more, even though vein widths were usually only a few meters or less.  Dips are reported to be 75° to 80° W, transitioning in their northern extents to steep east dips (Piper and Laney, 1926).  A longitudinal section showing stopes of the Black Jack - Trade Dollar mine is presented in Figure 7.11.   

The veins in Florida Mountain were mapped in greater detail in the 1970s and 1980s by Earth Resources and NERCO geologists (e.g. Figure 7.7), in part with the benefit of trenching and drilling.  The most complete vein and geologic map that Mr. Gustin and Mr. Weiss are aware of is a NERCO map from 1989.  The NERCO 1989 map shows a somewhat different, more detailed picture of the vein array than Piper and Laney's 1926 map. 


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Integra Resources Corp.

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Mosser (1992) summarized the vein mineralization as follows:

"...Mineralization is strongly controlled by NNW-trending faults, and to a lesser degree by arcuate and ENE structures.  Host rocks display a definite influence on mineral distribution. Within the granodiorite and basalt, where most of the historic production occurred, the veins are narrow and tight. However, within the more reactive and permeable quartz-latite and rhyolite units, the mineralization is more disseminated so that significant bulk mineable potential exists...

The vein deposits are dominated by quartz and adularia gangue. Quartz occurs in a variety of forms in a definite paragenetic sequence.... 

Hypogene gold and silver mineralization varies little with depth across known levels and is dominated by electrum, acanthite, and the silver sulfo-selenide aguilarite...."

In the quartz latite and rhyolite, at least some of the veins branch upward into multiple narrow veins and vein-cemented breccia, separated by intensely altered rhyolite, to form sheeted vein and breccia zones as much as 6.1 meters or more in width.  These broader sheeted vein and breccia zones comprise the bulk-mineable style of mineralization at Florida Mountain, particularly where adjacent fracture networks and flow bands in the rhyolite have been permeated with narrow, discontinuous quartz and breccia veinlets.  Four such zones were described by Mosser (1992), referred to as the Tip Top, Stone Cabin, Main Trend (Black Jack), and Clark deposits.  The mineralogy and paragenesis of the gold and silver mineralization are similar, if not the same, as that described for the fissure veins.  Details of the mineralogy and a fluid inclusion study were presented by Mosser (1992).


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Integra Resources Corp.

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Figure 7.11  Longitudinal Section of the Black Jack - Trade Dollar Mine

(from Piper and Laney, 1926)


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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8.0 DEPOSIT TYPE

Based upon the styles of alteration, the nature of the veins, the alteration and vein mineralogy, and the geologic setting, the gold and silver mineralization at the DeLamar project is best interpreted in the context of the volcanic-hosted, low-sulfidation type of epithermal model.  This model has its origins in the De Lamar - Silver City district, where it was first developed by Lindgren (1900) based on his first-hand studies of the veins and altered wallrocks in the De Lamar and Florida Mountain mines.  Various vein textures, mineralization, and alteration features, and the low contents of base metals in the district are typical of what are now known as low-sulfidation epithermal deposits world-wide.  Figure 8.1, below, from Sillitoe and Hedenquist (2003), is a conceptual cross-section depicting a low-sulfidation epithermal system.  The host-rock setting of mineralization at the DeLamar project is similar to the simple model shown in Figure 8.1, with the lower basalt sequence occupying the stratigraphic position of the volcano-sedimentary rocks shown below.  The Milestone portion of the district appears to be situated within and near the surficial sinter terrace in this model.

Figure 8.1  Schematic Model of a Low-Sulfidation Epithermal Mineralizing System

(After Sillitoe and Hedenquist, 2003)

As documented by Lindgren (1900) and Piper and Laney (1926), many of the veins in the district contain distinctive boxwork and lamellar textures where quartz has replaced earlier crystals of calcite.  These textures are now known to result from episodic boiling of the hydrothermal fluids from which the veins were deposited.  Limited fluid inclusion studies of quartz from veins in the upper part of Florida Mountain by Mosser (1992) support the concept of fluid boiling and indicate fluid temperatures were in the range of 235°C to 275°C.  Salinities measured by freezing point depressions were apparently in the range of 0.25 to 2.1 equivalent weight percent NaCl, with a mean of about 0.8 equivalent weight percent NaCl (Mosser, 1992).  Halsor et al. (1988) reported fluid temperatures from late-stage quartz in the DeLamar mine of about 170°C to 240°C, with salinities of 2.8 to 3.8 equivalent weight percent NaCl.  The temperature and salinity data, and evidence for fluid boiling are typical of the low-sulfidation epithermal class of precious-metal deposits world-wide. 


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Integra Resources Corp.

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Many other deposits of this class occur within the Basin and Range province of Nevada, and elsewhere in the world.  Some well-known low-sulfidation epithermal gold and silver properties with geological similarities to the DeLamar project include the past-producing Castle Mountain mine in California, as well as the Rawhide, Sleeper, Midas, and Hog Ranch mines in Nevada.  The Midas district includes selenium-rich veins similar to, but much richer in calcite, than the veins known in the DeLamar project.  At both DeLamar and Midas, epithermal mineralization took place coeval with rhyolite volcanism, and shortly after basaltic volcanism, during middle Miocene time. 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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9.0  EXPLORATION

This section summarizes the exploration work carried out by Integra.    Drilling by previous operators is summarized in Sections 10.2 and 10.3.  Integra commenced drilling in 2018 on patented claims in the DeLamar area of the project and subsequently conducted drilling elsewhere at DeLamar as well as in the Florida Mountain area.  Drilling conducted by Integra is described in Section 10.4 and was on-going as of the effective date of this report.

9.1 Topographic and Geophysical Surveys

A Light Detection and Ranging ("LiDAR") topographic survey of the DeLamar and Florida Mountain areas was completed late in 2017.  Integra also commissioned SJ Geophysics Ltd., of Delta, British Columbia, to conduct an Induced Potential and Resistivity ("IP/RES") survey of six lines using the Volterra-2DIP distributed array system for a total of 22.4 line-kilometers in the DeLamar area late in 2017.  The survey was extended with an additional 10 lines in 2018, bringing the total survey to approximately 40 line-kilometers.  The IP/RES lines were spaced at 300 meters and utilized a potential dipole spacing with intermediate current spacing of 100 meters.  The results are shown in Figure 9.1 and Figure 9.2.

Figure 9.1  Plan View of Resistivity from 2017 and 2018 IP/RES Surveys

(from Integra, 2019; 3D inversion elevation 1,600 meters)

Note: heavy black lines for "Surface Vein Projection are schematic representations of historically mined mineralized structures; north is up.


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Integra Resources Corp.

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Figure 9.2  Plan View of Chargeability from 2017 and 2018 IP/RES Surveys

(from Integra, 2019; 3D inversion elevation 1,600 meters)

Note: heavy black lines for "Surface Vein Projection are schematic representations of historically mined mineralized structures; north is up.

9.2 Rock and Soil Geochemical Sampling

Integra conducted rock-chip and soil geochemical sampling at the DeLamar area in 2018.  A total of 2,920 soil samples in the DeLamar area were collected at 50-meter intervals along lines spaced 300 meters apart, and 475 rock-chip samples were also collected.

9.3 Database Development and Checking

A major effort in updating the DeLamar and Florida Mountain drill-hole databases was undertaken by Integra.  Geologists re-logged cuttings from nearly 2,500 historical RC drill holes and the re-logging data was added to the databases.  This program included logging of oxidation (oxidized, transitional and unoxidized (sulfide), the data for which had never before been collected zones.  Mr. Gustin used this logging to create detailed oxidation models for both resource areas.  In addition, Integra extracted information on underground workings, groundwater and/or moisture level of samples, sample quality, and notes of down-hole contamination from approximately 2,200 historical paper geologic logs stored at the project site and entered this information into electronic spreadsheets.  MDA then augmented the project resource databases using these spreadsheets. 


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Integra Resources Corp.

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Integra also completed an extensive comparison of the DeLamar and Florida Mountain drilling assays to the original paper laboratory assay records.  First, all drill-hole intervals which were missing assay data were identified.  The historical paper laboratory assay records were then searched for the corresponding drill-hole intervals.  In most cases, the gaps in assayed intervals were found to be "No Sample" intervals, and the databases were updated with the No Sample designation if this was the case.  If assays were found for these intervals, the data was added to the databases.  Next, approximately every 10th sample interval in the databases was compared to the original paper records.  This amounted to 7.5% of the Florida Mountain intervals and 9.7% of the DeLamar intervals.  The drilled interval 'from' and 'to' depths, as well as the gold and silver assays for the interval, were compared to the paper records.  The few discrepancies found were corrected with the entries recorded in the paper records and a field in each database was attributed with a record of the checking.  This work was in addition to the verification work completed by the authors that is summarized in Section 12.0. 

9.4 Cross-Sectional Geologic Model

Utilizing the updated databases, as well as available surface geology, Integra geologists constructed 100 hand-drawn cross-sections at 30-meter spacing through the DeLamar mine area.  Cross-sectional lithology and structure were interpreted on each section using the down-hole data.  Trends of mineralized zones were interpreted on each of the sections as well using the down-hole assays.  While working on this modeling, conflicts in the geological coding of nearby holes were inevitably discovered.  The resolution of these discrepancies often led Integra to update the lithologic codes in the project database with their own logging of the historical RC chips.  Cross-sectional geological modeling was also completed at Florida Mountain prior to the updating of the databases described above.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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10.0 DRILLING

The drilling described in this section was performed in the DeLamar and Florida Mountain areas of the property.  This drilling was completed by historical operators from the late 1960s through 1998, and by Integra commencing in 2018. 

10.1 Summary

MDA has records for a total of 306,078 meters drilled in 2,718 holes in the DeLamar and Florida Mountain portions of the property as summarized in Table 10.1.  This includes Integra's drilling through April of 2019.

Table 10.1  DeLamar Project Drilling Summary

Area

Years

Holes

Meters

       

Historical Drilling

 

 

 

DeLamar

1966 - 1998

1,447

136,097

 

not known

103

6,693

Florida Mountain

1972 - 1997

1,060

131,228

 

not known

15

1,772

Total Historical

 

2,625

275,790

       

Integra Drilling

 

 

 

DeLamar

2018

67

20,330

 

2019

16

7,025

Florida Mountain

2018

10

2,932

Total Integra Drilling

 

93

30,288

       

Grand Total

1966 - 2019

2,718

306,078

Records of historical drilling are incomplete with respect to dates, drilling methods, drilling contractors, and types of drills used.  As of the effective date of this report, MDA has documentation for 2,625 historical holes drilled in the DeLamar area, including the Milestone prospect, and the Florida Mountain area, for a total of 275,790 meters.  Table 10.2 summarizes the historical drilling by operator and year. 

Of the historical holes for which the drilling method is known, 602 of the DeLamar area holes were drilled by RC, 438 by conventional rotary, and 60 were core holes.  Seventy-four percent of the historical holes in the DeLamar area were vertical.  At Florida Mountain, 961 of the historical holes were drilled by RC methods, 58 by conventional-rotary methods, and 46 by diamond core methods; less than 10% of the historical holes were vertical.  None of the conventional rotary holes were angled in either area.  A combined total of 106 holes were drilled using core methods for a total of 10,822 meters, or 3.9% of the overall meterage drilled.  The median down-hole depth of all historical holes in the DeLamar area is 91 meters, and the median depth in the Florida Mountain area is 123 meters.  The aerial distribution of drill holes in the DeLamar area is shown in Figure 10.1.  Historical drilling in the Florida Mountain area is shown in Figure 10.2.   


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Integra Resources Corp.

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Table 10.2  Historical Drilling at the DeLamar and Florida Mountain Areas

Year

Company

Holes

Meters

 

DeLamar Area

 

 

1966

Continental Materials

5

1,378

1969 - 1983

Earth Resources

504

44,346

1972

Sidney Mining

8

654

1985 - 1992

NERCO

691

68,354

1993 - 1998

Kinross

239

21,365

no known

not known

103

6,693

       

 

DELAMAR TOTALS

1,550

142,790

       

 

Florida Mountain Area

 

 

1972

Earth Resources

16

1,236

1975 - 1976

Earth Resources

29

2,169

1977

ASARCO

4

579

1980

Earth Resources

9

651

1986 - 1990

NERCO

898

116,217

1988

NERCO Water Wells

5

476

1995 - 1997

Kinross

99

9,901

not known

not known

15

1,772

     

FLORIDA MOUNTAIN TOTALS

1,075

133,000

     

TOTAL PROJECT DRILLING

2,625

275,790

10.2 Historical Drilling - DeLamar Area

10.2.1 Continental 1966

The earliest drilling that MDA is aware of was completed by Continental in the area of the 77 vein of the old De Lamar underground mine and now the site of the North DeLamar pit.  A total of 1,378 meters were drilled in five inclined core holes, but MDA is unaware of what type of drill rig was used, core diameter(s), or the identity of the drilling contractor.

10.2.2 Earth Resources 1969 - 1970

In 1969 and 1970, Earth Resources drilled 39 conventional rotary holes, for a total of 2,303 meters, in the North DeLamar, Sommercamp, and Glen Silver areas.  All of the holes were vertical.  Harris Drilling was the contractor for most of the drilling, some of which was done with a Failing 1500 drill rig.  Eklund Drilling of Elko, Nevada, drilled one of the holes using a Mayhew 2000 drill.  MDA is unaware of the type(s) and size(s) of drill bits used.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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Figure 10.1  Map of DeLamar Area Drill Holes


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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Figure 10.2  Map of Florida Mountain Area Drill Holes


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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10.2.3 Sidney Mining 1972

Sidney Mining drilled eight core holes in the Sommercamp and North DeLamar zones in 1972.  MDA is unaware of the drilling contractor, type of rig, and core diameter(s) used for this drilling.

10.2.4 Earth Resources ~1970 - 1983

Between as early as possibly 1970 and the end of 1983, Earth Resources drilled 465 holes.  Five of these were core holes drilled in the DeLamar area in 1975 with Longyear 38 and Longyear 44 core drills operated by Longyear Drilling.  Five core holes were also drilled in 1975 in the Glen Silver area by the same contractor using a Longyear 44 rig.  The core diameter was HQ for all 10 core holes. 

A total of 384 conventional rotary holes, for 659,701 meters, were drilled during this period in the DeLamar, Glen Silver, Sommercamp - Regan, Town Road - Henrietta, Milestone, Ohio, Millsite, and Sullivan Gulch areas (Figure 6.2).  All of these holes were vertical.  Contractors at various times included: Justice Drilling using a Mayhew 1000 rig; and Eklund Drilling using G-15, Mayhew 1500, Mayhew 2000, and Gardner-Denver 1500 rigs.  Harris Drilling used a Failing drill for 21 holes in 1973.  Eklund also used an Ingersoll-Rand TH60 drill in 1979 and 1980, and apparently one of the holes drilled by this rig was a 183-meter vertical RC hole.   

Earth Resources drilled an additional 70 vertical holes of unknown type during this period, for a total of 5,202 meters. 

10.2.5 NERCO 1985 - 1992

Available records show NERCO drilled 691 holes during 1985 through 1992.  These include 351 RC holes for a total of 37,093 meters, seven conventional rotary holes drilled in 1986 for a total of 640 meters, 36 core holes for 1,902 meters, and 28,720 meters of drilling for which the drilling method is not known.  532 of the holes were drilled vertically.

During this period, drilling took place at various times at North DeLamar, Glen Silver, Sommercamp - Regan, Sullivan Gulch, Ohio, Town Road, the tailings area, and an area known as "Heap Leach".  The Sullivan Gulch holes were drilled in 1985 or later using RC methods.  Twelve vertical RC holes were drilled at the Ohio area, but the rig type and contractor are not available.  Six core holes were drilled in the Glen Silver area in 1986 with a Longyear 44 drill.  After some point in 1987, all of NERCO's drilling was done with RC methods.  Tonto Drilling used an Ingersoll-Rand TH60 RC drill for some of the drilling in 1987 and 1989.  An in-house Canterra RC drill was also used in 1989.  Ponderosa Drilling was the contractor for 30 core holes drilled in the Heap Leach area in 1990, but the type of drill and core diameter is not known to MDA.  The NERCO Cantera RC drill was also used for 19 holes drilled in the Ohio area in 1991, and 19 RC holes drilled in the Ohio and Town Road areas in 1992.

10.2.6 Kinross 1993 - 1998

Kinross drilled 239 holes in the DeLamar area, and only six of these holes were drilled vertically.  Kinross drilled 55 RC holes (4,491 meters) in 1993 in the North DeLamar, Glen Silver, and Sommercamp - Regan areas.  The drilling contractor was Stratagrout and a Discovery drill was used.  In 1994 and 1995, Kinross drilled 181 RC holes (16,624 meters) located in the North DeLamar, Glen Silver, Ohio, and Sommercamp - Regan areas.  AK Drilling was the contractor for 19 of these holes, and Drilling Services was the contractor for at least six of the holes.  Available records indicate only one 158-meter inclined RC hole was drilled in 1996, and two additional inclined RC holes, for a total of 91 meters, are bracketed to have been drilled between 1995 to 1998. 


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Integra Resources Corp.

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10.3 Historical Drilling - Florida Mountain Area

10.3.1 Earth Resources 1972 - 1976

During 1972, 1975 and 1976, Earth Resources drilled a total of 3,405 meters in 45 vertical rotary holes in the Florida Mountain area.  This drilling was done by Eklund Drilling of Elko, Nevada, using 13.34-centimeter diameter hammer bits.  A Gardner-Denver 15 rotary rig was used for the 1972 holes and a Mayhew 1500 drill was used for the 1975 - 1976 drilling.  Samples were collected over 3.048-meter intervals, but MDA is unaware of any other specific drilling and sampling procedures and methods.

10.3.2 ASARCO 1977

ASARCO drilled four vertical rotary holes in 1977 between DeLamar and Florida Mountain in an area that is not presently part of the land controlled by Integra.  These holes total 579 meters drilled, and are part of the project database, but were not used to estimate the current mineral resources.  Samples were assayed over 3.048-meter intervals, but MDA is unaware of the drilling contractor, type of drill used, or the drilling and sampling procedures and methods.

10.3.3 Earth Resources 1980

In 1980, Earth Resources drilled nine vertical rotary holes at Florida Mountain for a total of 651 meters.  Eklund Drilling and D. Allen Drilling were the contractors.  A Midway and Ingersoll Rand TH100 drill were used, respectively, with 13.34-centimeter diameter hammer bits.  Samples were collected over 1.524-meter intervals, but MDA is unaware of any other specific drilling and sampling procedures and methods.   

10.3.4 NERCO  1985 - 1990

NERCO drilled 898 exploration holes at and near Florida Mountain from 1986 through 1990, by far the largest amount of drilling by a single historical operator (Table 10.2).  Thirty-six of the holes, for a total of 4,488 meters, were inclined HQ-diameter (63 millimeter) core holes, with the remainder drilled by RC methods (11,729 meters).  Twenty-eight of these RC holes were drilled vertically.  Incomplete records show that 5 water wells, for a total of 475 meters, were also drilled in 1988.  At least one, and possibly all, of the water wells were drilled with a CP650 drill operated by "Allberry".  MDA is not aware of the drilling contractor or type of rig that was used to drill the core holes.  In 1986, a total of 7,393 meters were drilled in 50 RC holes by Becker Drilling with a Drill Systems rig, but no other information is available on the specific methods and procedures used.  MDA is not aware of the drilling contractors, rig types, and drilling methods and procedures used for NERCO's RC drilling in 1987, 1988, 1989 and 1990. 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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10.3.5 Kinross 1995 - 1997

During 1995 through 1997, Kinross drilled a total of 9,901 meters in 99 RC holes in the Florida Mountain area.  All but three of the 99 holes were inclined.  Available records suggest that Drilling Services Company ("DSC") of Chandler, Arizona, was the contractor for the three holes drilled in 1995, and that a TH100 drill was used.  Dateline Drilling of Missoula, Montana, was the contractor for the 1996 drilling, which totaled 4,907 meters in 49 holes.  In 1997, a total of 4,658 meters were drilled in 47 RC holes at Florida Mountain by AK Drilling of Ramsay, Montana, with a Foremost Prospector rig.  For the Kinross drilling, samples were collected over 1.524-meter intervals, but MDA is unaware of any other specific drilling and sampling procedures and methods.

10.4 Integra Drilling 2018 - 2019

Integra's drilling is summarized in Table 10.3. 

Table 10.3  Integra Drilling Summary

Area/Target

Year

RC
Holes

RC
Meters

Core
Holes

Core
Meters

PC Core
Holes

PC Core
Meters

Total
Holes

Total
Meters

 

 

 

 

 

 

 

 

 

 

DeLamar

 

 

 

 

 

 

 

 

 

DeLamar

2018

1

430

2

609

1

246

4

1,284

DeLamar North

2018

 

 

2

311

7

1,437

9

1,748

Glen Silver

2018

2

634

4

1,028

 

 

6

1,662

Henrietta

2018

5

1,228

 

 

 

 

5

1,228

Milestone

2018

6

1,218

 

 

 

 

6

1,218

Ohio

2018

5

1,689

 

 

 

 

5

1,689

Sommercamp

2018

1

384

2

641

3

700

6

1,725

Sullivan Gulch

2018

12

4,622

6

2,309

 

 

18

6,931

Sullivan Knob

2018

4

1,326

 

 

 

 

4

1,326

Town Road

2018

2

652

 

 

 

 

2

652

TruckShop

2018

2

867

 

 

 

 

2

867

Glen Silver

2019

 

 

1

198

 

 

1

198

Sullivan Gulch

2019

11

4,947

 

 

 

 

11

4,947

TruckShop

2019

4

1,880

9

3,285

 

 

13

5,165

DeLamar Total

2018-2019

55

19,877

26

8,380

11

2,383

92

30,640

 

 

 

 

 

 

 

 

 

 

Florida Mountain

2018

 

 

10

2,932

 

 

10

2,932

 

 

 

 

 

 

 

 

 

 

All Integra Drilling

2018-2019

55

19,877

36

11,313

11

2,383

102

33,573

10.4.1 DeLamar Area Drilling 2018 - 2019

A total of 33,573 meters were drilled in 102 holes in various parts of the DeLamar area in 2018 and through April 2019.  Approximately 60% of the holes and 65% of the meters were drilled with RC methods.  The balance of the DeLamar area holes were drilled with diamond core, or with an initial RC "pre-collar" followed by a core tail.  Only one of the 2018 and 2019 DeLamar area holes was vertical, with the others inclined at angles of -45° to -85°.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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The RC drilling in 2018 and 2019 was conducted by Boart Longyear of Elko, Nevada using an MPD 1500 track-mounted drill.  Bit diameters varied from 12.065 centimeters to 15.558 centimeters (4.75-6.125 inches).  RC drilling was conducted wet; samples were passed through a rotating vane-type splitter to obtain samples generally in the range of 4.54 kilograms to 9.07 kilograms when dry.  The RC samples were transported from the drill pads to the on-site logging and storage facility each day.

In 2018, the core holes were drilled by Major Drilling of Salt Lake City, Utah using LF90 track-mounted drill.  HQ- and lesser PQ-size core was recovered with wireline methods that involved triple-tube coring. 

The 2019 core drilling at DeLamar was conducted by Boart Longyear of West Valley City, Utah using a track mounted LF90 core rig.  PQ- and lesser HQ-size core was recovered with wireline methods and triple-tube coring. 

The 2018 and 2019 drill core was placed in plastic core boxes by the drilling contractor and transported from the drill sites to Integra's secure sample logging and storage area at the historical DeLamar mine site on a daily basis. 

10.4.2 Florida Mountain Area Drilling 2018

In the Florida Mountain area, a total of 2,932 meters were drilled in 10 core holes (Table 10.3).  These holes were inclined at angles of -50° to -75°.  The core holes were drilled by Major Drilling of Salt Lake City, Utah using LF90 track-mounted drill.  HQ- and lesser PQ-size core was recovered with wireline methods that involved triple-tube coring.  The drill core was placed in plastic core boxes by the drilling contractor and transported from the drill sites to Integra's sample logging and storage area at the DeLamar mine.   

10.5 Drill-Hole Collar Surveys

Nearly all historical drill-hole collar locations were surveyed in local mine-grid coordinates by one or more dedicated mine surveyors.  It is Mr. Gustin's and Mr. Weiss' understanding that the mine-grid coordinate system was established in the 1970s by Earth Resources' surveyors.  Mine-grid coordinate 100,000 East and 50,000 North is located at the surveyed Section corner between Sections 32 and 33 of Township 4 South, and Sections 4 and 5 of Township 5 South, on the hillside north of the De Lamar town site.  The exact surveying procedures and type of equipment used to survey hole locations are not known to Mr. Gustin and Mr. Weiss.  Surveyed hole coordinates were hand recorded in multiple copies of collar coordinate logbooks.  The logbooks show that coordinates for 44 holes were "taken from maps".  These are from several different areas of drilling and are mainly the older holes drilled in those areas.

The x and y collar locations of Integra's 2018 and 2019 drill holes were surveyed by Integra geologists using a Bad Elf GPS.  The measured coordinates were then processed using the Natural Resources Canada website.  Based on check surveys of post-processed Bad Elf GPS coordinates, Integra found the accuracy at the project to be less than one meter, usually considerably less.  Elevations were assigned to each of the post-processed GPS x and y coordinates using the LiDAR data (see Section 9.1). 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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10.6 Down-Hole Surveys

None of the historical RC and conventional rotary holes in the DeLamar area are known to have been surveyed for down-hole deviations, while only 33 RC holes drilled in the Florida Mountain area have down-hole survey information in the database.  Conventional rotary and RC drill holes can deviate significantly, in both dip and azimuth, with increasing deviations as depths increase, particularly in the case of inclined holes.  It is therefore likely that deviations occurred in the historical drill holes at the DeLamar project. 

Integra used a REFLEX EZ-GYRO EG0270 down-hole survey tool to measure down-hole deviation in the 2018 and 2019 drill holes.  The instrument was operated by Integra personnel to survey the RC holes, and by Major Drilling and Boart Longyear drillers to survey the core holes.  Azimuth, dip, and temperature were measured at 15.24-meter (50-foot) intervals.  A few of the 2018 drill holes were also surveyed down hole with an optical and acoustic tele-viewer system, although this information was not used in the project database.

10.7 Sample Quality and Down-Hole Contamination

Down-hole contamination is always a concern with holes drilled by rotary (RC or conventional) methods.  Contamination occurs when material originating from the walls of the drill hole above the bottom of the hole is incorporated with the sample being extracted at the bit face at the bottom of the hole.  The potential for down-hole contamination increases substantially if significant water is present during drilling, whether the water is from in-the-ground sources or injected by the drillers.  Conventional rotary holes, in which the sample is returned to the surface along the space between the drill rods and the walls of the drilled hole, are particularly susceptible to down-hole contamination.

Some of the drill-hole logs reviewed by Mr. Gustin and Mr. Weiss were found to have notations as to the presence of water during drilling, as well as occasional comments concerning drilling difficulties and sample sizes.  Integra has comprehensively compiled sample quality information from the historical drill logs, and this information, which includes logged notes on intersected groundwater and/or drill-injected fluids, was used by MDA in the modeling of project resources.  For example, intervals for which down-hole contamination was noted or suspected by historical operators were evaluated in the context of surrounding holes, and when such intervals were deemed by MDA to have suspicious results, they were excluded from use in the resource estimation.  Intervals noted as having poor recovery were treated similarly.  Beyond these historical notations of possible contamination, MDA noted other historical drill intervals that likely experienced down-hole contamination, and these intervals were excluded as well.

Down-hole contamination is not a significant issue with the historical drilling at the DeLamar project due to the relatively shallow depths of these holes (median down-hole depths of 91 meters for the mostly vertical holes in the DeLamar area and 123 meters for the predominantly angled holes at Florida Mountain).  A few of the deeper Integra RC holes, which penetrated to depths significantly below the water table, do have strong evidence of down-hole contamination, and these intervals were removed from use in estimation of the resources. 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 68
     

Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 69
     

10.8 Summary Statement

There is a complete lack of down-hole deviation survey data for the historical holes in the DeLamar area database, and the Florida Mountain area database includes deviation data for 33 RC and four core holes.  While the paucity of such data is not unusual for drilling done prior to the 1990s, the lack of deviation data contributes a level of uncertainty as to the exact locations of drill samples at depth.  However, in the DeLamar area these uncertainties are mitigated to a significant extent by the vertical orientation of three-quarters of the drill holes, the generally shallow down-hole depths, and the likely open-pit nature of any potential future mining operation that is based in part on data derived from the historical holes.  Such uncertainties, while still minor, are more pronounced in the Florida Mountain area, where about 81% of the holes were inclined, and the holes were generally slightly deeper than those in the DeLamar area.

Down-hole lengths of gold and silver intercepts derived from vertical holes, which were almost exclusively historical holes, can significantly exaggerate true mineralized thicknesses in cases where steeply dipping holes intersect steeply dipping mineralization, for example in portions of the Sommercamp area.  This effect is entirely mitigated by the modeling techniques employed in the estimation of the current resources, however, which constrain all intercepts to lie within explicitly interpreted domains that appropriately respect the known and inferred geologic controls and mineralized thicknesses as evident from the drill data.

The overwhelming majority of sample intervals in the DeLamar and Florida Mountain databases have a down-hole length of 1.52 meters (five feet).  This sample length is considered appropriate for the near-surface style of mineralization that characterizes the current mineral resources at both the DeLamar and Florida Mountain areas.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 70
     

11.0 SAMPLE PREPARATION, ANALYSIS, AND SECURITY

This section summarizes all information known to Mr. Gustin and Mr. Weiss relating to sample preparation, analysis, and security, as well as quality assurance/quality control procedures and results, that pertain to the DeLamar project.  The information has either been compiled by Mr. Gustin and Mr. Weiss from historical records as cited or provided by Ms. Richardson, a longtime employee at the mine.  Ms. Richardson's contributions to this section are derived from personal correspondences with Mr. Gustin and Mr. Weiss, an internal mine memorandum by Richardson (1985), and a recent informal summary document compiled at the request of MDA.

11.1 Historical Sample Preparation and Security

Mr. Gustin and Mr. Weiss are not aware of sample-preparation procedures or sample-security protocols employed prior to the start-up of open-pit mining operations in 1977, although further detailed reviews of historical documentation may yield such information in the future.

Elkin (1993) stated that sample preparation procedures at the mine laboratory had remained relatively constant up to the date of his ore-reserve report.  Drill cuttings were split at the drill site to obtain samples weighing approximately 4.5 kilograms.  When received at the mine laboratory, the samples were dried and crushed to -10 mesh.  Splits of 150 milliliter volumes were then pulverized to pulps with 90% passing 100 mesh.  At the date of Elkin's report, one-assay-ton (30-gram) aliquots were taken from these pulps for assaying.

Mr. Gustin and Mr. Weiss are unaware of any specific sample-security protocols undertaken during the various historical drilling programs at the DeLamar project.  However, approximately 75% of the drill data in the DeLamar area database and 98% of the holes in the Florida Mountain area are derived from drilling undertaken after the open-pit mining operations had initiated.  It is very likely that the drilling and sampling completed during the mining operations was undertaken in areas of controlled access. 

11.2 Integra Sample Handling and Security

Integra's RC and core samples were transported by the drilling contractor or Integra personnel from the drill sites to Integra's logging and core cutting facility at the DeLamar mine on a daily basis.  The RC samples were allowed to dry for a few days at the drill sites prior to delivery to the secured logging and core-cutting facility.

The 2018 and 2019 core sample intervals were sawn lengthwise mainly into halves after logging and photography by Integra geologists and technicians in the logging and sample storage area.  In some cases, the core was sawed into quarters.  Sample intervals of either ½ or ¼ core were placed in numbered sample bags and the remainder of the core was returned to the core box and stored in a secure area on site.  Core sample bags were closed and placed in a secure holding area awaiting dispatch to the analytical laboratory.

All of Integra's rock, soil and drilling samples were prepared and analyzed at American Assay Laboratories ("AAL") in Sparks, Nevada.  AAL is an independent commercial laboratory accredited through February 1, 2020 to the ISO/IEC Standard 17025:2005 for testing and calibration laboratories.  The drilling samples were transported from the DeLamar mine logging and sample storage area to AAL by Integra's third-party trucking contractor. 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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The soil samples were screened to -80 mesh for multi-element analysis at AAL.  MDA has no other information on the methods and procedures used for the preparation of Integra's soil and rock samples. 

11.3 Historical Sample Analysis - Prior to Commercial Open-Pit Mining Operations

Prior to the opening of the mine in April 1977, all gold and silver analyses of drill-hole samples consisted of fire assays completed by commercial laboratories, primarily Union Assay Office of Salt Lake City, Utah ("Union Assay").  This includes the core holes drilled by Continental in 1966 and Sidney Mining in 1972, as well as pre-mining Earth Resources drilling.  Assay certificates from other commercial laboratories reviewed by Mr. Gustin and Mr. Weiss from this time period include those from Rocky Mountain Geochemical Corp. of Salt Lake City, Utah ("RMGC") and Western Laboratories in Helena, Montana.  Several holes were also found to have had samples analyzed by Earth Resources Naciamento Copper Mine Laboratory ("Earth Resources Lab"), which apparently was an internal laboratory in Cuba, New Mexico operated by Earth Resources.  Mr. Gustin and Mr. Weiss know of no other details of the sample analyses performed prior to the beginning of mining operations in April 1977.       

11.4 Sample Analysis - During Commercial Open-Pit Mining Operations

Upon initiating mining operations in April 1977, all ore-control (blast-hole) samples and most samples from exploration and development drilling were assayed at the DeLamar mine laboratory.  Until approximately 1988, these in-house analyses were completed by MIBK atomic absorption ("AA") methods (Porterfield and Moss, 1988).  Gold was solubilized from 20 grams of material using an unspecified method and then extracted from the solution using methyl isobutyl ketone (MIBK), with the gold concentration determined by AA.  Approximately 60% of the historical drill holes in the DeLamar area database and 28% of those in the Florida Mountain area holes were drilled prior to 1988.

From approximately 1988 through to the end of the open-pit mining operations, all analyses by the mine laboratory were completed using standard fire-assay methods.  Records reviewed by Mr. Gustin and Mr. Weiss reveal that some samples during this period were analyzed by Chemex Laboratories, Inc. of Reno, Nevada; RMGC; Union Assay; Legend Inc. of Reno, Nevada; Western Laboratories; and Earth Resources Lab.  Union Assay and RMGC were most commonly used.  According to Ms. Richardson, all gold and silver analyses were completed by fire assay with a gravimetric finish.  The mine lab used silver in quarts to measure gold and silver gravimetrically.

Repeat fire assays by the mine laboratory of samples prior to 1988 that were originally analyzed by AA at the mine laboratory showed that the silver AA results were consistently lower than the fire assays, sometimes significantly lower; although fire-assay checks of the AA gold results were stated to have compared well.  The mine laboratory staff believed that the understatement of the silver AA values was due to a relatively coarse grind in the sample preparation, which ultimately resulted in incomplete digestion of silver-bearing minerals prior to the AA analyses.  Sometime in 1980, the mine instituted a much more systematic check-assay program, whereby sets of silver-mineralized samples from each mine area, as defined by mine AA analyses, as well as from certain ranges of mine benches within a mine area, were selected for checking by fire assay.  The AA and fire-assay analyses were then compared by area, and a linear factor was determined that was used to mathematically increase the AA values for each area or set of benches analyzed.  Factored silver values of blast-hole samples were used by the mining operation to determine waste from ore.  Silver AA adjustment factors were also determined for each developmental drilling area until 1985, when it appears that factoring of the silver AA values ended.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 72
     

The systematic fire-assay check program was continuously monitored, with changes to the silver adjustment factors occurring frequently.  Documents reviewed by Mr. Gustin and Mr. Weiss indicate that the factor was subject to modification as frequently as once monthly for each active mining or developmental drilling area.

Ms. Richardson stated that the factoring of the blast-hole silver AA analyses worked well, as evidenced by the reported close agreement between mined grades determined by blast-hole data and head grades determined at the mill.

Because the Florida Mountain area was mined from 1994 to 1998, all gold and silver of blast holes, and most of the drill holes as well, were analyzed by fire assaying methods.  According to Ms. Richardson, a silver in quart was added prior to fire assaying due to the generally low silver concentrations at Florida Mountain relative to the DeLamar area.

In 1997, Kinross also shipped 1,691 Florida Mountain RC drill intervals to Legend Inc. in Reno, Nevada, for sample preparation and assays of gold and silver.  The samples were crushed to nominal 10 mesh, then split to obtain a 200-gram sub-sample that was pulverized to nominal 200 mesh pulp.  Gold and silver were determined on 30-gram aliquots using fire-assay fusion with a gravimetric finish.

No further details of the sample analyses completed during open-pit mining operations are known to Mr. Gustin and Mr. Weiss.

11.5 Integra Sample Analysis

The same principal analytical methods were used at AAL for both soil and surface-rock samples collected by Integra.  Gold was determined by fire-assay fusion of 60-gram aliquots with an inductively coupled plasma optical-emission spectrometry ("ICP") finish.  Silver and 44 major, minor and trace elements were determined by ICP and mass spectrometry ("ICP-MS") following a 5-acid digestion of 0.5-gram aliquots.  Rock samples that assayed greater than 10 g Au/t were re-analyzed by fire-assay fusion of 30-gram aliquots with a gravimetric finish.  Samples with greater than 100 g Ag/t were also re-analyzed fire-assay fusion of 30-gram aliquots with a gravimetric finish.  Some rock samples were analyzed for gold using a metallic-screen fire assay procedure. 

RC samples from the 2018 and 2019 drilling were dried upon arrival at AAL's Reno facility.  The dry samples were crushed to a size of -6 mesh and then roll-crushed to -10 mesh.  One-kilogram splits of the -10-mesh materials were pulverized to 95% passing -150 mesh.  Sixty-gram aliquots of the one-kilogram pulps were analyzed at AAL for gold mainly by fire-assay fusion with an ICP finish.  Silver and 44 major, minor, and trace elements were determined by ICP and ICP-MS following a 5-acid digestion of 0.5-gram aliquots.  Samples that assayed greater than 10 g Au/t were re-analyzed by fire-assay fusion of 30-gram aliquots with a gravimetric finish.  Samples with greater than 100 g Ag/t were also re-analyzed fire-assay fusion of 30-gram aliquots with a gravimetric finish.  Selected RC samples were analyzed for gold using a metallic-screen fire assay procedure. 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 73
     

Integra's 2018 and 2019 core samples were prepared and assayed at AAL for gold, silver, and multi-elements using the identical methods used for the RC samples. 

11.6 Quality Assurance / Quality Control Programs

Quality Assurance / Quality Control ("QA/QC") programs undertaken as part of the various exploration and development drilling programs of historical operators and Integra are described in this subsection.  The results of these programs are discussed in Section 12.2.1 and 12.2.2, respectively.

11.6.1 Historical Operators

Approximately 25% of the historical exploration and development holes in the DeLamar area and 4% of the holes in the Florida Mountain area were drilled prior to the initiation of open-pit mining and the use of the mine-site analytical laboratory.  In this time prior to the mining operations, quality assurance/quality control ("QA/QC) procedures were employed to monitor Union Assay's analytical results, but these QA/QC data, which exist in paper form, need to be compiled digitally and then evaluated independently.  The results of the mine laboratory were monitored by resubmitting samples to the mine laboratory for check assaying, but documentation of these check analyses is incomplete. 

According to the 1974 historical feasibility study (Earth Resources Company, 1974), the Union Assay results obtained prior to the initiation of open-pit mining were checked by sending composites of Union Assay pulps, splits of drill core, and Union Assay coarse rejects to the following laboratories: Southwestern Assayers and Chemists in Tucson, Arizona; Skyline Laboratories in Denver, Colorado; Western Laboratories in Helena, Montana; Hazen Research in Golden, Colorado; and the Earth Resources Lab in Cuba, New Mexico.  The various check samples were analyzed by either fire assay or atomic-absorption methods. 

The Elkin (1993) report, confirmed by Ms. Richardson, indicated that repeat (check) assays were routinely run at the mine laboratory.  Elkin reported that all samples with silver values in excess of 10 ounces per ton (343 g/t) or gold values greater than 0.1 opt (3.43 g/t) were resubmitted to the mine laboratory for check assaying.  The assay pulp and a separate split from every fourteenth sample were also resubmitted to the mine laboratory on a routine basis.  Elkin also stated that duplicate samples were not being sent to outside laboratories at the time of his report.  Mr. Gustin and Mr. Weiss have not found detailed documentation of these check analyses, and therefore could not independently evaluate the results.

The mine lab completed duplicate MIBK analyses and/or fire assays as a check on the MIBK results.  Samples with gold concentrations greater than 0.02 ounces per ton (0.7 g Au/t) and those within "geologically interesting zones" were fire assayed by outside commercial laboratories using 60-gram charges.  The mine lab performed checks of the outside lab results, using fire assaying techniques on 30-gram charges.  Porterfield and Moss reported that these checks verified the results of the commercial labs.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 74
     

During 1997, Kinross shipped a total of 1,134 pulps of exploration RC drill samples from Florida Mountain to Legend Inc., in Reno, Nevada, for check assaying of gold and silver.  The samples had apparently been crushed, split, and pulverized in the DeLamar mine laboratory.  At Legend, the pulps were analyzed by fire-assay fusion with gravimetric finish using 30-gram aliquots.  The results of this program have not been found in the historical documents to date.

11.6.2 Integra

Coarse blank material, certified reference materials ("CRMs"), and RC field duplicates were inserted into the drill-sample streams as part of Integra's quality assurance/ quality control procedures.  The coarse blank material consisted of basalt that was inserted approximately every 10th sample.  Commercial CRMs were inserted as pulps at a frequency of approximately every 10th sample.

Check assays of original-sample pulps, which are also part of Integra's QA/QC program, have not yet been completed.

11.7 Summary Statement

None of the analytical laboratories used during historical exploration and mining operations mentioned in this section were certified, as the formal certification process used today had not yet been implemented.  Mr. Gustin and Mr. Weiss are not familiar with Western Laboratories or the Earth Resources Company internal laboratory, and the laboratories of Hazen Research and Southwestern Assayers and Chemists were not commonly used for routine assaying by the mining industry.  However, historical documents reviewed by Mr. Gustin and Mr. Weiss indicate that Union Assay and, to a lesser extent, RMGC were the primary commercial laboratories used by all operators prior to Kinross, and these were independent commercial laboratories that were widely recognized and used by the mining industry at that time.   

Documentation of the methods and procedures used for historical sample preparation, analyses, and sample security, as well as for quality assurance/quality control procedures and results, is incomplete and in many cases not available.  It is important to note, however, that the historical sample data were used to develop and operate a successful commercial mining operation that produced more than 400,000 ounces of gold and 26 million ounces of silver.  Mr. Gustin and Mr. Weiss are therefore satisfied that the historical analytical data are adequate to support the current resources, interpretations, conclusions, and recommendations summarized in this report.

Integra's sample preparation and analyses were performed at a well-known certified laboratory, and the sample security and assurance/quality control procedures all met industry norms.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 75
     

12.0 DATA VERIFICATION

12.1 Drill-Hole Data Verification

The current drill-hole databases, which support the resource estimations of the DeLamar and Florida Mountain areas, were created by MDA using the original, DeLamar mine digital database files obtained from the current mine site for each of these two areas of the project.  This original mine-site drill-hole information was then supplemented with Integra's drilling data and results through May 1, 2019.  The historical information was subjected to various verification measures, the primary one consisting of auditing of the digital MDA databases by comparing the drill-hole collar coordinates, hole orientations, and analytical information to the original historical paper records in the possession of Integra.  Integra's drilling data in the MDA databases was audited by comparing the digital drill-hole collar coordinates, hole orientations, and analytical information to electronic files provided to MDA by Integra, and to laboratory reports of analyses.

The DeLamar area database is comprised of information derived from 1,550 historical holes and 83 Integra holes.  A total of 235 of the historical holes were randomly chosen for auditing, and the data for all Integra holes were audited to some level.  The database for the Florida Mountain area includes data from 1,075 historical drill holes, of which 169 were audited, and 10 Integra holes that were all subjected to some level of auditing. The results of this work, as well as other forms of verification, are summarized in this Section.

12.1.1 Collar and Down-Hole Survey Data

DeLamar Area.  Drill-hole collar location information was found in the historical documentation for 157 of the 235 holes selected for auditing.  The locations of two holes were found to have substantially different locations in the project database compared to the paper records; it remains unclear as to which of the two sources is more accurate.  A third hole had an 18-meter difference in elevation with the paper records, but the database elevation matches the project topography and is therefore deemed to be more accurate.  All other location discrepancies were due to the rounding of surveyed locations documented in paper records to the nearest foot (0.305 meters), or the truncation of surveyed decimals in the mine-site database.  These discrepancies, which Mr. Gustin considers immaterial, may reflect the perceived accuracy of the original location data.

There were no down-hole deviation data in the original mine-site database files.  Ms. Richardson stated that no down-hole surveys were completed on conventional rotary or RC holes, which predominate the historical holes drilled at DeLamar.  Six of the audited holes are core holes, but no deviation data were found in the paper records for these holes either.  Azimuth and dip records of the hole collars do exist, however, and no discrepancies were found between the historical paper records and the database.

The collar and hole-deviation surveys of 16 of the 73 Integra holes drilled at the DeLamar area were audited by comparing the information provided to MDA by Integra with original electronic files of the surveys; no discrepancies were found.

Florida Mountain Area.  Original x-y-z collar location data were found for 74 of the holes chosen for auditing.  Three of these were found to have significant x-y discrepancies due to an updated survey location found in the historical records that was not entered into the original mine-site database.  However, the holes as located in both the mine-site database and the updated survey information lie to the south of the modeled resources.  No discrepancies were found in the azimuth and dips of the audited holes.   


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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The drill-hole collar locations and down-hole surveys of two of the 10 holes drilled by Integra at Florida Mountain were checked in a similar manner as described above for DeLamar.  No discrepancies were found.     

12.1.2 Assay Data

Historical Assays.  Historical paper records, including copies of original assay certificates, handwritten mine-lab assay sheets, and, to a lesser extent, handwritten assay values included on geologic logs, were used to audit the database assay values from the historical holes.  Documentation was found for 154 of the 235 historical holes selected to be audited in the DeLamar area database, and this led to the checking of 9% of all sampled and assayed historical intervals in this database.  Discrepancies between the MDA database and paper records that are unrelated to the treatment of lower-than-detection-limit results, or unanalyzed intervals, were found in only nine of the 7,758 sample intervals audited, and less than half of these discrepancies are material.  As part of this verification process, analytical data from a total of 195 historical sample intervals were found that were not included in the original database; these data were added to the current project database.

Historical back-up data for the gold and silver values of 141 of the holes selected for auditing from the Florida Mountain area were found, representing 13% of the historical holes in the database and 12% of the historical sample intervals.  A sequence error was found in which gold and silver values for one sample interval were repeated in the next sample interval, and the following gold and silver values were shifted down one interval for the next eight samples.  The affected intervals are very low grade, except for a single 0.41 g Au/t value.  In addition to this sequence error, one apparent transcription error was found, whereby the mine-site database has a value of 1.81 oz Ag/ton (62 g Ag/t) versus a value of 0.813 oz Ag/ton (30 g Ag/t) on the original assay sheet.

Analytical data for 41 historical sample intervals in two holes drilled at Florida mountain were found and added to the current project database as a result of the auditing.

Integra Assays. Integra provided the MDA with a complete assay compilation for all holes drilled in 2018 and 2019 through May 1, 2019.  The sample numbers in these files were then linked by MDA to original laboratory digital assay certificates to comprehensively validate the Integra assay tables by comparing all Integra assays to the original laboratory certificates.  No discrepancies were found during this checking other than in a few cases where MDA chose to use a certain analytical method when multiple methods were available, and the method chosen by MDA differed from that in the Integra compilation.

12.1.3 Integra Data Verification

In addition to MDA checking of historical data using historical records, Integra independently verified the accuracy of the 'from', 'to', and assay values of a number sample intervals using the MDA's audited database, as described in Section 9.3.  The very few discrepancies found by Integra were then corrected in the resource databases.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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12.2 Quality Assurance/Quality Control Results

The QA/QC programs undertaken by historical operators and Integra are described in Section 11.6 and Section 11.6.2, respectively.  The results of these programs are evaluated below. 

12.2.1 Historical QA/QC Results

The check-assay results by various third-party labs of the Union Assay analyses that were completed prior to the open-pit mining operation have not be compiled in digital form from the 1974 historical feasibility study (Earth Resources Company, 1974).  An evaluation of the check assaying program summarized in the historical  feasibility documents concluded that, "Some variation does exist between the different firms, and since all are generally quite reliable, it is really impossible to determine which one is the best; fortunately, the variations are within reason and appear to fall within a normal and acceptable range of difference."

The mine laboratory completed up to three analyses on certain samples, although the nature of the material re-assayed (pulps, coarse rejects, field duplicates) is not known.  All available duplicate mine-lab analyses were compiled from the historical databases and evaluated by Mr. Gustin.  MDA reviewed the data for 1,762 drill samples for which both primary silver fire assays and second silver fire assays were performed by the mine lab, and both analyses are not below the detection limit.  These data are summarized in Figure 12.1, which is a relative-difference graph.  The graph shows the percentage difference (plotted on the y-axis) of each duplicate assay relative to its paired primary-sample analysis by the mine lab.  The relative difference ("RD") is calculated as follows:

Positive RD values indicate that the duplicate-sample analysis is greater than the primary-sample assay, while a negative value indicates the duplicate analysis is lower.  The x-axis of the graph plots the means of the silver values of the paired data (the mean of the pairs, or "MOP") in a sequential but non-linear fashion.  The red line shows the moving average of the RDs of the pairs, which provides a visual guide to trends in the data that can aid in the identification of potential bias.  A total of 108 pairs characterized by unrepresentatively high RDs have been excluded from the graph.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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Figure 12.1  Repeat Mine Lab Silver Assays Relative to Original Mine Lab Assays

Grades on this graph, and others below showing historical data, are presented in ounces-per-ton, reflecting the original analyses.

The graph suggests a high bias of low magnitude in the duplicate silver results relative to the original assays over most of the grade range of the data.  The mean of duplicate analyses is 0.613 oz Ag/ton (21.0 g Ag/t) is 4% higher than that of the original results (0.588 g Ag/t; 20.2 g Ag/t), and the average RD of the pairs is +2% (the average RD can be an approximate measure of the degree of bias, although one must be aware of the statistical effects of pairs with anomalously high RDs).  The mean of the absolute value of the RDs ("AVRD"), a measure of the average variability exhibited by the paired data, is quite high at 73%.  At a MOP cutoff of 1.0 oz Ag/ton (34.3 g Ag/t), the mean of the duplicate analyses of the 196 pairs is 5% higher than the original analyses, the average RD is +6%, and the mean AVRD drops to 16%.  It should be noted that this high bias in the duplicates relative to the original analyses is present in what is a low-grade dataset.

A similar dataset for 1,837 pairs of gold fire assays, after removal of 15 pairs that exhibit extreme variability, yields identical means (0.013 oz Au/ton; 0.45 g Au/t) for the duplicate and original analyses, an average RD of +1%, and a mean AVRD of 26%.  The grades in this dataset are much more representative of the mineralization of interest than the silver duplicate data presented above. 

As discussed in Section 11.0, various check analyses of the original mine-lab assays were performed by various commercial, or "outside", laboratories, primarily Union Assay and RMGC.  Excluding 25 outlier pairs and all pairs in which the original and check assays were less than the detection limits, a total of 696 pairs of silver fire assays were evaluated.  The nature of the material sent to the outside labs for analysis (pulps, coarse rejects, or field duplicates) is not known, nor is the identity of outside lab that performed the check analyses known, although it is believed that Union Assay completed most of them.  These unknowns hinder the analysis.  However, the mean of the outside lab duplicates (0.676 oz Ag/ton; 23.2 g Ag/t) is 7% lower than the mean of the original mine lab analysis for the complete dataset, and 8% lower at a cutoff of 1.0 oz Ag/ton (cutoff of 34.4 g Ag/t).  The relative difference graph of the data (Figure 12.2) indicates that this discrepancy is largely caused by the prevalence of high-variable pairs having low values for the outside lab relative to the mine lab.  Once again, it is also important to note the low-grade nature of the dataset.  The moving-average line is of limited use in this case due to the effects of the numerous high-variability pairs.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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Figure 12.2  Outside Lab Silver Assays Relative to Original Mine Lab Assays

Only 28 outside lab fire assays for gold were found that were also assayed by the mine lab.  The mean of the outside lab analyses is 0.005 oz Au/ton (0.17 g Au/t), while the mine lab assays averaged 0.006 oz Au/ton (0.21 g Au/t).

As discussed in Section 11.4, mine lab AA silver analyses were reported to have been systematically low due to sample digestion issues.  Figure 12.3 compares data from 4,378 pairs of mine-lab fire assays and AA analyses.  A clear systematic bias is evident, whereby the AA analyses are lower than the paired fire assays.  The mine site attributed this to incomplete digestions of silver minerals in the AA analyses, and used the fire-assay data to factor the AA results for use in the mining operations.  While the results of the relative difference graph were expected, this was not necessarily the case for the relatively constant magnitude of the low bias.  This constancy of the low bias is seen visually in the relative-difference graph, and it is evidenced statistically whereby the mean of the AA analyses is 22% lower than the fire-assay mean for all data and at the several MOP cutoffs inspected.  The average RD also is more-or-less constant at all cutoffs at approximately -30%.  No AA silver analyses were used in the estimation of the project resources.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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Figure 12.3  Mine Lab Silver AA Analyses Relative to Mine Lab Silver Fire Assays

Figure 12.4 compares mine-lab gold AA analyses with mine-lab fire assays of samples from the same intervals.

Figure 12.4  Mine Lab Gold AA Analyses Relative to Mine Lab Gold Fire Assays


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Integra Resources Corp.

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All 4,797 pairs are shown, including many pairs with very high variability (the average AVRD is 323%).  While the mean of the AA analyses for the entire dataset is 17% lower than that of the fire assays, the means are identical for all MOP less than 0.1 oz Au/ton ((3.43 g Au/t).  The mean of the AA analyses for the 111 pairs with MOP > 0.1 oz Au/ton is 45% lower than the mean of the fire assays.  This demonstrates that the difference in the means for the entire dataset is due solely to differences in the highest-grade portion of the data.  Accordingly, higher-grade gold values may be understating the actual grades of the samples in cases where mine-site AA analyses are the only available assay, which would therefore lead to their use in the resource estimations.

12.2.2 Integra QA/QC Results

CRMs.  Integra purchased commercial CRMs (certified reference materials) for use in their 2018 and ongoing 2019 drilling programs.  The CRMs were inserted into the primary sample stream and analyzed with the drill samples.  The results were used to evaluate the analytical accuracy and precision of the AAL analyses of Integra's drill samples. 

In the case of normally distributed data, 95% of the CRM analyses are expected to lie within the two standard-deviation limits of the certified value, while only 0.3% of the analyses are expected to lie outside of the three standard-deviation limits.  Note, however, that most assay datasets from metal deposits are positively skewed.  Samples outside of the three standard-deviation limits are typically considered to be failures.  As it is statistically unlikely that two consecutive analyses of CRMs would lie between the two and three standard-deviation limits, such samples are also considered to be failures unless further investigations suggest otherwise.  All potential failures should trigger investigation, possible laboratory notification of potential problems, and possible reanalysis of all samples included with the failed standard result.

Table 12.1 lists the gold and silver CRMs used by Integra.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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Table 12.1  Integra Certified Reference Materials

Reference
Material

Certified Value
(g Au/t)

2 Std Dev
(g Au/t)

Certified
Value
(g Ag/t)

2 Std Dev
(g Ag/t)

No. of AAL
Analyses

Metals with
Certified Values

Reference Material Composition

 

 

 

 

 

 

 

K-silicate, silicic and sericitic altered

 

 

 

 

 

 

 

intermediate volcanic and related

CDN-CM-38

0.942

0.072

6.0

0.4

83

Au,Ag,Cu,Mo

intrusive rocks exhibiting porphyry-style

             

Cu-Au mineralization. 800 kg of this

 

 

 

 

 

 

 

material was combined with 7 kg of a Au-

 

 

 

 

 

 

 

Cu-Mo concentrate.

 

 

 

 

 

 

 

Mineralization from the Minto Mine,

 

 

 

 

 

 

 

Yukon, Canada. Comprised of primary

 

 

 

 

 

 

 

chalcopyrite and bornite pervasively

CDN-CM-41

1.60

0.15

8

1

30

Au,Ag,Cu

disseminated and as stringers within

             

foliated granodiorite rich in secondary

 

 

 

 

 

 

 

biotite and magnetite. Au is associated

 

 

 

 

 

 

 

with bornite and is rarely observed as free

 

 

 

 

 

 

 

gold.

 

 

 

 

 

 

 

Mineralization from the low-sulfidation

 

 

 

 

 

 

 

Santa Elena property, Mexico, hosted by

CDN-GS-P6A

0.738

0.056

81

7

98

Au,Ag

silcified Tertiary andesite and rhyolite

 

 

 

 

 

 

 

flows. Gangue minerals include quartz,

 

 

 

 

 

 

 

calcite, chlorite and fluorite.

 

 

 

 

 

 

 

205 kg of volcanosedimentary

 

 

 

 

 

 

 

mineralization from Amaruq Au project,

 

 

 

 

 

 

 

Canada, blended with 595 kg of granite.

CDN-GS-1P5Q

1.329

0.100

n/a

n/a

49

Au

Gold mineralization is associated with

 

 

 

 

 

 

 

silicification and/or veins, along with

 

 

 

 

 

 

 

various quantities of pyrrhotite,

 

 

 

 

 

 

 

arsenopyrite, pyrite, and chalcopyrite.

 

 

 

 

 

 

 

sulfide; blended raw materials

KLEN 73915

1.080

0.03

n/a

n/a

141

Au

manufactured to provide a suitable

 

 

 

 

 

 

 

substrate for the analytes of interest.

 

 

 

 

 

 

 

oxide; blended raw materials

KLEN 74110

0.237

0.002

n/a

n/a

152

Au

manufactured to provide a suitable

 

 

 

 

 

 

 

substrate for the analytes of interest.

 

 

 

 

 

 

 

oxide; blended raw materials

KLEN 74383

4.93

0.10

47.6

4.8

79

Au,Ag

manufactured to provide a suitable

 

 

 

 

 

 

 

substrate for the analytes of interest.

 

 

 

 

 

 

 

oxide; blended raw materials

KLEN 74589

8.65 (non-grav) 0.36

4395

215

3

Au,Ag

manufactured to provide a suitable

 

8.49 (grav)  

 

 

 

 

substrate for the analytes of interest.

 

 

 

 

 

 

 

Pulverized basalt rock and feldspar

OxD108

0.414

0.024

n/a

n/a

34

Au

minerals blended with finely pulverized

             

and screened Au-containing minerals.

 

 

 

 

 

 

 

Oxide

 

 

 

 

 

 

 

Pulverized feldspar minerals, basalt rock

SL77

5.181

0.156

29.1

1.2

18

Au,Ag

and barren iron pyrites were blended

             

with finely pulverized and screened gold

 

 

 

 

 

 

 

and silver-containing minerals.

 

 

 

 

 

 

 

Pulverized feldspar minerals, basalt rock

SN74

8.981

0.222

51.5

1.5

103

Au,Ag

and barren iron pyrites were blended

             

with finely pulverized and screened gold

 

 

 

 

 

 

 

and silver-containing minerals.

 

 

 

 

 

 

 

Pulverized feldspar minerals, basalt rock

SP72

18.16

0.35

83

2.2

10

Au,Ag

and barren iron pyrites were blended

             

with finely pulverized and screened gold

 

 

 

 

 

 

 

and silver-containing minerals.

The AAL gold analyses of the Integra CRMs met normal performance thresholds, with a moderate number of 'failures', although gold analyses of many either tended to have a low bias or clearly showed a low bias.  


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 83
     

Figure 12.5 shows a plot of the AAL gold analyses of CRM CDN-GS-P6A, which has a certified value of 0.738 g Au/t.  While none of the analyses are 'failures', there is a clear low bias in the analyses in the time period of the central portion of the plot.  This is typical of the AAL gold analyses of most of the CRMs.

Figure 12.5  CRM CDN-GS-P6A Gold Analyses

The AAL silver analyses of the eight CRMs that have certified values returned excellent results, with generally good precision and accuracy, leading to few 'failures' and no bias, except for in the analyses of SN784, which show a high bias although without 'failures'.  Figure 12.6 shows typical results for AAL's silver analyses of the CRMs.

Figure 12.6  CRM SN74 Silver Analyses


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 84
     

Coarse Blanks.  Coarse blanks are samples of barren material that are used to detect possible contamination in the laboratory, which is most common during sample preparation stages.  In order for analyses of blanks to be meaningful, they must be sufficiently coarse to require the same crushing and pulverizing stages as the drill samples.  It is also important for a significant number of the blanks to be placed in the sample stream within, or immediately following, a set of mineralized samples, which would be the source of most contamination issues.  In practice, this is much easier to accomplish with core samples than RC. 

Blank results that are greater than five times the lower detection limit of the relevant analyses are typically considered failures that require further investigation and possible re-assaying of associated drill samples.  The detection limit of the AAL analyses was 0.003 g/t for gold and 0.020 g/t for silver, so blank samples assaying in excess of 0.015 g Au/t and 0.100 g Ag/t are considered to be failures.  Figure 12.7 shows a plot of the AAL analyses of the coarse blanks (y-axis) versus the gold values of the previous samples, which would be the likely source of any in-lab contamination.

Figure 12.7  Coarse Blank Gold Values vs. Gold Values of Previous Samples

Of the 915 AAL analyses of the blanks, 14 exceed the failure threshold, with values ranging from 0.016 to 0.099 g Au/t.  Only the highest value exceeds 0.050 g Au/t, and it is therefore the only potentially material failure.

There are 889 AAL silver analyses of the coarse blanks.  Using the reported detection limit of 0.020 g Ag/t, 93% of the AAL analyses of the blanks are technical failures.  However, the highest value of the blank analyses is 4.86 g Ag/t, which is not of a magnitude that would be material to the project.  Less than 3% of the AAL blank analyses are greater than 1 g Ag/t.  Possible explanations for the extreme failure rate include: (i) the coarse blank material was not barren with respect to silver; and (ii) the reported detection limit of the silver analyses is inaccurately low. 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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RC Field Duplicates.  RC field duplicates are secondary splits of original 1.52-meter (five-foot) samples collected at the RC rig simultaneously with the primary sample splits.  Field duplicates are used to evaluate the total variability introduced by subsampling, including at the drill rig and in the laboratory (subsampling of the coarse rejects and pulps), as well as the variability in the analyses.  Field duplicates should therefore be analyzed by the primary analytical laboratory.

Excluding pairs in which both the RC field duplicate and primary sample assays returned less-than-detection-limit results, there are a total of 1,708 pairs of gold analyses and 2,199 pairs of silver analyses.    Figure 12.8 is a relative-difference graph that compares the RC duplicate data to the primary samples.

Figure 12.8  RC Field Duplicate Gold Results Relative to Primary Sample Assays

There is no bias in the data, suggesting that there were no material issues with the drill-site and all additional downstream sample splitting.  The mean of the duplicates (0.239 g Au/t) is very close to that of the primary samples (0.242 g Au/t), and the mean of the RDs is 1%.  The variability is well within an acceptable range, especially so for an epithermal deposit, with an average AVRD of 14% that includes all data (no outliers were removed), and which decreases at higher grades (e.g., at a 0.2 g Au/t MOP cutoff, the average AVRD is 6%).

The silver field-duplicate data yield very similar results as for gold.  There is no bias evident in the relative-difference graph, the means of the silver analyses of the duplicates and original samples are identical, the average RD is -1%, and the average AVRD is 19%, decreasing to 9% at a more relevant MOP cutoff of 15 g Ag/t.  No outlier pairs were removed from these statistics.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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12.3 Additional Data Verification

In addition to the more structured verification procedures discussed above, extensive verification of the project data, primarily the historical data, was undertaken throughout the process of the resource modeling.  The careful work involved in the explicit modeling of the geology and gold and silver sectional modeling led to ad-hoc checking of the accuracy of a variety of data, such as hole locations, hole orientations, drill-hole lithologic attributes, and specific gold and/or silver assays.  For example, during Integra's cross-sectional geologic modeling, and MDA's modeling of the mineralization, historical holes were identified as having lithologic and assay information that was strongly at odds with adjacent holes.  While paper survey records supported the database locations in some cases, a judgment was made that the hole's location must be inaccurate, and these holes were excluded from use in the resource estimation.  Many individual historical assays, as well as assays in entire mineralized intervals, were questioned and then confirmed by paper records and, in some cases, corrected in the project database as a result of working closely with the data during modeling. 

The Integra drilling provided another component to the verification of the historical data.  Integra's ongoing drill program led to repeated updates to the project databases. After each batch of new drill data was added, the data were compared to the gold, silver, and geological modeling that was already completed and at that point needed updating.  In all cases where the Integra drill data extended into modeled areas at both DeLamar and Florida Mountain, the addition of the Integra data did not lead to  material changes to the style of mineralization as indicated by the historical data, nor the magnitude of the gold and silver mineralization.  However, the Integra drilling did succeed in substantially extending the limits of the mineralization defined by the historical data in several areas.  This detailed work with the Integra drill data in the context of the historical information played a critical role in the validation of the historical data.

12.4 Site Inspection

Mr. Weiss visited the project site for three days, on August 1 - 3, 2017, accompanied and assisted by Ms. Kim Richardson of Jordan Valley, Oregon.  Ms. Richardson is a geologist who joined the DeLamar mine staff in 1980 and eventually held the positions of Senior Mine Geologist, Mine Superintendent, and Mine General Manager before leaving the project in 1997.  Mr. Weiss reviewed the property geology, exposures of mineralized rocks within and near the still accessible open pits, and areas of historical exploration drilling peripheral to the open pits, in both the DeLamar and Florida Mountain areas.  Historical exploration data on file at the DeLamar mine-site office was reviewed, including geologic maps and cross sections from various areas, mainly dating to the late 1980s. 

Mr. Weiss attempted to verify historical drill-hole collar locations peripheral to the open pits.  Nearly all historical drill sites external to the pits and waste dumps have undergone reclamation since closure activities began in 2003.  Seven drill collars were found in the Sullivan Gulch and Ohio areas.  Metal tags marked with the hole numbers were found at a few of the collars, but none of these were legible.  Nevertheless, the eight collar locations were recorded with a hand-held Garmin GPS-62 receiver in UTM WGS84 projection in case that the holes can be identified in the future. 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 87
     

Mr. Gustin visited the project site on October 16 through October 18, 2018.  All principal areas of mineralization at the DeLamar and Florida Mountain areas were visited in the field, as well as exploration areas both on the project (Town Road - Henrietta) and north of the project.  Numerous altered and mineralized areas throughout the project and adjacent areas were visited, open-pit walls were examined, and mineralized intervals from multiple core holes were closely inspected.  An actively drilling and sampling RC rig was also visited, and all project procedures related to the RC and core drilling programs, data collection, and data storage were reviewed.  Where appropriate, recommendations were provided to the Integra technical team. 

12.5 Independent Verification of Mineralization

No samples were collected from the DeLamar project for verification purposes by the authors.  Gold and silver production from the historical underground mines and more recent open-pit operations is well documented in both private historical records and publicly documents.  In the opinion of Mr. Gustin and Mr. Weiss, independent sampling for the purposes of verifying the DeLamar and Florida Mountain mineralization is not needed.

12.6 Summary Statement

The authors experienced no limitations with respect to data verification activities related to the DeLamar project.  In consideration of the information summarized in this and other sections of this report, the authors have verified that the DeLamar project data are acceptable as used in this report, most significantly to support the estimation and classification of the mineral resources reported herein.  This conclusion is further supported by the fact that: (i) the historical drill data have undergone an extensive amount of validation by both the authors and Integra; and (ii) the historical drilling data formed the basis of a commercial mine that operated successfully over an extended time period.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 88
     

13.0 MINERAL PROCESSING AND METALLURGICAL TESTING

This section was prepared under the supervision of Mr. Jack S. McPartland, Senior Metallurgist with McClelland.  Mr. McPartland has reviewed the information in this section and believes it is a reasonable summary of the mineral processing, metal recoveries, and metallurgical testing for the DeLamar project as presently understood.

A review of pre-1990 metallurgical testing and processing is presented and contributes to an understanding of the mineralogy and metallurgy for the project.  As records of the sample sources for the historical work are incomplete, and in some or most cases the material represented by those samples was likely processed during earlier commercial operations, data from the historical testing are of more limited use than data from the ongoing 2018-2019 metallurgical testing.

In 2018, Integra initiated metallurgical testing with McClelland.  Samples used for this testing were selected to represent the current resources, and information from this testing campaign will form the primary basis for recovery process selection and optimization for materials from the DeLamar and Florida Mountain resource areas.  Testing has included evaluation of cyanide heap leaching, grind - agitated leaching, gravity concentration, flotation, and flotation concentrate regrind with agitated leaching.  Available testing results generally have indicated that the oxide and transitional material types from both the DeLamar and Florida Mountain deposits will be amenable to heap-leach cyanidation treatment.  Higher gold and silver recoveries are indicated for these materials by grind - agitated leach.  Unoxidized materials from the DeLamar deposit generally respond well to upgrading by gravity and flotation methods.  The majority of unoxidized material types from the DeLamar deposit are not amenable to grind - agitated leach.  Unoxidized materials from the Florida Mountain deposit are consistently amenable to grind - agitated leach and respond very well to upgrading by gravity and flotation methods.  Flotation concentrate generated from the Florida Mountain unoxidized material is readily amenable to regrind - agitated leach processing.  The most likely processing option for the DeLamar unoxidized material will include milling followed by flotation (possibly also with gravity concentration) to produce a concentrate.  Possible processing options for gold and silver recovery from the concentrate include shipment off site for toll processing; regrind followed by agitated cyanidation; or on-site oxidative treatment (such as pressure oxidation, roasting, or bio-oxidation), followed by agitated cyanidation of the oxidized concentrate. 

Nearly all of the historical metallurgical tests and processing data summarized below were originally reported in Imperial units, but in some cases metric weights were reported that were mixed with Imperial distance and concentration units.  Use of the original reported units is retained in parts of this section for historical clarity and to avoid awkwardness; the reader is referred to Section 2.2 for the appropriate conversion factors.  The term "whole-ore" is used in this section only in a metallurgical context to refer to materials tested, and it has no economic significance as there are no mineral reserves estimated for the DeLamar project.

13.1 DeLamar Area Mill Production 1977 - 1992

Useful information with respect to mineral processing of DeLamar area gold-silver mineralization by milling and subsequent cyanide leaching is derived from mill production records from the historical open-pit mining operations from 1977 through to the end of 1992.  All ore during this time period was mined from the DeLamar area and was processed by crushing, grinding, and cyanide leaching, followed by precipitation with zinc dust and in-house smelting of the precipitate to produce silver-gold doré.  Elkin (1993) estimated the doré to contain 89% silver and 2% gold.  After leaching, the solids were concentrated in a series of five thickening tanks and then pumped to a tailings impoundment.  During mine closure the tailings were partially dewatered and capped with layers of clay and soil as part of the mine reclamation program.


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Integra Resources Corp.

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The DeLamar area produced 421,300 ounces of gold and about 26 million ounces of silver from 1977 through 1992 from 11.686 million tonnes of ore processed with average mill head grades of 1.17 grams Au/t and 87.1 grams Ag/t (Elkin, 1993).  The data from Elkin (1993) presented in Table 6.1  demonstrate mill recoveries during the first 15 years of mine operation averaged 96.2% for gold and 79.5% for silver.  It should be noted that Elkin (1993) surmised that, "Based on historical records and laboratory testing, the metallurgical recovery of gold is projected to be about 94 percent and 77 percent for silver."

The authors believe that the historical mill feed processed from 1977 through 1992, as summarized above, included oxidized, partly oxidized, and unoxidized (sulfide) materials. 

13.2 Cyanide Heap Leaching 1987 - 1990

NERCO constructed a cyanide heap-leach pad, which was in operation for the last quarter of 1987 until the final quarter of 1990, using low-grade run-of-mine material dumped by truck and ripped to provide permeability.  The material size was reported to be approximately 70% at >20 centimeters (>8 inch). 

The heap-leach production and recovery from this pad are summarized in Table 13.1.  The pad and stacked material became unstable and began to collapse in mid-1990.  Quarterly production records indicate no material was placed on the heap after the second quarter of 1990.  In early 1991, the entire heap was removed and placed into the tailings facility.

Table 13.1  1987 - 1990 Heap Leach Summary

(mine records from Integra, 2017)

Heap Leach Q4 1987 - Q4 1990

 

Ag g/tonne

Au g/tonne

Total Stacked (tonnes)

2,344,037

31.78

0.41

 

Contained Ounces Stacked

2,227,571

28,836

 

Recovered Ounces

173,281.00

11,683.00

 

Heap Leach Recovery

8%

41%

 

The incomplete leaching that likely resulted from the pad failure would have adversely affected the reported heap leach recoveries.  These recoveries are not believed to be indicative of recoveries expected from heap leaching of DeLamar oxide and transitional materials.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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13.3 1970s Mineralogy from Metallurgical Studies

As reported by Perry (1971), Hazen Research Inc. ("Hazen") in Golden, Colorado undertook a detailed petrographic and mineralogical study of four sections of drill core from the DeLamar area in 1971.  The host rock was described as highly altered porphyritic rhyolite, initially altered to sericite and kaolinite and then silicified and cut by numerous quartz veinlets.  Naumannite (Ag2Se) was identified as the chief primary silver-bearing phase, accounting for 75-78% of the total silver present.  Argentite (Ag2S) was the other primary silver mineral, accounting for 15-20% of the total silver.  Minor gold was found in quartz gangue and as intergrowths in naumannite.  The core samples were reported to be at least partly oxidized to a depth of 51.8 meters.  Secondary silver minerals in the oxidized portions of core included the silver halide cerargyrite (AgCl), native silver, and argentojarosite, but these minerals together account for only a small fraction of the total silver in the samples. Approximately 65% of the naumannite and argentite was reportedly less than 62 microns in diameter; the coarser grains were typically found within quartz veinlets.  Sulfide and native metal phases identified in the heavy media concentrates included:

Pyrite:  present as disseminated grains in the altered volcanic rocks and within quartz veins where it was coarser grained and occurred as malnikovite, a fine-grained black pyrite phase initially deposited as a colloidal pyrite gel.  Minor marcasite was present as encrustations on malnikovite and as scattered crystals in quartz veinlets.  Only rarely were silver minerals directly associated with, or intergrown, with pyrite and marcasite.

Argentite: as coarse grains and tabular masses up to 2 millimeters in diameter along fractures and veinlets, and more commonly as extremely fine sized anhedral grains disseminated within quartz gangue. 

Naumannite: as fine-grained, generally anhedral grains disseminated in quartz and along fractures.  Less commonly it forms crystals and crystal aggregates on top of quartz crystals lining vugs at the center of veinlets. 

Cerargyrite: as thin coatings and sheets along fractures, and as globular or spherical grains that have replaced naumannite in open vugs.  It also rarely occurs as clear yellow to chartreuse dodecahedral crystals in quartz vugs. 

Native gold: in trace amounts as small anhedral blebs in quartz or in naumannite.  The gold blebs rarely exceed a few microns in size. 

Electrum: as pale yellow, 5 micron or smaller blebs within cerargyrite after naumannite. 

Native silver: as a secondary mineral occurring as tabular sheets and masses along fractures and veinlets; grains rarely exceed 2 millimeters in diameter.

Chalcopyrite: present in trace amounts, rarely associated with pyrite and more commonly as euhedral blebs within partly replaced naumannite. 

Traces of galena were noted, occurring as small isolated euhedral grains, and the lead selenide clausthalite (PbSe) was suspected to be present.  Very minor native selenium was identified by X-ray powder diffraction and was interpreted as a byproduct of naumannite alteration during the oxidation process.  Other oxidation products including jarosite, argentojarosite, psilomelane, geothite, and lepidocrocite were identified.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 91
     

13.4 1970s Bench-Scale Testwork

Hazen carried out initial metallurgical studies of three composites from drill core partly used in Hazen's 1971 mineralogy studies, as reported by Miyoshi et al. (1971).  This material was later described (Myoshi and Light, 1974) as being from the Sommercamp area.  The composites tested ranged in grade from 0.69 to 1.03 g Au/t and from 218.1 to 266.1 g Ag/t.  Metallurgical tests included flotation, cyanidation, and a salt roast followed by acid-brine leach.  Representative flotation and cyanidation results are shown in Table 13.2.

Table 13.2  Composite Tests at Hazen, 1971

(from Miyoshi et al., 1971 as compiled by Integra, 2017)

Process

% Extraction

 

Au

Ag

Flotation Rougher Float

44.4

84.0

Cyanidation

75.0

96.0

 

In 1974, Earth Resources commissioned Hazen to perform metallurgical studies on conventional-rotary drill cuttings from the North DeLamar zone (Miyoshi, 1974), to determine similarities and differences to the Sommercamp mineralization reported by Perry (1971).  A single composite sample, designated HRI 6233 was prepared from 41 intervals of conventional-rotary drill cuttings from eight North DeLamar drill holes.  Testing included agitated cyanidation tests (11), evaluation of a salt roast-cyanide leach procedure, de-sliming, flotation testing and thickening testing.  Test results indicated better recoveries by cyanidation than by flotation.  High cyanide consumption was noted.  Results were summarized as shown in Table 13.3.

Table 13.3  1974 Hazen Flotation and Leach, North DeLamar Composite

(from Miyoshi, 1974; compiled by Integra, 2017)

Process

% Extraction

 

Au

Ag

Flotation Rougher Float

78.9

87.2

Cyanidation

>88.8

88.4

 

In 1974, Earth Resources also commissioned Hazen to conduct further metallurgical testwork on drill core from the North DeLamar area.  Hazen conducted mineralogical studies, Bond ball mill work index, specific gravity and bulk density measurements, flotation with deslime tests and screen analysis, and cyanide-leach tests at various levels of grind, as well as filtration and thickening tests at various flocculent levels, and carbon-in-pulp and zinc-precipitation tests.  The composite tested was described as porphyritic rhyolite or quartz latite with argillic alteration, containing about 10% clay.  The Bond ball mill work index of the sample was determined to be 15.5 kW-hr/ton.  Flotation tests (four) indicated it was possible to produce a rougher concentrate of 30% of the feed weight, with a grade of 0.06 oz Au/ton and 7.6 oz Ag/ton, representing gold and silver recoveries of 73.2% an 83.3%, respectively.  A total of 13 agitated cyanidation tests were used to optimize "whole-ore" milling/cyanidation conditions.  Results indicated optimum processing conditions of a nominal 65 mesh feed size, 72 hour leach retention time and 1.0 g NaCN/L cyanide concentration.  Optimized gold and silver recoveries were approximately 95%.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 92
     

In 1978, a mineralogical study was conducted by Newmont Exploration Limited (Ahlrichs, 1978) to evaluate improved silver recoveries from Glen Silver feed to the DeLamar processing plant.  Samples of feed and plant tailings were evaluated by assay, microscopic examination, XRF, XRD and electron microprobe analysis.  The leached tailings contained approximately 0.5 oz Ag/ton.  It was observed that about 90% of the silver was in the form of naumannite (Ag2Se).  Remaining silver was present as acanthite (Ag2S).  Very little of the silver contained in the tailings was free.  Greater than 85% of the silver in the tailings occurred as fine inclusions (1 - 26µm) in quartz.  It was concluded that no significant improvement in silver recovery would be gained by finer grinding.

13.5 1980s Sullivan Gulch Testing for NERCO

A metallurgical investigation was conducted for NERCO by Hazen on a sample of Sullivan Gulch material.  Testing included mineralogical characterization, and evaluation of gravity, flotation, cyanide leaching (both whole feed gravity/flotation products) and pressure oxidation treatment of flotation concentrate.

The sample grade was 1.06 g Au/t, 72.0 g Ag/t and 2.64% sulfide sulfur.  Mineralogical examination showed that approximately 10% of the sample was sulfide mineral, with pyrite being the dominant sulfide.  Gold was present in free native electrum, as coarse as 50 to 100µm, and as coarse intergrowths in pyrite.  Silver occurred mainly as electrum and argentite, in mostly liberated forms.

The study concluded that multiple processing routes had merit for treating the Sullivan Gulch material, but that no single processing technique was effective for attaining 90% recovery of both gold and silver.  Hazen found that gold and silver extractions in excess of 90% could be achieved on the unoxidized samples from Sullivan Gulch using a combination of gravity separation, followed by additional grinding and a second stage of flotation followed by agitation cyanide-leach on the gravity tails (Rak et al., 1989).  Representative results for gravity, flotation and cyanide leaching alone, along with combinations of these processes considering both flotation concentrate atmospheric leach and leach after pressure oxidation ("POX") treatment are presented in Table 13.4.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 93
     

Table 13.4  Gravity, Flotation and Cyanide Leach Tests, Sullivan Gulch Drill Samples

(from Rak et al., 1989; compiled by Integra)

Process

Test No.

Grind Size, Mesh

Concentrate

Extraction

Tail Assay

Product

Wt %

% Au

% Ag

g Au/t

g Ag/t

Gravity Alone

T-3

95%-200

Gravity Concentrate

6.72

70.4

68.0

0.686

33.94

Flotation Alone

F-4

67%-200

Flotation Concentrate

17.77

77.1

98.1

0.446

1.71

Cyanidation

AL-7

90%-500

CN Leach

N/A

73.5

80.2

0.274

14.4

Gravity, regrind/CN
leach of gravity tails

T-3G

36%-200

Gravity Concentrate

6.72

70.4

68.0

 

 

85%-500 Tailings Regrind/Leach

93.28

20.2

23.1

0.24

8.23

 

Gravity Concentrate + Tails Leach

N/A

90.6

91.1

 

 

Gravity, float of
gravity tails, CN
leach of flot tails

T-2GF

95%-200

Gravity Concentrate

5.54

48.0

47.4

 

 

Flotation Concentrate

10.15

35.2

49.0

 

 

Tailings Leach

84.31

8.2

3.3

0.103

0.34

 

Grav. and Flot. Conc. + Flot. Tails Leach

N/A

91.4

99.7

 

 

Gravity, float of
gravity tails, CN
leach of reground
flot conc

T-4GF/
AL-10

95%-200

Gravity Concentrate

1.71

29.5

21.9

 

 

Flotation Concentrate

9.28

53.3

74.1

0.343

4.11

56%-400

Reground Flot. Conc. Regrind/CN

9.28

35.9

69.9

2.811

46.63

 

Grav. Conc. + Flot. Conc. Regrind/CN

N/A

65.4

91.8

 

 

Gravity, float of
gravity tails,
POX/CN leach of
reground flot conc

T-4GF/
AL-11

95%-200

Gravity Concentrate

1.71

29.1

21.9

 

 

Flotation Concentrate

9.28

53.3

74.1

0.343

4.11

Flot. Conc. POX/CIL (no regrind)

9.28

52.3

0.3

0.206

792

 

Grav. Conc. + Flot. Conc. POX/CIL

N/A

81.4

22.2

 

 

13.6 1980s Florida Mountain Testing for NERCO

During the 1980s NERCO conducted column-leach tests using mineralized material from Florida Mountain.  This testwork is summarized below because it may be relevant to potential heap-leach processing of mineralized material from both the Florida Mountain and DeLamar areas of the property, based on the similar host-rock types and style of mineralization.  Statter (1989) summarized metallurgical test work conducted at the DeLamar mine laboratory with Florida Mountain mineralized material in an internal NERCO report.  Column-leach and agitation-leach results were reported for Sullivan drill core, Stone Cabin core, and Clarke core.  In this case, Sullivan core refers to drill core from the Sullivan claim at Florida Mountain, not the Sullivan Gulch area.  The results of the column-leach tests, which were run for approximately 60 days with crush sizes of one-inch and 0.5-inch material, are summarized in Table 13.5.  The authors are unaware of the column diameter(s) or the oxidation state of the material tested. 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 94
     

Table 13.5  NERCO Florida Mountain Column-Leach Tests

(from Statter, 1989)

Florida Mountain Area

Crush Size

Calc. Head Grade

Reagents lb/ton

Metal Extraction %

(inches)

Ag oz/ton

Au oz/ton

NaCN

Lime

Ag

Au

Sullivan

-1

0.248

0.017

2.2

6

41.9

82.3

Sullivan

-1/2

0.227

0.018

2.2

6

53.8

82

Stone Cabin LG

-1

0.255

0.009

1.8

5.2

45.2

85.1

Stone Cabin LG

-1/2

0.317

0.01

1.9

5.2

43.1

84.5

Stone Cabin HG

-1

0.455

0.047

2.1

5.2

39.3

78.1

Stone Cabin HG

-1/2

0.42

0.043

2.3

5.3

47.6

84.3

Clark LG

-1

0.144

0.007

1.8

5.3

37.5

52

Clark LG

-1/2

0.127

0.007

2.2

5.4

53.6

83.7

Clark HG

-1

0.413

0.025

2.2

5.4

36.4

38.7

Clark HG

-1/2

0.446

0.023

2

5.3

48.9

59.3

 

Additional column-leach tests were conducted by NERCO in 1988 at the DeLamar mine laboratory with drill-core and mine-dump samples from the Stone Cabin area, and samples from a trench at the Tip Top area (Kilborn, 1988; Hampton, 1988).  The tests were run for 56 and 60 days with material crushed from 70% at minus 0.25 inches, to minus two inches, as summarized in Table 13.6.  Mr. McPartland is unaware of the column diameter(s) or the oxidation state of the material tested.

Table 13.6  Other NERCO Florida Mountain Column-Leach Tests

(from Hampton, 1988 compiled by Integra, 2017)

Area / Type

Crush Size

Caluclated Head Grade

Duration

Adjusted* Metal Extraction

Ag oz/ton

Au oz/ton

days

Ag %

Au %

Stone Cabin Dump

1"

1.761

0.108

60 days

39.7

83.1

Stone Cabin Core

-1"

0.514

0.019

60 days

31.5

92.2

Stone Cabin Core

- 1/2"

0.466

0.018

60 days

42.9

92.6

Stone Cabin Core

-1/2"

0.53

0.35

60 days

36.2

78

Tip Top Trench

-2"

0.506

0.03

56 days

41.6

92.2

Tip Top Trench

-1"

0.576

0.032

56 days

42.8

91.5

Tip Top Trench

70% -1/4"

0.636

0.03

56 days

45

95

* denotes an internal DeLamar mine assay factor was applied to silver and gold analyses.

Also, Statter (1989) reported a pilot column-leach test was performed in 1988 or 1989 using 14,850 pounds of Stone Cabin "run of dump" material.  The test was likely conducted at the DeLamar mine laboratory.  Leaching was conducted for 63 days resulting in 15.8% silver recovery and 72.2% gold recovery (Statter, 1989). 

13.7 Historical Mill Recovery Rates and Qualitative Estimates of Unoxidized-Type Ore Feed


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 95
     

In 2017, Integra compiled milled silver and gold grades and recoveries from available DeLamar mine monthly company production reports.  Records were found for 51 months from December of 1981 through September of 1998.  Using quarterly production data for royalties, Integra also compiled information on the specific open pits that provided the mill feed for the monthly mill production and recovery estimates.  With the assistance of Ms. Kim Richardson, and based on her knowledge of the specific pits that provided the mill feed through time, Integra estimated the proportions of unoxidized-type ore versus oxidized ore, that were processed by the mill for the 51 months of compiled mill recovery information.  The compiled monthly mill recoveries and estimated proportions of unoxidized-type ore are presented in Table 13.7.  This may give a qualitative indication of the variation in gold and silver recoveries with the estimated proportions of oxidized-type ore feed, although other variables may have contributed to the recoveries reported. 

It should be noted here that agitated leach (cyanidation) testing conducted by McClelland on samples from Integra's 2018 and 2019 drill samples (discussed in the following subsections) indicate that gold extractions by grind-leach from the unoxidized-type material are highly variable, and the reasons for the variability are poorly understood.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 96
     

Table 13.7  Historical Mill Recovery Rates, Open-Pit Sources, and Estimated Unoxidized Ore

(from historical records, compiled by Integra, 2017)

Year

Month

Milled
Grade Ag
Oz/ton

Milled
Grade Au
Oz/ton

Ag Recov
%

Au Recov
%

Estd %
Reduced-
type Ore

Source Pits

1981

Dec

3.27

0.02

73

82

5

SC; ND

1984

Nov

2.59

0.01

74

88

0

ND

1990

Jan

2.34

0.04

77

87

10

SC; SW

1990

Feb

2.14

0.03

75

94

10

SC; GS; SW

1990

Mar

1.86

0.03

78

92

25

GS; SC; SW

1990

Apr

1.97

0.03

79

86

15

SW; SC; GS

1990

May

2.17

0.04

80

89

25

SW; GS; SC

1990

Jun

2.38

0.04

76

92

25

SW; GS; SC

1990

Jul

2.21

0.03

77

91

25

SC; R; GS

1990

Aug

1.98

0.04

84

92

15

SW; SCR; GS

1990

Sept

1.83

0.04

72

90

15

SC; SW; GS

1990

Oct

1.85

0.04

76

86

15

SW; SCR

1990

Nov

1.89

0.06

68

86

15

SW; SCR

1993

Sept

1.93

0.03

74

92

30

GS; SW

1993

Nov

1.92

0.05

75

93

30

GS; SW

1993

Dec

2.07

0.05

74

92

20

SW; GS

1994

May

1.59

0.03

77

90

25

GS

1994

Jun

1.97

0.03

77

91

25

GS

1994

Jul

1.67

0.03

75

90

50

GS; SW; Stkp

1994

Aug

2.10

0.04

75

94

15

GS; SW; Stkp

1994

Sept

1.54

0.03

77

93

25

GS; SW; Stkp

1994

Oct

1.51

0.04

75

94

30

GS; SW

1994

Nov

2.15

0.03

74

88

40

GS; SW; SC; Stkp

1994

Dec

2.10

0.02

76

87

50

GS; Stkp; SC

1995

Jan

1.80

0.03

78

90

50

GS; Stkp

1995

Feb

1.80

0.03

75

84

50

GS; Stkp; SC

1995

Apr

1.80

0.03

71

81

60

GS; Stkp

1995

May

2.42

0.03

78

79

70

GS; Stkp; SC

1995

Jun

1.61

0.02

78

90

50

GS; Stkp; SC

1995

Jul

1.83

0.02

79

83

25

GS; SC

1995

Aug

2.59

0.02

69

79

50

GS; Stkp

1995

Sept

1.78

0.02

79

76

50

GS; Stkp; SC

1995

Dec

1.25

0.03

807

88

25

StnCab; GS; SC; Stkp

1996

Jan

1.22

0.04

67

88

25

GS; Tt; StnCab

1996

Feb

1.54

0.03

73

84

20

GS; SC; Tt; StnCab

1996

Apr

1.11

0.03

75

86

20

GS; Tt; StnCab

1996

May

0.98

0.04

79

95

10

Tt; GS; StnCab

1996

Jun

0.92

0.04

73

90

20

Tt; StnCab; GS; NW

1996

Jul

0.89

0.04

70

89

10

Tt; StnCab; SC; GS; NW

1996

Aug

1.05

0.04

73

91

10

Tt; StnCab; GS; NW; SC

1996

Sept

1.18

0.04

74

88

15

GS; Tt; NW; Stkp; StnCab

1996

Oct

1.41

0.04

70

88

40

GS; Tt; StnCab; NW; Stkp

1996

Nov

1.53

0.04

72

86

40

GS; Tt; StnCab; NW; Stkp

1997

Dec

1.30

0.03

71

91

20

Tt; StnCab; SC; GS

1998

Feb

1.12

0.03

75

93

20

Tt; StnCab; BJ; SC; GS

1998

Mar

1.29

0.04

76

94

10

StnCab; Tt; BJ; SC; GS; Stkp

1988

Apr

1.10

0.03

78

96

10

StnCab; Stkp; SC; BJ

1998

May

1.30

0.04

81

95

25

StnCab; Stkp; BJ; SC

1998

Jun

1.32

0.03

74

98

20

SC; BJ; SC; Stkp; GS

1998

Jul

0.97

0.04

82

95

5

BJ; SC

1998

Sept

1.23

0.04

78

93

5

BJ; StnCab

 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 97
     

Note: Production pit name abbreviations are SC = Sommercamp; ND = North DeLamar; SW = South Wahl; GS = Glen Silver; R = Regan; SCR = Sommercamp - Regan; Stkp = stockpile; StnCab = Stone Cabin; Tt = Tip Top; NW = North Wahl; BJ = Black Jack.

13.8 Integra 2018-2019 Metallurgical Tests

13.8.1 General

A metallurgical testing program was initiated by Integra in September 2018, with the primary objectives of evaluating and optimizing processing options for the various material types from both the DeLamar and Florida Mountain deposits.  That testing program is ongoing, with testing expected to continue beyond the end of 2019.  Results from completed testing were summarized in two update reports (McPartland, 2019a and 2019b).

Samples used for testing include a total of 153 drill-core composites and four bulk samples.  Drill-core composites were prepared from a total of 31 drill holes (23 holes from DeLamar and eight holes from Florida Mountain).  Composites were prepared considering area, oxidation, depth, lithology, alteration, grade and grade continuity.  An additional four bulk samples from the DeLamar area have been received for heap leach testing. 

The scope of testing conducted on individual samples generally depended on the oxidation classification.  All samples are subjected to a detailed series of head analyses, including fire assay, cyanide solubility analysis, carbon and sulfur speciation analysis and a multi-element ICP scan.  Metallic-screen fire assays were also conducted on most of the Florida Mountain composites.

13.8.2 DeLamar Area Testing

A summary of the 2018-2019 DeLamar metallurgical samples tested to date at McClelland is shown in Appendix B, Table DLM1.

Composites from the DeLamar deposit included 52 from the Sullivan Gulch area, 14 from the Glen Silver area, eight from the Delamar/DeLamar North area and six from the Sommercamp area.  Of those composites, six were classified as oxide, five as transitional and 86 as unoxidized.  An additional five composites were mixed (contained more than one oxidation class).  Composites were also classified and grouped according to depth, lithology, alteration and grade. 

The four bulk samples submitted for testing each weighed about three tonnes and were approximately -350mm (-14 inch) in size.  These samples were excavated from the DeLamar area in March 2019 for heap leach testing (Jordan, 2019).  Those samples included one oxide material type sample (sample 4307-B) and three transitional-material type samples (samples 4307-A, C and D).  The transitional material samples were described as either "Trans Clay" (4307-A) or "Trans Hard" (4307-C and D).  The "Trans Clay" sample was selected to represent material with an elevated clay content (determined visually).  A detailed description of the sampling procedures and locations was presented in Jordan (2019). 

Gold head assay results showed that the DeLamar core composites ranged in grade from 0.20 to 11.96 g Au/t.  Silver head grades ranged from 3 to 475 g Ag/t.  Average gold head grades for the oxide, transitional and unoxidized composites were 0.48, 0.34 and 1.08 g Au/t, respectively.  Average respective silver head grades were 21, 46 and 56 g Ag/t.  Average respective sulfide sulfur head grades were 0.13%, 0.81% and 2.39%.  Head grades of the four bulk samples ranged from 0.24 to 1.10 g Au/t and from 5 to 30 g Ag/t.  Sulfide sulfur grades were 0.02 to 0.13%.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 98
     

Cyanide soluble gold to fire assay ratio ("CN/FA") for the oxide samples generally was greater than 90%.  CN/FA ratio for the transitional samples were highly variable, and tended to decrease with sulfide sulfur head grade, as shown in Figure 13.1.  CN/FA was also highly variable for the unoxidized samples, it but was not correlated to sulfide sulfur content or to sample depth.

Figure 13.1  CN/FA vs. Sulfide Grade, DeLamar 2018-2019 Composites

13.8.2.1 DeLamar Heap Leach Testing

Bottle-roll cyanidation tests were conducted on each of 95 of the drill-core composites and the four bulk samples, at an 80% -1.7mm feed size, to evaluate potential for heap leaching.  Summary testing conditions and results from the bottle-roll tests on composites from the DeLamar, DeLamar North, Glen Silver and Sommercamp areas are shown in Appendix B, Table DLM2, and for the Sullivan Gulch composites in Appendix B, Table DLM3.

Bottle-roll tests on a very limited number of Glen Silver and Sommercamp oxide composites indicate good potential for heap leaching.  Of the five oxide composites tested from these areas (four from Glen Silver and one from Sommercamp), gold recoveries obtained in 96 hours of leaching ranged from 72.9% to 90.5% and averaged 81.6%.  Corresponding silver recoveries averaged 40.6%.  No transitional material composites were available from these areas.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 99
     

In the case of the DeLamar/DeLamar North area, results were more variable.  The bulk oxide sample (4307-B) gave a 75.0% gold recovery and 40.0% silver recovery.  Two oxide composites from DeLamar area drill hole IDM18_028 gave significantly lower gold recoveries (58.1% and 27.5%).  Head analysis showed that those respective composites contained elevated sulfide sulfur levels (0.25% and 0.70%, respectively).  Similarly, the DeLamar area transitional type bulk samples gave gold recoveries that ranged from 56.5% to 81.0%.  Transitional core composite 4307-161 gave an 83.3% gold recovery.  North DeLamar transitional composite 4307-059 gave a very low gold recovery (13.6%) but had an elevated sulfide sulfur grade (2.33%). Cyanide consumption for the 1.7mm bottle roll tests on oxide and transitional-material type samples generally was low and averaged 0.21 kg NaCN/t.  Lime demand was more variable and averaged 3.3 kg/t.

The unoxidized composites tested generally gave very low gold recoveries, indicating poor potential for heap leaching.  Those composites had an average sulfide sulfur grade of 1.82% (Appendix B, Table DLM3).

Most of the Sullivan Gulch composites that were bottle-roll tested were classified as unoxidized material type samples.  Gold recoveries from the unoxidized composites generally were poor (34.6% average), indicating poor potential for heap leaching.  This is not unexpected, considering the generally higher sulfide sulfur content of this material.  As discussed later in this chapter, ongoing metallurgical testing indicates the DeLamar unoxidized material type responds significantly better to upgrading by gravity and flotation methods.  The single transitional composite tested gave a gold recovery of 76.7%, by bottle-roll cyanidation at the -1.7mm size.

Column-leach tests were in progress on each of the four DeLamar bulk samples at 80% -50mm (2 inch) and 80%-13mm (0.5 inch) feed sizes, as of the effective date of this report.  Those tests are not yet completed, so it is not possible to calculate gold and silver recoveries.  Preliminary results were encouraging.

13.8.2.2 DeLamar Agitated Cyanide Leach Testing

Sixteen select, higher grade, unoxidized composites from DeLamar, Glen Silver and Sullivan Gulch, along with three transitional composites and one oxidized composite, were used for a bottle-roll leach test at an 80% -75µm (200 mesh) feed size, to evaluate amenability to "whole-ore" milling/cyanidation treatment.  Summary testing conditions and results from those tests are summarized in Appendix B, Table DLM 4.

Gold recoveries obtained from the oxide composite and two of the three transitional composites ranged from 61.8% to 88.9%, in 96 hours of leaching, indicating good potential for milling/cyanidation treatment.  The transitional composite evaluated from drill hole IDM18_028 gave a significantly lower gold recovery (34.3%).


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 100
     

Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

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13.8.2.3 DeLamar Gravity Concentration and Flotation Testing

A series of scoping gravity concentration tests, with bulk sulfide flotation on the gravity tailings was conducted on nine unoxidized material drill core composites from Sullivan Gulch and Glen Silver.  These tests were conducted to obtain preliminary information regarding the effectiveness of upgrading the DeLamar unoxidized material by conventional gravity concentration and flotation processing methods.  The samples tested included eight composites from Sullivan Gulch and one composite from Glen Silver.  Samples of 1.0 kg were ball milled to 80% -75µm, subjected to gravity concentration and the resulting gravity rougher tailings were subjected to bulk sulfide flotation treatment.  Summary results from those tests are shown in Appendix B, Table DLM5.

The Sullivan Gulch composites generally responded well to gravity concentration, followed by bulk sulfide flotation treatment, at an 80% -75µm feed size.  The gravity rougher concentrates contained between 2.7% and 5.6% of the "whole-ore" mass and represented average gold and silver recoveries of 34.9% and 26.4%, respectively.  The resulting gravity tailings generally responded well to bulk sulfide flotation treatment.  The combined gravity/flotation rougher concentrate produced from six of the eight Sullivan Gulch composites tested was equivalent to an average of 21% of the "whole-ore" weight and contained an average of 87% of the total gold and 89% of the total silver.  The remaining two Sullivan Gulch composites also gave high gold and silver recoveries, but the mass pull during flotation was anomalously high (about 40% of the "whole-ore" weight).  Carry-over of clay minerals to the concentrates appeared to be responsible for the higher mass pulls observed during these tests.  It is expected that through optimization of flotation conditions, response of the composites to flotation treatment will be improved.

Based on results from the preliminary tests described above, two master composites each were prepared from unoxidized Sullivan Gulch and Glen Silver materials.  Those composites were used for optimization of flotation conditions.  Flotation testing on those composites was conducted without gravity concentration.  Parameters evaluated included feed size, for all four composites, along with reagent additions and rougher concentrate regrind for the two Sullivan Gulch composites.  A total of 24 tests were conducted on the four composites.  A summary of representative test results is shown in Table Appendix B, Table DLM6.

Both Sullivan Gulch composites responded reasonably well to bulk sulfide flotation treatment, with gold and silver recoveries to the flotation rougher concentrates of approximately 90% to 95%.  Selectivity for the initial tests was lower than desired, and flotation rougher concentrate mass pulls were generally about 20% to 30%.

Optimization testing was successful in decreasing flotation mass pull to about 9% to 11%, while maintaining gold recovery (either to cleaner or rougher concentrate) at between 86% to over 90%, and silver recovery above 90%.  Optimization testing is ongoing, and it is expected that gold and silver recoveries in excess of 90% will be obtainable at a concentrate mass pull of about 10% to 13%.  Grind optimization test results indicate that a grind size of as coarse as 80% -150µm will likely be sufficient for maximizing gold and silver recoveries by flotation of the Sullivan Gulch unoxidized material.  Rougher flotation recoveries appeared to be incrementally lower at a coarser (80% -212µm) feed size.


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Testing on the Glen Silver unoxidized master composites showed that they gave lower flotation recoveries than the Sullivan Gulch material.  In general, gold and silver recoveries of about 75% were achieved with flotation rougher concentrate mass pulls of approximately 14% to 19%.  Very fine grinding (80% -45µm) was evaluated to determine if rougher flotation recoveries could be improved.  Those results indicated that finer grinding was not effective for improving recoveries.

Modified diagnostic leach tests were conducted on the flotation rougher tailings generated from the Glen Silver composites, at the -45µm feed size, to determine gold deportment of values of reporting to the flotation tailings.  Results indicate the potential for significantly improving flotation recoveries through continued optimization of flotation conditions, and they suggest the recovery of cyanide-soluble gold from the flotation tailings by leaching can be considered.  Mineralogical examination of select flotation tailings is planned to better evaluate causes for gold and silver losses to the flotation rougher tailings from the Glen Silver unoxidized material.

13.8.3 Florida Mountain Area Testing

A summary of the 2018-2019 Florida Mountain metallurgical samples tested at McClelland as of the effective date of this report is shown in Appendix B, Table FM1.

A total of 45 drill-hole composites were prepared from seven drill holes for metallurgical testing.  Samples were composited according to oxidation classification, lithology and sample grade.  The composites included two oxidized composites, 23 transitional composites and 12 unoxidized composites, prepared from 517.55 meters of drill hole samples. 

Gold head assays showed that the Florida Mountain composites ranged in grade from 0.24 to 2.23 g Au/t.  Corresponding silver head assays ranged from 1.7 to 342.8 g Ag/t.  Sulfide sulfur content of the two oxide composites was 0.01% and 0.04% sulfide sulfur, respectively.  Sulfide sulfur content of the transitional composites ranged from <0.01% to 0.36% sulfide sulfur.  Sulfide sulfur content of the unoxidized composites ranged from 0.02% to 2.17% sulfide sulfur.

Bond (ball mill) work index (grindability) tests were conducted on two select, unoxidized composites (4307-135 and 4307-142).  Results showed the material was of medium hardness, with work indices of 14.1 kW-hr/st and 14.9 kW-hr/st, respectively.

13.8.3.1 Florida Mountain Heap Leach Testing

Bottle-roll cyanidation tests were conducted on each of 37 of the 2018-2019 Florida Mountain composites, at an 80% -1.7mm feed size, to evaluate potential for heap leaching.  Summary test conditions and results from the bottle-roll tests are shown in Appendix B, Table FM2.

Bottle-roll test results indicated good potential for heap leaching of the Florida Mountain transitional type material.  Gold recoveries generally ranged from 60% to 90%, and averaged 82%, in 96 hours of leaching.  Corresponding silver recoveries averaged 46%.  Gold and silver recovery rates were moderate, and it was generally the case that gold and silver extraction were progressing at a slow rate when leaching was ended.  These results indicate that recoveries would improve with longer leaching cycles.  For the transitional material, cyanide consumption of 0.19 kg NaCN/t on average, and lime requirement of 1.2 kg/t on average, were low. 


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The unoxidized composites were not nearly as amenable to agitated cyanidation treatment, at the -1.7mm feed size.  With the exception of the unoxidized material from drill hole IFM18_001A, gold recoveries obtained in 96 hours of leaching generally were less than 55%.  Average gold and silver recoveries from the unoxidized composites averaged 48.3% and 34.3%, respectively. These results indicate poor potential for heap leaching of the Florida Mountain unoxidized materials.

Only two oxide composites were tested.  Both showed high gold recovery by agitated cyanidation at the -1.7mm feed size, indicating good potential for heap leaching.

Seven select core composites were used for column-leach tests, at an 80% -13mm (0.5 inch) feed size to evaluate heap leach amenability.  One composite was prepared from a mix of oxide and transitional material four were prepared from transitional material only, one was prepared from a mix of transitional and unoxidized material, and one composite consisted of unoxidized material.  Unoxidized material generally was not subjected to column testing because of the poor bottle-roll test recoveries from this material type.  The column-test charges were leached without agglomeration, and a small quantity of lime (0.7 - 1.8 kg/t) was added before leaching, for pH control.  Leaching conditions included solution application at a rate of 9.8 Lph/m2 at a cyanide concentration of 1.0 g NaCN/L for leach cycles ranging from 63 to 97 days.  Summary results from the column-leach tests are shown in Appendix B, Table FM3.

Column results showed a very high gold recovery of 94.7% for the mixed oxidized-transitional composite. Gold recoveries from the transitional composites ranged from 85.5% to 91.3% and averaged 88.5%.  The mixed unoxidized-transitional composite gave a significantly lower gold recovery of 65.7%, and the unoxidized material composite gave a poor gold recovery of 30.0%.  Silver recoveries for all but the unoxidized composite ranged from 26.3% to 43.3% and averaged 36.2%.  The unoxidized composite gave a lower silver recovery (10.0%).  Column-test cyanide consumptions varied with leach cycle duration, as is commonly observed with laboratory column tests.  Cyanide consumptions for the composites leached for 63 to 65 days ranged from 1.16 to 1.29 kg NaCN/t.  Cyanide consumptions for the two composites leached for 97 days ranged from 2.03 to 3.08 kg NaCN/t.  The 0.5 to 1.8 kg/t lime, added before leaching, was sufficient for maintaining leaching pH.

A fixed-wall hydraulic conductivity (load/permeability) test was conducted on a composite from five of the seven leached column residues.  The two longer-term leach tests were not included in the composite.  Results showed very high hydraulic conductivity (2.0 x 10-1 cm/s) at the 100-meter simulated heap stack height.  These results indicate the Florida Mountain transitional material will remain adequately permeable at commercial heap stack heights of up to 100 meters.

13.8.3.2 Florida Mountain Agitated Cyanide Leach Testing

Ten of the 2018-2019 Florida Mountain unoxidized composites, along with one of the transitional composites were used for a bottle-roll leach test at an 80% -75µm (200 mesh) feed size to evaluate amenability to "whole-ore" milling/cyanidation treatment.  Summary leaching conditions and results from those tests are summarized in Appendix B, Table FM 4.


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All of the unoxidized Florida Mountain composites tested were amenable to "whole-ore" milling/cyanidation treatment, at an 80% -75µm feed size.  Gold recoveries ranged from 76.8% to 96.1%, and averaged 85.7%, in 72 hours of leaching.  Corresponding silver recoveries ranged from 32.7% to 90.8% and averaged 61.5%.  Reagent consumptions were fairly low.

The single Florida Mountain transitional composite tested gave very high gold recovery of 94.4% and a silver recovery of 92.5%.  Further testing of Florida Mountain transitional material for "whole-ore" milling/cyanidation and gravity concentration/tailings cyanidation processing will be required for a trade-off study against heap leaching.

13.8.3.3 Florida Mountain Gravity Concentration and Treatment of Gravity Tailings

Considering the consistent behavior of the Florida Mountain unoxidized composites, a single master composite was prepared for comparative gravity concentration with evaluation of gravity-tailings cyanidation and gravity-tailings flotation.  The resulting flotation concentrate was also subjected to regrinding followed by intensive cyanidation testing.  The composite (designated 4307-160) was a master composite prepared from unoxidized composites 4307-135, 140, 141 and 142, which were comprised of drill core from holes IMF18_003, 004 and 010.

A single gravity-concentration test was conducted on the Florida Mountain unoxidized master composite (4307-160) to evaluate response to gravity concentration and to generate gravity tailings for cyanidation and flotation testing.  The resulting cleaner concentrate was assayed.  The cleaner tails and rougher tails were recombined and then split to obtain feeds for cyanidation and flotation testing.  The gravity cleaner was 0.04% of the feed weight, assayed 148 g Au/t and 316 g Ag/t, and was not included in the agitated cyanidation or flotation test feeds.

Agitated cyanidation tests were conducted on gravity tailings generated as described in the preceding paragraph, at five tailings regrind sizes ranging from 80% -150µm to 80% -45µm.  Bulk sulfide flotation tests were also conducted on separate splits of the same gravity tailings, at regrind sizes ranging from 80% -212µm (no regrind) to 80% -75µm, to evaluate the potential for upgrading the gravity tailings by flotation.  Summary results from the gravity/cyanidation tests are shown in Table FM5.  Summary results from the gravity/flotation tests are shown in Appendix B, Table FM6.

The gravity tailings were amenable to agitated cyanidation treatment at the regrind sizes tested.  Combined gold recovery (gravity concentration + tailings cyanidation) ranged from 80.9% and 82.2% and were not sensitive to regrind size.  Combined silver recoveries increased with decreasing regrind size, from 57.0% to 71.3%.  Reagent consumptions were low.

The gravity tailings also responded very well to bulk sulfide flotation.  The combined concentrate (gravity cleaner concentrate + flotation rougher concentrate) produced at regrind sizes of as fine as 106µm were equivalent to between 6.6% and 11.2% of the "whole-ore" mass, and contained 94.9% to 97.6% of the gold and between 87.5% and 89.8% of the silver contained in the "whole-ore".  Although mass pull to the flotation concentrate tended to increase with decreasing regrind size, recoveries did not increase.  Sulfide sulfur recovery by flotation ranged from 86.4% to 90.4%.  Gold recovery (90.1%) and sulfide sulfur recovery (76.9%) were lower at the 75µm regrind size.


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13.8.3.4 Florida Mountain Flotation Concentrate Regrind/Agitated Leach

Based on the positive results obtained from the flotation testing conducted on the Florida Mountain unoxidized material, a larger, 8-kilogram flotation test was conducted on the same gravity tailings (unoxidized master composite 4307-160), at an 80% -212µm feed size (no regrind) to generate rougher concentrate for cyanidation testing.  The purpose for this test was to determine if, by fine regrinding of the flotation concentrate, cyanidation recoveries could be improved beyond those observed during agitated cyanidation testing on the same gravity tailings.  The flotation rougher concentrate produced was used as feed for an intensive cyanidation test.  Summary test conditions (flotation concentrate leach) and summary gravity/flotation/concentrate cyanidation test results are summarized in Appendix B, Table FM7.

The flotation rougher concentrate produced from the Florida Mountain unoxidized master composite 4307-160 was readily amenable to agitated cyanidation treatment, at a 95% -37µm regrind size.  Gold and silver recoveries were 93.1% and 89.8%, respectively, from the flotation concentrate.  The combined recoveries by gravity concentration and cyanidation of the flotation concentrate were equivalent to 89.7% of the gold and 80.2% of the silver contained in the "whole-ore" feed.  Cyanidation recovery rates were moderate, and extraction of gold and silver was progressing at a slow, but significant rate when leaching was terminated after 96 hours.  Optimization of the leaching cycle or leaching conditions would likely lead to incrementally higher recoveries.  Cyanidation reagent consumptions were very low and equivalent to only 0.14 kg NaCN/t and 0.2 kg lime/t on a "whole-ore" mass basis.

Recoveries obtained by regrind and cyanidation of the flotation concentrate compare favorably to those obtained by gravity concentration with cyanidation of the gravity tailings.  Gold and silver recoveries obtained from the master composite by gravity concentration with cyanidation of the gravity tailings did not exceed 82.2% and 71.3%, respectively, at gravity tailings regrind sizes of as fine as 80% -45µm.  These results indicate apparent increases in overall gold and silver recoveries of approximately 7% and 9%, respectively, were obtained by very fine regrinding of the flotation concentrate.  As the tested samples responded very well to flotation at the 212µm grind size, it is expected that a relatively coarse primary grind size, with correspondingly lower grinding costs will be possible for the Florida Mountain unoxidized material.

13.9 Summary Statement

Available test data indicates that the oxide and transitional materials from both the DeLamar and Florida Mountain deposits behave reasonably similarly and can be processed by heap-leach cyanidation.  Because higher clay content may be encountered for some zones in the DeLamar deposit, agglomeration pretreatment may be required for those materials.  Low to moderate cyanide consumptions are indicated for heap leaching of the oxide and transitional material types.  Lime or cement demand is expected to be variable.

Improvements in silver recoveries and, to a lesser degree, in gold recoveries can likely be achieved by grinding and agitated leaching of the DeLamar and Florida Mountain oxide and transitional material types.  Once sufficient metallurgical test data are available, trade-off studies will be required to evaluate agitated leaching versus heap leaching for these materials.


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Unoxidized materials from both the DeLamar and Florida Mountain deposits appear not to be amenable to heap leaching.  Unoxidized material from the DeLamar deposit generally responds well to upgrading by gravity concentration and flotation.  The most likely processing option for this material will include milling followed by flotation (possibly also with gravity concentration) to produce a concentrate.  Possible processing options for gold and silver recovery from the concentrate include shipment off site for toll processing; regrind followed by agitated cyanidation; or on-site oxidative treatment (such as pressure oxidation, roasting, or bio-oxidation), followed by agitated cyanidation of the oxidized concentrate.  Further testing will be required for the evaluation of these processing options.

Testing has shown that the highest gold and silver recoveries were obtained from the Florida Mountain unoxidized materials by gravity concentration, followed by flotation of the gravity tails, with regrinding and agitated cyanide leaching of the flotation concentrate.  Unoxidized material testing also showed that the Florida Mountain unoxidized material is consistently amenable to "whole-ore" agitated cyanidation.  Cyanidation of a reground flotation concentrate is a more likely processing route for the Florida Mountain unoxidized material, as it gave significantly higher gold and silver recoveries compared to "whole-ore" agitated cyanidation.

Summary recovery estimates for the most likely processing methods for the DeLamar and Florida Mountain oxide and transitional material types, along with the Florida Mountain unoxidized material type are presented in Table 13.8.

Table 13.8  Preliminary Recovery Estimates by Material Type, and Processing Methods

Deposit

Type of Material

Indicated
Processing
Method

Concentrate
Processing

Preliminary Recovery Estimates1)

Au
Recovery

Ag
Recovery

 

Oxidized and

Crush (50mm), Heap

 

 

 

Florida Mountain

Transitional

Leach

N/A

80% - 90%

20% - 50%

 

 

Grind (212µm)

Regrind - Agitated

 

 

Florida Mountain

Unoxidized

Gravity/Flotation

Cyanidation

85% - 90%

65% - 80%

 

 

Crush (13mm),

 

 

 

 

Oxidized and

Agglomeration, Heap

 

 

 

DeLamar

Transitional

Leach

N/A

65% - 80%

15% - 40%

1) Estimated range of recoveries based on available preliminary metallurgical test data.

In the case of the DeLamar unoxidized material types, preliminary testing has generally shown that flotation gold and silver recoveries of approximately 90% can be achieved with mass pulls of approximately 10% to 15%.  For unoxidized material from the DeLamar Glen Silver area, flotation gold recoveries (70% - 90%) and silver recoveries (75% - 90%) have tended to be somewhat lower.  Testing to evaluate further processing of the DeLamar flotation concentrates for recovery of gold and silver is planned, but not available at the time of this report.  Available information indicates that the flotation concentrate generated from a significant portion of the DeLamar unoxidized material would likely not be amenable to direct regrind-agitated cyanidation.  Oxidative treatment (such as pressure oxidation, roasting or bio-oxidation) will probably be required to maximize gold recovery by cyanidation of those concentrates.


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Mr. McPartland has reviewed the historical metallurgical studies and concludes the information provides a useful context from which to develop additional metallurgical programs.  While the available historical information is not sufficient to allow for an assessment of the representativity of the samples tested, samples used in the 2018-2019 metallurgical program are reasonably representative considering both the stage of the project development and the magnitude of the testing completed as of the effective date of this report.  However, further testwork of samples collected from additional portions of the project will be needed as the project advances. 


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14.0 MINERAL RESOURCE ESTIMATES

14.1 Introduction

The mineral resource estimations for the DeLamar project, which includes the DeLamar and Florida Mountain deposits, were completed for public disclosure in accordance to the guidelines of NI 43-101.  The modeling and estimation of the mineral resources were completed under the supervision of Michael M. Gustin, a qualified person with respect to mineral resource estimations under NI 43-101.  Mr. Gustin is independent of Integra by the definitions and criteria set forth in NI 43-101; there is no affiliation between Mr. Gustin and Integra except that of independent consultant/client relationships.

This report presents updated gold and silver resources for the DeLamar and Florida Mountain deposits that have an effective date of May 1, 2019.  No mineral reserves have been estimated for the DeLamar project. 

The DeLamar project resources are classified in order of increasing geological and quantitative confidence into Inferred, Indicated, and Measured categories in accordance with the "CIM Definition Standards - For Mineral Resources and Mineral Reserves" (2014) and therefore NI 43-101.  CIM mineral resource definitions are given below, with CIM's explanatory text shown in italics:

Mineral Resource

Mineral Resources are sub-divided, in order of increasing geological confidence, into Inferred, Indicated and Measured categories.  An Inferred Mineral Resource has a lower level of confidence than that applied to an Indicated Mineral Resource.  An Indicated Mineral Resource has a higher level of confidence than an Inferred Mineral Resource but has a lower level of confidence than a Measured Mineral Resource.

A Mineral Resource is a concentration or occurrence of solid material of economic interest in or on the Earth's crust in such form, grade or quality and quantity that there are reasonable prospects for eventual economic extraction.  The location, quantity, grade or quality, continuity and other geological characteristics of a Mineral Resource are known, estimated or interpreted from specific geological evidence and knowledge, including sampling.

Material of economic interest refers to diamonds, natural solid inorganic material, or natural solid fossilized organic material including base and precious metals, coal, and industrial minerals.

The term Mineral Resource covers mineralization and natural material of intrinsic economic interest which has been identified and estimated through exploration and sampling and within which Mineral Reserves may subsequently be defined by the consideration and application of Modifying Factors.  The phrase 'reasonable prospects for eventual economic extraction' implies a judgment by the Qualified Person in respect of the technical and economic factors likely to influence the prospect of economic extraction.  The Qualified Person should consider and clearly state the basis for determining that the material has reasonable prospects for eventual economic extraction.  Assumptions should include estimates of cutoff grade and geological continuity at the selected cut-off, metallurgical recovery, smelter payments, commodity price or product value, mining and processing method and mining, processing and general and administrative costs.  The Qualified Person should state if the assessment is based on any direct evidence and testing.


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Interpretation of the word 'eventual' in this context may vary depending on the commodity or mineral involved.  For example, for some coal, iron, potash deposits and other bulk minerals or commodities, it may be reasonable to envisage 'eventual economic extraction' as covering time periods in excess of 50 years.  However, for many gold deposits, application of the concept would normally be restricted to perhaps 10 to 15 years, and frequently to much shorter periods of time.

Inferred Mineral Resource

An Inferred Mineral Resource is that part of a Mineral Resource for which quantity and grade or quality are estimated on the basis of limited geological evidence and sampling.  Geological evidence is sufficient to imply but not verify geological and grade or quality continuity.  An Inferred Mineral Resource has a lower level of confidence than that applying to an Indicated Mineral Resource and must not be converted to a Mineral Reserve.  It is reasonably expected that the majority of Inferred Mineral Resources could be upgraded to Indicated Mineral Resources with continued exploration.

An Inferred Mineral Resource is based on limited information and sampling gathered through appropriate sampling techniques from locations such as outcrops, trenches, pits, workings and drill holes.  Inferred Mineral Resources must not be included in the economic analysis, production schedules, or estimated mine life in publicly disclosed Pre-Feasibility or Feasibility Studies, or in the Life of Mine plans and cash flow models of developed mines.  Inferred Mineral Resources can only be used in economic studies as provided under NI 43-101.

There may be circumstances, where appropriate sampling, testing, and other measurements are sufficient to demonstrate data integrity, geological and grade/quality continuity of a Measured or Indicated Mineral Resource, however, quality assurance and quality control, or other information may not meet all industry norms for the disclosure of an Indicated or Measured Mineral Resource. Under these circumstances, it may be reasonable for the Qualified Person to report an Inferred Mineral Resource if the Qualified Person has taken steps to verify the information meets the requirements of an Inferred Mineral Resource.

Indicated Mineral Resource

An Indicated Mineral Resource is that part of a Mineral Resource for which quantity, grade or quality, densities, shape and physical characteristics are estimated with sufficient confidence to allow the application of Modifying Factors in sufficient detail to support mine planning and evaluation of the economic viability of the deposit.  Geological evidence is derived from adequately detailed and reliable exploration, sampling and testing and is sufficient to assume geological and grade or quality continuity between points of observation.  An Indicated Mineral Resource has a lower level of confidence than that applying to a Measured Mineral Resource and may only be converted to a Probable Mineral Reserve.


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Mineralization may be classified as an Indicated Mineral Resource by the Qualified Person when the nature, quality, quantity and distribution of data are such as to allow confident interpretation of the geological framework and to reasonably assume the continuity of mineralization.  The Qualified Person must recognize the importance of the Indicated Mineral Resource category to the advancement of the feasibility of the project.  An Indicated Mineral Resource estimate is of sufficient quality to support a Pre-Feasibility Study which can serve as the basis for major development decisions.

Measured Mineral Resource

A Measured Mineral Resource is that part of a Mineral Resource for which quantity, grade or quality, densities, shape, and physical characteristics are estimated with confidence sufficient to allow the application of Modifying Factors to support detailed mine planning and final evaluation of the economic viability of the deposit.  A Measured Mineral Resource has a higher level of confidence than that applying to either an Indicated Mineral Resource or an Inferred Mineral Resource. It may be converted to a Proven Mineral Reserve or to a Probable Mineral Reserve.

Mineralization or other natural material of economic interest may be classified as a Measured Mineral Resource by the Qualified Person when the nature, quality, quantity and distribution of data are such that the tonnage and grade or quality of the mineralization can be estimated to within close limits and that variation from the estimate would not significantly affect potential economic viability of the deposit. This category requires a high level of confidence in, and understanding of, the geology and controls of the mineral deposit.

Modifying Factors

Modifying Factors are considerations used to convert Mineral Resources to Mineral Reserves.  These include, but are not restricted to, mining, processing, metallurgical, infrastructure, economic, marketing, legal, environmental, social and governmental factors.

14.2 DeLamar Project Data

 


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14.2.1 Drill-Hole Data

The historical project data used mine-grid coordinates, a local grid system in Imperial units developed in the early 1970s and used throughout the life of the DeLamar open-pit mining operations.  The original down-hole drill intervals were in feet, and the gold and silver analyses were primarily reported in ounces per ton.  In 2018, Integra completed a LiDAR aerial survey of the entire DeLamar project area, obtained historical survey data in both mine-grid and real-world coordinates, and transformed the drill-hole locations into UTM Zone 11 NAD 83 coordinates with the assistance of MDA.  All project down-hole drill depths, assays, and geologic logging intervals were then converted into meters and grams-per-tonne.   

As discussed in Section 11.0, the historical exploration and development drill-hole samples were variably analyzed for gold and silver by fire assay and AA methods, and for a period of time the mine-lab silver AA values were factored to account for incomplete sample digestions.  The historical DeLamar and Florida Mountain databases that supported the open-pit mining operations included these various types of analyses, with multiple analytical types commonly completed on a single sample interval.  The databases also included "FFAU" and "FFAG" fields that were comprised of the gold and silver values, respectively, used in all mine-site purposes, including historical resource and reserve estimations.  The FFAU and FFAG values prioritized fire assays, completed by the mine site or outside laboratories, over AA analyses.  The factored AA silver values were in the FFAG field, while the original, unfactored AA silver analyses were also retained in the mine-site databases.

After auditing the historical data, MDA constructed independent resource databases for the DeLamar and Florida Mountain areas.  Gold and silver values used in the resource estimations discussed herein were prioritized as follows: fire assays by outside labs were given top priority, followed by fire assays by the on-site mine lab, with AA analyses used only where no other data were available.  No factored AA silver values reside in MDA's resource databases.  However, the unfactored historical AA silver analyses were not used in the resource estimations, as these analyses demonstrably understate silver grades (Section 12.2.1).   

As discussed in Section 10.7, drill intervals identified as having significant sample quality issues, including down-hole contamination, were excluded from use in the resource estimation.  In addition, colluvial deposits were either explicitly excluded from the gold-and silver-domain modeling described below, as was commonly the case for the DeLamar deposit, or tagged for exclusion directly in the project databases, as was the case for the Florida Mountain database, where significantly mineralized colluvium was frequently intersected in the top few meters of drill holes.

14.2.2 Topography

Integra provided MDA with project-wide elevation data from their LiDAR survey, which was used to create digital topographic surfaces for both the DeLamar and Florida Mountain deposit areas.  This current surface reflects post-mining reclamation, including re-contouring of waste dumps and the partial backfilling of many of the open pits. 


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Integra also provided MDA with original historical paper plots of final post-mining topographies of the open pits at both the Florida Mountain and DeLamar areas.  MDA used these paper plan maps to create digital 'as-mined' topographic surfaces that encompasses the areas of historical open-pit mining.  Based on other historical data, including blast-hole information, as well as the current topography derived from the LiDAR survey, Mr. Gustin believes the modeled as-mined surfaces reasonably locate the volumes mined during the historical open-pit operations. 

14.2.3 Modeling of Historical Underground Workings

Integra provided MDA with three-dimensional digital linework created by Kinross that represents historical drifts, crosscuts, and developmental workings in the DeLamar area.  This modeling by Kinross, which was based on historical records reviewed by the authors, indicates that the historical underground workings in the DeLamar area lie almost entirely inside of the historical North DeLamar and Sommercamp open pits.  However, the drifts along the mined vein structures and related developmental winzes were useful in the modeling of the unmined gold and silver resources lying below and adjacent to the pits, as they provided evidence of the strikes and dips of the mined mineralized structures. 

Underground workings at Florida Mountain, including drifts, cross cuts, winzes, shafts, and stopes, are documented by a series of original hand-drafted level plans, long sections, and cross sections in the possession of Integra that date from the late 1800s to the early 1900s.  MDA used these drawings to create three-dimensional digital models of the underground workings and stopes, although there is little information as to the widths of the stopes.  While these drawings are unlikely to include all historical underground mining that took place at Florida Mountain, there is good evidence that a high percentage of the stopes from the Black Jack - Trade Dollar workings are represented.

14.3 Geological Modeling

Integra completed hand-drawn lithological and structural interpretations on a set of paper cross sections that span the extents of the Florida Mountain and DeLamar resource areas, except for the Milestone area.  MDA digitized these cross sections and used them as the base for modeling the gold and silver mineral domains discussed in Section 14.8.1.  Lithological contacts that influenced the distributions of the gold and silver mineralization, as well as faults modeled on sections by Integra and high-angle mineralized zones modeled by MDA, were represented as three-dimensional wireframe surfaces that served as guides for the detailed modeling of the gold and silver mineralization.

14.4 Deposit Geology Pertinent to Resource Modeling

The DeLamar area mineralization is predominantly influenced by restricted high-angle zones of higher-grade mineralization and much larger bodies of shallowly dipping mineralization.  The former occurs along faults identified by Integra's geologic team and presumed faults, with or without demonstrable vertical offsets, interpreted by MDA during the resource modeling.  The broad low-angle mineralization is hosted in felsic volcanic units that lie above the lower basalt and below the banded rhyolite.  The low-angle morphology roughly mimics the attitude of these felsic units; this is likely in part due to the permeation of fluids along volcanic lithologies, but also reflects ponding of fluids along the basal contact of the banded rhyolite, which is often characterized by a clay zone.  While only minor mineralization has been drilled within the lower basalt, low-grade mineralization does occur locally within the banded rhyolite. 


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At Florida Mountain, the gold and silver mineralization drilled to date also occurs primarily within felsic volcanic units that overlie basaltic flows.  Much of the modeled mineralization remains open at depth.  The basalt and underlying Cretaceous granodiorite host most of the high-grade veins that were the focus of the historical underground mining at Florida Mountain.  At the elevations drilled to date, the Florida Mountain mineralization occurs along multiple, broad, north- to northwest-striking zones with steep dips in either direction.  From west to east, these zones are centered on the historical Ontario, Tip Top, Arcuate, Alpine, Stone Cabin, and Trade Dollar-Black Jack mining and exploration areas.  In detail, each of these mineralized zones are comprised of complex networks of thin, interweaving mineralization that forms what can be considered large-scale stockwork zones.  Taken as a whole, these zones formed bulk-mineable bodies.  There are some indications that the zones may be pinching down with depth, and perhaps will coalesce into discreet structures, although this cannot be demonstrated without further drilling. 

MDA reviewed the distribution of the silver mineralization intersected in drilling carefully, especially in the silver-rich DeLamar area, in an effort to discern the presence (or absence) of potential supergene-enriched zones, which would be important to the resource modeling.  Only a few limited areas were found that might be suggestive of supergene enrichment, but the evidence was not conclusive.  Several historical reports state that secondary enrichment of silver probably occurred on a limited scale, although the evidence cited is restricted to the presence of cerargyrite.

14.5 Water Table

The 1974 historical feasibility study, which focused on the Sommercamp and North DeLamar areas, stated that surface oxidation generally does not extend deeper than about 55 meters from the surface, except along fault zones (Earth Resources Company, 1974).  The water table was stated in the 1974 study to lie at an elevation of approximately 1,845 meters, considerably deeper than the level of oxidation.  These statements presumably applied only to the two deposit areas that were the subject of the feasibility study.  A later mine document reported a water table depth of 1,810 meters at the north end of the Sommercamp - Regan zone, which at the time included what was referred to as South Wahl (Pancoast, 1990).  Ms. Richardson indicated to Mr. Gustin and Mr. Weiss that the water table lies near the bottoms of the North DeLamar and South Wahl pits, at elevations of about 1,820 and 1905 meters, respectively.  The authors have not reviewed substantive information on groundwater in the Florida Mountain area, but it is believed to be below the depth of most of the historical drill holes.

No modeling of the water table has been undertaken at the DeLamar project.

14.6 Oxidation Modeling

Due to the importance of oxidation state on metallurgical processes, Integra undertook comprehensive logging of oxidation using historical RC / rotary chipboards present at the project site.  MDA then used the Integra oxidation logs to create wireframe solids of oxidized and unoxidized zones, which were used to code the DeLamar and Florida Mountain block models.  Model blocks lying between those coded as oxidized and unoxidized were coded as transitional.


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Metallurgical results from testing of samples from the three oxidation zones modeled at the DeLamar project were critical in the selection of potential processing options for each of the two deposits, which in turn played a role in the determination of the resource cutoff grades applied by oxidation zone (discussed further below).   

14.7 Density Modeling

A number of references to density values were reviewed in the available historical records, including some density studies with limited numbers of actual density determinations listed.  These datasets are generally only partially documented, with many lacking a description of the determination methods.  While the methodologies used for the density determinations are often unclear, the records indicate determinations were done by a variety of methods, including water displacement, water immersion, volume/weight, and nuclear methods. 

MDA compiled the data from two of the more completely documented historical specific gravity ("SG") studies of samples from the DeLamar area.  The 13 measurements yield an average SG of 2.31.  Historical DeLamar and Florida Mountain resource and reserve estimations undertaken during the open-pit operations most commonly used a global tonnage factor (mineralized and unmineralized rock) of 13.5 ft3/ton, which equates to an SG of 2.37.  The historical open-pit operation used a wet density of 13.5 ft3/ton throughout the life of the mine to determine mill-feed tonnages and waste.  Based on various measurements, the mine assumed 7.5% moisture in the mined materials at DeLamar and 6% at Florida Mountain.  These values equate to global (dry) SGs of 2.21 for DeLamar and 2.24 for Florida Mountain.  A total of 12 historical SG determinations from Florida Mountain drill core compiled by Mr. Gustin average 2.41.

Integra routinely measured the SG of selected samples of its drill core using the water immersion method.  Table 14.1 summarizes Integra's SG results for samples of core from holes drilled at the DeLamar deposit that are included in the current resource database.  The results are compiled by oxidation state and whether the samples are within the gold and/or silver mineral domains that constrain the resource estimations (mineralized samples) or lie outside of the domains       

Table 14.1 Integra Specific Gravity Determinations from DeLamar Deposit Drill Core

Oxidation

Au-Ag Domain

Mean

Median 

StdDev

CV

Min

Max

Count

oxidized

outside

2.14

2.18

0.2

0.09

1.59

2.52

39

oxidized

inside

2.19

2.22

0.18

0.08

1.78

2.45

11

transitional

outside

2.24

2.25

0.25

0.11

1.73

2.63

25

transitional

inside

2.37

2.42

0.5

0.21

1.74

3.18

6

unoxidized

outside

2.34

2.32

0.26

0.11

1.69

3.18

266

unoxidized

inside

2.43

2.46

0.27

0.11

1.63

3.23

73

The data show a trend of increasing SG values from oxidized to transitional to unoxidized zones, which was expected.  An examination of the raw data also indicates a tendency for SG to increase as metal grades increase, which may be due to lowering clay contents and increasing quartz as grades increase.


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A summary of Integra's Florida Mountain SG data is shown in Table 14.2.

Table 14.2 Integra Specific Gravity Determinations from Florida Mountain Deposit Drill Core

Oxidation

Au-Ag Domain

Mean 

Median

StdDev

CV

Min

Max

Count

oxidized

outside

-

-

-

-

-

-

-

oxidized

inside

-

-

-

-

-

-

-

transitional

outside

2.44

2.46

0.16

0.07

2.10

2.66

10

transitional

inside

2.46

2.46

0.1

0.04

2.25

2.7

20

unoxidized

outside

2.54

2.56

0.13

0.05

1.95

2.88

57

unoxidized

inside

2.48

2.44

0.15

0.06

2.31

2.78

11

In consideration of the entirety of this information, SGs of 2.20, 2.30, and 2.45 were assigned to all DeLamar mineralized and unmineralized materials within the oxidized, transitional, and unoxidized zones, respectively.  Values of 2.25, 2.35, and 2.50 were assigned to Florida Mountain.  These values are based primarily on the Integra SG determinations and the long-term usage of the mining operations, which predominantly mined oxidized and, to a lesser extent, transitional materials.

Specific gravity values of 1.72 and 1.76 were assigned to backfill and dump materials at the DeLamar and Florida Mountain deposits, respectively.

14.8 DeLamar Area Gold and Silver Modeling

14.8.1 Mineral Domains

A mineral domain encompasses a volume of rock that ideally is characterized by a single, natural grade population of a metal that occurs within a specific geologic environment.  In order to define the mineral domains at DeLamar, the natural gold and silver populations were first identified on population-distribution graphs that plot the gold-grade and silver-grade distributions of all project drill-hole assays.  This analysis led to the identification of low-, medium-, and high-grade populations for both gold and silver.  Ideally, each of these populations can then be correlated with specific geologic characteristics that are captured in the project database, which can be used in conjunction with the grade populations to interpret the bounds of each of the gold and silver mineral domains.  The approximate grade ranges of the low-grade (domain 100), medium-grade (domain 200), and higher-grade (domain 300) domains are listed in Table 14.3.

Table 14.3 Approximate Grade Ranges of DeLamar Area Gold and Silver Domains

Domain

g Au/t

g Ag/t

100

~0.15 to ~1

~5 to ~30

200

~1 to ~6

~30 to ~200

300

> ~6

> ~200

The DeLamar gold and silver mineral domains were modeled by interpreting silver, followed by gold, polygons on a set of vertical, 30-meter spaced, northwest-looking (Az. 320°) cross sections that span the presently drilled extents of the deposit.  The mineral domains were interpreted using the gold and silver drill-hole assay data, associated drill-hole lithologic codes, documented descriptions of the mineralization, the historical underground workings, and Integra's geological cross sections. 


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The mineral-domain modeling for the current resource estimation was aided to a significant extent by the lithologic, structural, and mineralization cross sections completed by Integra.  The Integra cross sections, coupled with the closely spaced drilling throughout the resource area, guided the MDA modeling of the gold and silver mineral domains and provided a much higher level of confidence than could be obtained in the prior resource estimation. 

The low-grade gold and silver domains generally encompass relatively extensive and flat-lying to gently southwest-dipping bodies lying within the various felsic volcanic units that lie between the banded rhyolite, with its basal clay zone, and the lower basalt.  The morphology of this low-grade mineralization suggests that the dominant movement of mineralizing fluids was strongly influenced by the orientations of the host volcanic units. 

Relatively restricted, steeply dipping zones of mineralization in the mid-grade and higher-grade domains (domains 200 and 300, respectively) occur within the low-grade mineralization.  Zones of mid-grade frequently branch out from these high-angle occurrences into the low-grade mineralization, and some of these occurrences include significant volumes of shallowly dipping mid-grade mineralization. 

In areas where all volcanic units from the lower basalt to the flow-banded rhyolite are preserved, the high-angle mineralization is often truncated at the basal contact of the flow-banded rhyolite.  The domain 200 and 300 mineralization then extends laterally along or close to this contract, appearing to have ponded below it.  The portions of the DeLamar deposit in which the high-grade domain occurs, both in the high-angle zones and, most importantly, the lower-angle zones below the flow-banded rhyolite, were preferentially mined during the historical open-pit operations.  Therefore, few of such shallow occurrences of the low-angle high-grade zones remain.  The most important example of significant mining in areas where the contact zone had been eroded is at the Sommercamp pit, where all but a few erosional remnants of the contact mineralization were present prior to mining.  In this case, the high grades and frequency of the high-angle mineralization were sufficient to warrant its extraction.

The lower contact of the banded rhyolite, as well as the faults that are evidenced by its displacements, were modeled by Integra.  This contact and the faults were used extensively in the mineral-domain modeling.  Steeply dipping high-grade zones not associated with faults recognized by Integra were typically modeled by MDA as having steep southwesterly dips, which is consistent with historical underground stopes in the Sommercamp and North DeLamar areas.

The main DeLamar area mineralization, which includes the entire area of historical mining, extends continuously over a northwest strike extent of about three kilometers, a maximum northeast-southwest width of 1.2 kilometers, and an elevation range of 570 meters.  The Milestone portion of the DeLamar mineralization, which lies about three-quarters of a kilometer northwest of the northwesternmost extents of the main DeLamar area, adds an additional 640 meters of strike to the resource modeling. 


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Cross-sections showing examples of the gold and silver mineral domains for the Sullivan Gulch, Sommercamp - North DeLamar - Regan, and Glen Silver areas of the resources are shown in Figure 14.1 through Figure 14.6.


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Figure 14.1  Cross Section 1230 NW Showing Sullivan Gulch Gold Domains


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Figure 14.2  Cross Section 1230 NW Showing Sullivan Gulch Silver Domains


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Figure 14.3  Cross Section 2010 NW Showing Sommercamp and N. DeLamar Gold Domains


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Figure 14.4  Cross Section 2010 NW Showing Sommercamp and N. DeLamar Silver Domains


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Figure 14.5  Cross Section 2790 NW Showing Gold Domains at Glen Silver


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Figure 14.6  Cross Section 2790 NW Showing Silver Domains at Glen Silver


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The final cross-sectional gold and silver mineral-domain polygons were projected three-dimensionally to the drill data in each sectional window, and these three-dimensional polygons were then sliced horizontally at six-meter elevation intervals that match the mid-block elevations of the resource block model.  The slices were used in the southern portion of the deposit, including the Sommercamp, North DeLamar, and Sullivan Gulch areas, to create a new set of horizontal mineral-domain polygons for both gold and silver on level plans at six-meter spacings.  Level plans were used in this portion of the DeLamar deposit due to the predominance of steeply dipping mineralization, especially in medium- and high-grade domains.

For the North and South Wahl, Glen Silver, and Milestone areas, where relatively shallowly dipping mineralization predominates, the three-dimensional cross-sectional gold and silver domain polygons were sliced vertically at six-meter intervals, and these slices were used to interpret the domains on long sections.

Wireframe surfaces of faults, high-angle mineralized structures, and important lithologic contacts that focus or terminate mineralization were used to assist in the rectification of the mineral domains on long sections and level plans.  The completed level-plan and long-section mineral-domain polygons serve to rectify the gold and silver domains to the drill-hole data at the scale of the block model.

14.8.2 Assay Coding, Capping, and Compositing

Drill-hole gold and silver assays were coded to the gold and silver mineral domains, respectively, using their respective cross-sectional polygons.  Assay caps were determined by the inspection of population distribution plots of the coded assays grouped by domain to identify high-grade outliers that might be appropriate for capping.  The plots were also evaluated for the possible presence of multiple grade populations within any of the domains.  Descriptive statistics of the coded assays by domain and visual reviews of the spatial relationships of the possible outliers, and their potential impacts during grade interpolation, were also considered in the definition of the assay caps (shown in Table 14.4).

Each model block was coded to the volume percentage of each of the three modeled domains for both gold and silver, as discussed below.  Volumes of blocks that were not entirely coded to the lower- and higher-grade mineral domains for either or both metals were assigned to domain "0" and were estimated using assays lying outside of the modeled domains (uncoded assays).  The uncoded assays used in this dilutionary estimate were also coded, as shown in Table 14.4.

Table 14.4 DeLamar Area Gold and Silver Assay Caps by Domain

Domain

g Au/t

No. of Samples Capped

(% of samples)

g Ag/t

No. of Samples Capped

(% of samples)

0

2

47  (<1%)

160

17  (<1%)

100

3

32  (<1%)

125

19  (<1%)

200

6

20  (<1%)

200

41 (<1%)

300

40

5  (1.5%)

1,325

27  (1.3%)

Descriptive statistics of the capped and uncapped coded assays are provided in Table 14.5 and Table 14.6 for gold and silver, respectively.


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Table 14.5 Descriptive Statistics of DeLamar Area Coded Gold Assays

Domain

Assays

Count

Mean
(g Au/t)

Median
(g Au/t)

Std. Dev.

CV

Min.
(g Au/t)

Max.
(g Au/t)

0

Au

48,118

0.10

0.07

0.78

8.02

0.00

102.86

Au Cap

48,118

0.09

0.07

0.13

1.46

0.00

2.00

100

Au

38,401

0.37

0.34

0.26

0.69

0.00

9.70

Au Cap

38,401

0.37

0.34

0.24

0.64

0.00

3.00

200

Au

5,033

1.73

1.37

1.60

0.93

0.00

61.03

Au Cap

5,033

1.69

1.37

1.09

0.64

0.00

6.00

300

Au

327

13.72

8.95

23.82

1.74

0.17

368.64

Au Cap

327

11.93

8.95

7.95

0.67

0.17

40.00

100+200+300

Au

43,761

0.63

0.34

2.45

3.91

0.00

368.64

Au Cap

43,761

0.61

0.34

1.34

2.19

0.00

40.00

Table 14.6 Descriptive Statistics of DeLamar Area Coded Silver Assays

Domain

Assays

Count

Mean
(g Ag/t)

Median
(g Ag/t)

Std. Dev.

CV

Min.
(g Ag/t)

Max.
(g Ag/t)

0

Ag

28,179

3.3

1.0

12.9

3.9

0.0

791.0

Ag Cap

28,179

3.2

1.0

9.5

3.0

0.0

160.0

100

Ag

26,524

13.0

10.3

10.2

0.8

0.0

186.3

Ag Cap

26,524

13.0

10.3

10.1

0.8

0.0

125.0

200

Ag

12,703

56.3

47.0

35.2

0.6

0.0

732.9

Ag Cap

12,703

56.0

47.0

33.1

0.6

0.0

200.0

300

Ag

298

297.7

205.2

371.7

1.3

6.9

7877.3

Ag Cap

280

280.3

205.2

227.0

0.8

6.9

1325.0

100+200+300

Ag

41,178

39.5

17.1

102.1

2.6

0.0

7877.3

Ag Cap

41,178

38.6

17.1

77.3

2.0

0.0

1325.0

In addition to the assay caps, restrictions on the search distances of higher-grade composites of some of the domains were applied during grade interpolations (discussed further below).  Search restrictions can minimize the number of samples subjected to capping while properly respecting the highest-grade populations within each domain.

The capped assays were composited at 3.05 meter (10-foot) down-hole intervals respecting the mineral domains.  Descriptive statistics of DeLamar composites are shown in Table 14.7 and Table 14.8 for gold and silver, respectively.


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Table 14.7 Descriptive Statistics of DeLamar Area Gold Composites

Domain

Count

Mean
(g Au/t)

Median
(g Au/t)

Std. Dev.

CV

Min.
(g Au/t)

Max.
(g Au/t)

0

28,628

0.09

0.07

0.12

1.32

0.00

2.00

100

21,393

0.37

0.34

0.20

0.54

0.00

3.00

200

3,264

1.69

1.39

0.94

0.55

0.00

6.00

300

244

11.93

9.43

7.16

0.60

0.21

40.00

100+200+300

24,901

0.61

0.34

1.28

2.11

0.00

40.00

Table 14.8 Descriptive Statistics of DeLamar Area Silver Composites

Domain

Count

Mean
(g Ag/t)

Median
(g Ag/t)

Std. Dev.

CV

Min.
(g Ag/t)

Max.
(g Ag/t)

0

16,562

3.2

1.4

8.9

2.8

0.0

160.0

100

15,121

13.0

11.1

8.6

0.7

0.0

125.0

200

7,562

56.0

48.5

28.4

0.5

0.0

200.0

300

1,264

280.3

215.0

202.5

0.7

6.9

1325.0

100+200+300

23,947

38.6

17.1

73.4

1.9

0.0

1325.0

14.8.3 Block Model Coding 

The 6.0-meter-spaced level-plan and long-sectional mineral-domain polygons were used to code 6.0 x 6.0 x 6.0-meter blocks with a model bearing of 320°.  The percentage volume of each mineral domain, as coded directly by the level plans and long sections, is stored within each block, as is the volume percentage of the block that lies outside of the modeled gold and silver domains (the "partial percentages"). 

Two topographic surfaces were used to code the block model: the as-mined and present-day surfaces discussed in Section 14.2.2.  These digital topographic surfaces were used to define: (1) the percentage of each block that lies within bedrock; and (2) the percentage of each block that is comprised of backfill/dump material, which lies above the as-mined surface and below the present-day surface. 

The modeled mineralization has a variety of orientations, which led to the construction of wireframe solids to encompass model areas with unique orientations of the mineralization.  These solids were then used to code the model blocks to these specific areas.

The oxidation wire-frame solids described in Section 14.6 were used to code model blocks as oxidized, transitional, or unoxidized.

Finally, the specific-gravity values discussed in Section 14.7 were assigned to model blocks coded as bedrock, according to oxidation state, or backfill/dump.  The specific-gravity values were then used in combination with the percentages of rock and fill for each block to determine the tonnage of the block.


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14.8.4 Grade Interpolation

Parameters used in the estimation of gold and silver grades are summarized in Table 14.9.

Table 14.9  Summary of DeLamar Area Grade Estimation Parameters

Estimation Pass - Au + Ag Domain

Search Ranges (meters)

Composite Constraints

Major

Semi-Major

Minor

Min

Max

Max/Hole

Pass 1 + 2 - Doman 100

60

60

30

2

12

4

Pass 1 + 2 - Doman 200 + 300 + 0

60

60

30

2

20

4

Pass 3 - Doman 0 + 100 + 200 +300

170

170

170

1

20

4

 

Restrictions on Search Ranges

Domain

Search Restriction Threshold

Search Restriction Distance

Estimation Pass

Au 100

>0.7 g Au/t

40 meters

1, 2

Au 300

>20 g Au/t

35 meters

1, 2, 3

Ag 300

>400 g Ag/t

35 meters

1, 2, 3

Au 0

>0.5 g Au/t

6 meters

1, 2, 3

Ag 0

>34.29 g Ag/t

9 meters

1, 2, 3

Statistical analyses of coded assays and composites, including coefficients of variation and population-distribution plots, indicate multiple populations of significance were captured in the higher-grade domain (domain 300) of both gold and silver, as well as in the low-grade gold domain (domain 100).  The recognition of multiple populations within these domains, coupled with the results of initial grade-estimation runs in which higher-grade samples in these multi-population domains were affecting inappropriate volumes in the block model, led to the use of restrictions on the search distances for the higher-grade populations of these domains.  The search restrictions place limits on the maximum distances from a block that the high-grade population composites can be 'found' and used in the interpolation of gold and/or silver grade into that block.  The final search-restriction parameters were derived from the results of multiple interpolation iterations that employed various search-restriction distances.  Severe search restrictions were used for the gold and silver estimated in domain 0, as domain 0 composites of any substantive grade involve assay data that are not modeled within the mineral domains due to the lack of continuity and/or lack of geologic context.

The maximum number of composites allowed for the estimation of the low-grade domains of gold and silver in Pass 1 and Pass 2 are less than that of the other grade interpolations.  This was done to decrease the smearing of outlier high grades that are present in this otherwise low-grade domain. 

The gold and silver mineralization commonly exhibits multiple orientations in any single area.  Most commonly, high-angle structurally controlled mineralization is often associated with related lower-angle mineralization that spreads outwards from the high-angle mineralization.  A total of 13 unique dips were identified in the DeLamar resource area.  Two dominant strike directions were also identified, a 320° strike direction for most of the model area and 340° for a portion of the Sommercamp area.  The 13 dips and two strikes combine to create 18 unique orientation areas distributed throughout the model area, and each area was coded into the block model using wireframed 'estimation area' solids.


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Over half of the estimation areas are characterized a single strike but two dips, which are accounted for in grade interpolation by the use of two initial passes, Pass 1 and Pass 2.  The dip that reflects higher-grade mineralization was given priority, which most commonly meant the steeper of the two dips.  The priority dip was then used in the search ellipse for the Pass 1 grade interpolation, while Pass 2 estimation used the secondary dip in its search ellipse.  All other estimation parameters, such as search distance and sample criteria, remained identical in the two passes (Table 14.9).  The third and final estimation pass was an isotropic pass, i.e. without an orientation bias, and was used to interpolate grades that were not estimated in the first two passes.

Gold and silver grades were interpolated using inverse-distance to the third power, ordinary-krige, and nearest-neighbor methods.  The mineral resources reported herein were estimated by the inverse-distance interpolation, as this method led to results that were judged to more closely approximate the drill data than those obtained by ordinary kriging.  The nearest-neighbor estimation was completed as a check on the inverse-distance and krige interpolations. 

Grade interpolation was completed using length-weighted 6.05-meter (10-foot) composites.  The estimation passes were performed independently for each of the mineral domains, so that only composites coded to a particular domain were used to estimate grade into blocks coded to that domain.  Blocks coded as having partial percentages of more than one gold and/or silver domain had multiple grade interpolations, one for each domain coded into the block for each metal.  The estimated grades for each gold and silver domain coded to a block were coupled with the partial percentages of the those mineral domains in the block, as well as any outside, dilutionary, domain 0 grades and volumes, to enable the calculation of a single volume-averaged gold and a single volume-averaged silver grade for each block.  These single final resource block grades, and their associated resource tonnages, are therefore fully block-diluted using this methodology.

14.8.1 Model Checks

Polygonal sectional volumes derived from the sectional mineral-domain polygons were compared to the polygonal volumes derived from the level plans and long sections, as well as to the coded block-model volumes derived from the partial percentages, to assure close agreement.  All block-model coding, including topographies, oxidation, estimation areas, and mineral domains, was checked visually on the computer.  A polygonal grade and tonnage estimate using the cross-sectional domain polygons and the nearest-neighbor and ordinary-krige estimates were all used as a check on the inverse-distance estimation results.  No unexpected relationships between the check estimates and the inverse-distance estimate were identified.  Various grade-distribution plots of assays and composites and nearest-neighbor, ordinary-krige, and inverse-distance block grades were evaluated as a check on both the global and local estimation results.  Finally, the inverse-distance grades were visually compared to the drill-hole assay data to assure that reasonable results were obtained.

14.9 Florida Mountain Area Gold and Silver Modeling


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The modeling procedures employed for the Florida Mountain resources were very similar to those used in the estimation of the DeLamar area resources (Section 14.8).  The following summary of the Florida Mountain resource modeling is therefore discussed in less detail.

14.9.1 Mineral Domains

The approximate grade ranges of the low-grade (domain 100), mid-grade (domain 200), and high-grade (domain 300) grade populations and mineral domains at Florida Mountain are listed in Table 14.10. 

Table 14.10 Approximate Grade Ranges of Florida Mountain Area Gold and Silver Domains

Domain

g Au/t

g Ag/t

100

~0.2 to ~0.6

~7 to ~30

200

~0.6 to ~2.0

~30 to ~90

300

> ~2.0

> ~90

The Florida Mountain gold and silver mineralization was modeled by interpreting gold and silver mineral-domain polygons separately on a set of vertical, 30-meter spaced, north-looking, east-west cross sections that span the presently known extents of the deposit.  The mineral domains were interpreted using the gold and silver drill-hole assay data, associated drill-hole lithologic codes, documented descriptions of the mineralization, Integra's cross-sectional lithologic modeling, and wireframe solids of the historical underground workings created by MDA.

At Florida Mountain, a series of thin, anastomosing, and steeply dipping veins and breccias characterize the mineralization.  These thin veins and breccias are enveloped by mineralization modeled in the low-grade gold and silver domains, and they are cored by mid- and high-grade domain mineralization.  The continuity of any single vein or vein-breccia decreases as the grade increases, although zones characterized by these intermittent higher-grade domains do have strike continuity, and many of these zones correlate with historically named vein zones.

The mineral-domain modeling relied largely on grade values, because the project digital database lacks information on quartz veins, alteration (especially silicification), etc.  In addition, the domain modeling was also guided by Integra's lithologic sections, historical descriptions of mineralized orientations, and the wireframes of the underground workings constructed by MDA.  The high density of drill data at Florida Mountain ultimately overcame any limits imparted by the somewhat limited geologic inputs.

The Florida Mountain mineralization was modeled over a northly strike extent of almost 1,400 meters, an east-west width of up to 675 meters, and an elevation range of 465 meters.  Cross-sections showing examples of the gold and silver mineral domains for the Florida Mountain deposit are shown in Figure 14.7 through Figure 14.10.

The final cross-sectional gold and silver mineral-domain polygons were projected three-dimensionally to the drill data in each sectional window, and these three-dimensional polygons were then sliced horizontally at 6.0-meter elevation intervals that match the mid-block elevations of the resource block model.  The horizontal slices were used to create a new set of mineral-domain polygons for both gold and silver on level plans at 6.0-meter spacings that serve to rectify the domain interpretations to the drill-hole data at the scale of the block model.  Level plans were used due to the steeply dipping mineralization that characterizes the entire Florida Mountain deposit.


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14.9.2 Assay Coding, Capping, and Compositing

Drill-hole gold and silver assays were coded to the Florida Mountain gold and silver mineral domains using their respective cross-sectional polygons, and assay caps were defined for each domain, as well as for drill-hole assays that lie outside of the modeled domains (assigned to domain "0") as summarized in Table 14.11.  In addition to the assay caps, restrictions on the search distances of higher-grade portions of the domains were applied during grade interpolations (discussed further below). 

Table 14.11 Florida Mountain Area Gold and Silver Assay Caps by Domain

Domain

g Au/t

Number Capped

(% of samples)

g Ag/t

Number Capped

(% of samples)

0

5.0

51  (<1%)

100

14  (<1%)

100

3.0

11  (<1%)

65

35  (<1%)

200

9.0

1  (<1%)

n/a

n/a

300

75.0

12  (<1%)

900

19  (3%)



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Figure 14.7  Florida Mountain Cross Section 2830 N Showing Geology and Gold Domains


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Figure 14.8  Florida Mountain Cross Section 2830 N Showing Geology and Silver Domains

 


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Figure 14.9  Florida Mountain Cross Section 3280 N Showing Geology and Gold Domains


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Figure 14.10  Florida Mountain Cross Section 3280 N Showing Geology and Silver Domains


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Descriptive statistics of the uncapped and capped coded assays are provided in Table 14.12 and Table 14.13 for gold and silver, respectively.

Table 14.12 Descriptive Statistics of Florida Mountain Area Coded Gold Assays

Domain

Assays

Count

Mean
(g Au/t)

Median
(g Au/t)

Std. Dev.

CV

Min.
(g Au/t)

Max.
(g Au/t)

0

Au

46,846

0.13

0.07

0.53

4.15

0.00

43.99

Au Cap

46,846

0.12

0.07

0.27

2.25

0.00

5.00

100

Au

20,957

0.34

0.27

0.23

0.68

0.00

3.63

Au Cap

20,957

0.34

0.27

0.23

0.67

0.00

3.00

200

Au

7,174

1.06

0.86

0.78

0.74

0.00

12.31

Au Cap

7,174

1.06

0.86

0.78

0.74

0.00

9.00

300

Au

1,373

7.87

3.70

16.60

2.11

0.03

286.22

Au Cap

1,373

7.24

3.70

10.68

1.48

0.03

75.00

100+200+300

Au

29,504

0.87

0.38

3.96

4.57

0.00

286.22

Au Cap

29,504

0.84

0.38

2.77

3.31

0.00

75.00

Table 14.13 Descriptive Statistics of Florida Mountain Area Coded Silver Assays

Domain

Assays

Count

Mean
(g Ag/t)

Median
(g Ag/t)

Std. Dev.

CV

Min.
(g Ag/t)

Max.
(g Ag/t)

0

Ag

36,842

2.5

1.7

11.6

4.7

0.0

1865.6
Ag Cap 36,842 2.4 1.7 3.9 1.6 0.0 100.0

100

Ag

15,844

12.0

9.9

7.7

0.6

0.0

90.9

Ag Cap

15,844

11.9

9.9

7.5

0.6

0.0

65.0

200

Ag

3,193

46.1

39.8

25.4

0.6

0.7

293.5

Ag Cap

3,193

46.1

39.8

25.4

0.6

0.7

293.5

300

Ag

245

245.2

143.3

391.7

1.6

7.9

6057.3

Ag Cap

219

219.3

143.3

188.3

0.9

7.9

900.0

100+200+300

Ag

19,676

25.1

12.0

83.0

3.3

0.0

6057.3

Ag Cap

19,676

24.3

12.0

52.2

2.2

0.0

900.0

The capped assays were composited at 3.05 meter (10-foot) down-hole intervals respecting the mineral domains.  Descriptive statistics of Florida Mountain composites are shown in Table 14.14 and Table 14.15 for gold and silver, respectively.


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Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
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Table 14.15 Descriptive Statistics of Florida Mountain Area Silver Composites

Domain

Count

Mean
(g Ag/t)

Median
(g Ag/t)

Std. Dev.

CV

Min.
(g Ag/t)

Max.
(g Ag/t)

0 20,165 2.4 1.7 3.4 1.4 0.0 100.0

100

9,473

11.9

10.3

6.5

0.5

0.0

65.0

200

2,141

46.1

40.8

21.7

0.5

1.2

243.1

300

449

219.3

148.1

173.8

0.8

7.9

900.0

100+200+300

12,063

24.3

12.2

50.2

2.1

0.0

900.0

14.9.3 Block Model Coding

The 6.0-meter-spaced level-plan mineral-domain polygons were used to code a block model with a model bearing of 000° and blocks that are 6-meter cubes.  The percentage volume of each mineral domain, as well as the percentage of any volume in the block lying outside the mineral domains, is stored within each block (the "partial percentages"). 

Two topographic surfaces were used to code the block model: the as-mined and present-day surfaces discussed in Section 14.2.2.  These digital topographic surfaces were used to define: (1) the percentage of each block that lies within bedrock; and (2) the percentage of each block that is comprised of backfill/dump material, which lies above the as-mined surface and below the present-day surface. 

The modeled mineralization has a variety of orientations, which led to the construction of wireframe solids to encompass model areas with unique orientations.  These solids were then used to code the model blocks to these specific areas.

The oxidation solids described in Section 14.6 were used to code model blocks as oxidized, transitional, or unoxidized.  The partial percentages of the wireframe solids of the historical underground workings (see Section 14.2.3) were also coded into model blocks. 

Finally, the specific-gravity values discussed in Section 14.7 were assigned to model blocks coded as bedrock, according to its oxidation state, or backfill/dump.  The specific-gravity values were then used in combination with the percentages of rock and fill for each block to determine the tonnage of the block.

14.9.4 Grade Interpolation

Multiple populations of significance were captured in the high-grade domain (domain 300) of both gold and silver, which led to the incorporation of search restrictions.  Search restrictions were also used for the dilutionary material outside the mineral domains (domain 0) for both the gold and silver grade estimations.

The maximum number of composites allowed for the estimation of the low-grade domains of gold and silver in Passes 1 and 2 are less than that for all other grade interpolations.  This was done to decrease the smearing of outlier grades that occur in this otherwise low-grade domain.


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Gold and silver grades were interpolated using inverse distance to the third power, ordinary krige, and nearest-neighbor methods.  The mineral resources reported herein were estimated by the inverse-distance interpolation, as this method led to results that were judged to more closely approximate the drill data than those obtained by ordinary kriging.  The nearest-neighbor estimation was completed as a check on the inverse-distance and krige interpolations.  The parameters applied to the gold-grade estimations at Florida Mountain are summarized in Table 14.16.

Table 14.16  Summary of Florida Mountain Area Estimation Parameters

Estimation Pass - Au + Ag Domain

Search Ranges (meters)

Composite Constraints

Major

Semi-Major

Minor

Min

Max

Max/Hole

Pass 1 - Domain 100

60

60

30

2

12

4

Pass 1 - Domain 200 + 300 + 0

60

60

30

2

20

4

Pass 2 - Domain 100

120

120

120

1

20

4

Pass 2 - Domain 200 + 300 + 0

120

120

120

1

12

4

 

Restrictions on Search Ranges

Domain

Search Restriction Threshold

Search Restriction Distance

Estimation Pass

Au 300

>10 g Au/t

20 meters

1, 2

Ag 300

>400 g Ag/t

35 meters

1, 2

Au 0

>1.0 g Au/t

6 meters

1, 2

Ag 0

>6.0 g Ag/t

6 meters

1, 2

                 

Estimation areas were defined for the purposes of the Florida Mountain grade interpolations, each characterized by a single dominant orientation of mineralization.  Three strike directions (332°, 342°, and 000°) and four dips (-75° to vertical, dipping to the east and west) combine to define the five estimation areas that were constructed.

Grade interpolation was completed in two passes using length-weighted 6.05-meter (10-foot) composites.  The second pass was used to estimate grades into blocks that were not estimated in Pass 1.  The estimation passes were performed independently for each of the mineral domains, so that only composites coded to a particular domain were used to estimate grade into blocks coded by that domain.  The estimated grades for each gold and silver domain coded to a block were coupled with the partial percentages of the those mineral domains in the block, as well as the outside, dilutionary, domain 0 grades and volumes, to enable the calculation of a single volume-averaged gold and a single volume-averaged silver grade for each block.  These single resource block grades, and their associated resource tonnages, are therefore fully block-diluted using this methodology.


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14.9.5 Model Checks

The model and estimation were checked in a similar manner as described for the DeLamar deposit estimation in Section 14.8.1.

14.10 DeLamar Project Mineral Resources

The DeLamar project mineral resources have been estimated to reflect potential open-pit extraction and potential processing by a combination of heap leaching, milling / agitated leaching, and flotation.  To meet the requirement of the in-pit resources having reasonable prospects for eventual economic extraction, pit optimizations for the DeLamar and Florida Mountain areas were run using the parameters summarized in Table 14.17 and Table 14.18. 

Table 14.17  Pit Optimization Cost Parameters

Parameter

DeLamar

Florida Mtn

Unit

Mining Cost

$              2.20

$            2.20

$/tonne mined

Heap Leach Processing

$              3.35

$            3.35

$/tonne processed

Mill / Agitated Leach Processing

$           

$          10.00

$/tonne processed

Flotation Processing

$            12.00

$         

$/tonne processed

G&A Cost

$            4,000

$          4,000

$1,000s/year

Tonnes per Day

            15,000

          15,000

tonnes-per-day processed

Tonnes per Year

              5,250

            5,250

1000s tonnes-per-year processed

G&A per Ton

$              0.76

$            0.76

$/tonne processed

Au Price

$            1,400

$          1,400

$/oz produced

Ag Price

$                 18

$               18

$/oz produced

Au Refining Cost

$              5.00

$            5.00

$/oz produced

Ag Refining Cost

$              0.50

$            0.50

$/oz produced

NSR Royalty

1%

0%

 

Table 14.18  Pit-Optimization Metal Recoveries by Deposit and Oxidation State

 

DeLamar

Florida Mountain

Process Type

Oxidized

Transitional

Unoxidized

Oxidized

Transitional

Unoxidized

Leach Recovery - Au

85%

80%

-

85%

80%

-

Leach Recovery - Ag

45%

40%

-

45%

40%

-

Mill/Leach Recovery - Au

-

-

-

-

-

86%

Mill/Leach Recovery - Ag

-

-

-

-

-

63%

Flotation Recovery - Au

-

-

90%

-

-

-

Flotation Recovery - Ag

-

-

95%

-

-

-

The pit shells created using these optimization parameters were applied to constrain the project resources for both the DeLamar and Florida Mountain deposits.  The in-pit resources were further constrained by the application of a gold-equivalent cutoff of 0.2 g/t to all model blocks lying within the optimized pits that are coded as oxidized or transitional, and 0.3 g/t for blocks coded as unoxidized.  Gold equivalency, as used in the application of the resource cutoffs, is a function of metal prices (Table 14.17) and metal recoveries, with the recoveries varying by deposit and oxidation state (Table 14.18).  These variables, combined with the estimated gold and silver grades, are used to calculate a gold-equivalent grade for every block in the model.  An example of the calculation of the gold-equivalent grade ("g AuEq/t") of an unoxidized block from the Florida Mountain resource model is as follows:


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g AuEq/t = g Au/t + (g Ag/t ÷ ((1,400 x 0.86) ÷ (18 x 0.63))

where "g Au/t" and "g Ag/t" are the estimated gold and silver block-diluted grades, respectively, and the other parameters are the metal prices and recoveries.  The gold-equivalent grades are calculated for each block for the sole purpose of applying the 0.2 and 0.3 g AuEq/t cutoffs to the appropriate materials within the optimized pits, as described above.

The total DeLamar project resources, which include the resources for both the DeLamar and Florida Mountain areas, are summarized in Table 14.19.  Mineral resources that are not mineral reserves do not have demonstrated economic viability.

Table 14.19 Total DeLamar Project Gold and Silver Resources

Classification

Tonnes

g Au/t

oz Au

g Ag/t

oz Ag

Measured

16,078,000

0.52

270,000

34.3

17,726,000

Indicated

156,287,000

0.42

2,106,000

19.7

98,788,000

Measured + Indicated

172,365,000

0.43

2,376,000

21.0

116,514,000

Inferred

28,266,000

0.38

343,000

13.5

12,240,000

1. Mineral Resources are comprised of all oxidized and transitional model blocks at a 0.2 g AuEq/t cutoff and all unoxidized blocks at a 0.3 g AuEq/t that lie within optimized pits

2. The effective date of the resource estimations is May 1, 2019

3. Mineral resources that are not mineral reserves do not have demonstrated economic viability

4. Rounding may result in apparent discrepancies between tonnes, grade, and contained metal content

The gold and silver resources for the DeLamar and Florida Mountain areas are reported separately in Table 14.20 and Table 14.21, respectively.


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Table 14.20 DeLamar Area Gold and Silver Resources

Classification

Tonnes

g Au/t

oz Au

g Ag/t

oz Ag

Measured

14,481,000

0.51

238,000

36.4

16,942,000

Indicated

105,140,000

0.39

1,334,000

23.4

79,241,000

Measured + Indicated

119,621,000

0.41

1,572,000

25.1

96,183,000

Inferred

21,291,000

0.39

266,000

15.2

10,418,000

1. Mineral Resources are comprised of all oxidized and transitional model blocks at a 0.2 g AuEq/t cutoff and all unoxidized blocks at a 0.3 g AuEq/t that lie within optimized pits

2. The effective date of the DeLamar deposit DeLamar area resources is May 1, 2019

3. Mineral resources that are not mineral reserves do not have demonstrated economic viability

4. Rounding may result in apparent discrepancies between tonnes, grade, and contained metal content

Table 14.21 Florida Mountain Area Gold and Silver Resources

Classification

Tonnes

g Au/t

oz Au

g Ag/t

oz Ag

Measured

1,597,000

0.63

32,000

15.3

784,000

Indicated

51,147,000

0.47

772,000

11.9

19,547,000

Measured + Indicated

52,744,000

0.47

804,000

12.0

20,331,000

Inferred

6,975,000

0.34

77,000

8.1

1,822,000

1. Mineral Resources are comprised of all oxidized and transitional model blocks at a 0.2 g AuEq/t cutoff and all unoxidized blocks at a 0.3 g AuEq/t that lie within optimized pits

2. The effective date of the Florida Mountain deposit DeLamar area resources is May 1, 2019

3. Mineral resources that are not mineral reserves do not have demonstrated economic viability

4. Rounding may result in apparent discrepancies between tonnes, grade, and contained metal content

The current mineral resources include only the modeled mineralization that was not mined during the historical underground and open-pit operations.  The tonnage of the historical stopes and related workings modeled by MDA were also removed from the Florida Mountain resources.

The DeLamar project resources are classified according to the criteria presented in Table 14.22.  The Measured and Indicated constraints for the DeLamar area are less restrictive than those for Florida Mountain due to the greater quantity of Integra drilling at DeLamar.


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Table 14.22  Resource Classification Parameters

Area

Classification

Criteria

DeLamar

Measured

Minimum of 2 holes contributing composites, including 1 drilled by Integra, that lie within an average distance of 20 meters from the block

Indicated

Minimum of 2 holes contributing composites that lie within an average distance of 20 meters from the block

Inferred

all other blocks that qualify as resources

Florida
Mountain

Measured

Minimum of 2 holes contributing composites, including 1 drilled by Integra, that lie within an average distance of 25 meters from the block

Indicated

Minimum of 2 holes contributing composites that lie within an average distance of 40 meters from the block

Inferred all other blocks that meet the resource constraints

Although the authors are not expert with respect to any of the following aspects of the project, the authors are not aware of any unusual environmental, permitting, legal, title, taxation, socio-economic, marketing, political, or other relevant factors not discussed in this report that could materially affect the potential development of the DeLamar project mineral resources as of the effective date of the report.

Figure 14.11 through Figure 14.16 are representative cross-sections showing the estimated block-model gold and silver grades, respectively, for the DeLamar area.  These figures correspond to the mineral domain cross-sections presented in Figure 14.1 through Figure 14.6.

Figure 14.17 through Figure 14.20 are representative cross-sections showing the estimated block-model gold and silver grades, respectively, for the Florida Mountain area.  These figures correspond to the Florida Mountain mineral domain cross-sections presented in Figure 14.7 through Figure 14.10.


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Figure 14.11  Cross Section 1230 NW Showing Sullivan Gulch Block-Model Gold Grades


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Figure 14.12  Cross Section 1230 NW Showing Sullivan Gulch Block-Model Silver Grades


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Figure 14.13  Cross Section 2010 NW Showing Sommercamp - Regan and N. DeLamar Block-Model Gold Grades


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Figure 14.14  Cross Section 2010 NW Showing Sommercamp - Regan and N. DeLamar Block-Model Silver Grades

 


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Figure 14.15  Cross Section 2790 NW Showing Glen Silver Block-Model Gold Grades


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Figure 14.16  Cross Section 2790 NW Showing Glen Silver Block-Model Silver Grades


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Figure 14.17  Cross Section 2830 N Showing Florida Mountain Block-Model Gold Grades


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Figure 14.18  Cross Section 2830 N Showing Florida Mountain Block-Model Silver Grades


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Figure 14.19  Cross Section 3280 N Showing Florida Mountain Block-Model Gold Grades


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Figure 14.20  Cross Section 3280 N Showing Florida Mountain Block-Model Silver Grades


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The modeled mineralization within the optimized pits that constrain the current DeLamar and Florida Mountain resources is tabulated at various cutoffs in Table 14.23 and Table 14.24, with the current resources highlighted in bold.  This information is presented to provide grade-distribution data for each of the two resource areas, which allows for detailed assessments of the current project resources.  The materials tabulated meet the requirement of reasonable prospects of economic extraction, as they are part of the current resources that are constrained as lying within optimized pits and at the resource cutoffs.  As such, the mineralized materials tabulated at cutoffs higher than the resource cutoffs represent subsets of the current resources.     

Table 14.23 Total Project In-Pit Oxidized and Transitional Mineralization at Various Cutoffs

 

Measured + Indicated

Cutoff
g AuEq/t

Tonnes

g Au/t

oz Au

g Ag/t

oz Ag

0.20 92,548,000 0.38 1,141,000 16.5 49,239,000

0.30

65,085,000

0.46

972,000

20.0

41,820,000

0.40

43,360,000

0.56

782,000

24.2

33,771,000

0.50

28,389,000

0.67

616,000

29.0

26,477,000

0.75

11,030,000

1.02

361,000

40.5

14,377,000

1.00

5,609,000

1.37

247,000

49.2

8,866,000

 

 

Inferred

Cutoff
g AuEq/t

Tonnes

g Au/t

oz Au

g Ag/t

oz Ag

0.20 10,896,000 0.31 109,000 9.5 3,321,000

0.30

6,242,000

0.39

79,000

11.8

2,368,000

0.40

3,518,000

0.47

54,000

14.0

1,580,000

0.50

1,838,000

0.57

33,000

17.0

1,004,000

0.75

381,000

0.90

11,000

22.7

278,000

1.00

116,000

1.31

5,000

27.8

104,000

Note: Rounding may cause apparent discrepancies.


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Table 14.24 Total Project In-Pit Unoxidized Mineralization at Various Cutoffs

 

Measured + Indicated

Cutoff
g AuEq/t

Tonnes

g Au/t

oz Au

g Ag/t

oz Ag

0.30 79,817,000 0.48 1,235,000 26.2 67,275,000

0.40

64,411,000

0.54

1,117,000

30.4

62,930,000

0.50

49,509,000

0.61

970,000

36.3

57,780,000

0.75

26,351,000

0.79

672,000

54.6

46,230,000

1.00

16,761,000

0.96

518,000

70.2

37,822,000

 

 

Inferred

Cutoff
g AuEq/t

Tonnes

g Au/t

oz Au

g Ag/t

oz Ag

 

 

 

 

 

 

0.30

17,369,000

0.42

235,000

16.0

8,920,000

0.40

13,363,000

0.47

203,000

18.4

7,907,000

0.50

9,356,000

0.54

162,000

22.2

6,691,000

0.75

3,205,000

0.78

81,000

36.7

3,779,000

1.00

1,532,000

1.04

51,000

52

2,561,000

Note: Rounding may cause apparent discrepancies.

14.11 Discussion of Resource Modeling

The current DeLamar project resources include resources in the Indicated, and to a much lesser extent, Measured categories, which is a significant change from the prior resources, which were classified entirely as Inferred (Gustin and Weiss, 2017; 2018).  This upgrade in classification is the consequence of: (i) the resource modeling is fully rectified three-dimensionally, as opposed to the two-dimensional cross-sectional modeling of the prior resource estimations; (ii) the geological support for the resource modeling has increased dramatically, due to Integra's detailed geologic interpretations that served as the base for the gold and silver domain modeling and the addition of detailed oxidation modeling; (iii) the historical data used in the resource modeling has undergone additional verification, most importantly by the consistency of Integra's drilling results with those of the historical drilling programs; (iv) the factored silver analyses are now fully understood and identified, and no mine-site silver analyses using the suspect analytical method are used in the resource estimations; (v) the as-mined pit topographies at the DeLamar area have been revised using high-confidence historical records; (vi) the historical specific-gravity measurements are better understood and are now complimented with measurements from Integra core samples; and (vi) the newly modeled oxidation states are coupled with Integra's new metallurgical testing results allow for the application of unique resource cutoffs linked to potential processing methods for the various oxidation states.

As discussed in Section 12.2.1, the mine-lab AA analyses systematically understated silver values, which the lab attributed to incomplete sample digestion.  Mr. Gustin has verified this understatement, but in lieu of factoring these values as the historical mine operators did, the silver AA values were not used in the current resource grade interpolations.  In order to evaluate the impact of this exclusion of silver data, which amount to 20% of all silver assays inside of the modeled silver domains at both DeLamar and Florida Mountain, a check estimation was run that included the AA silver analyses.  At DeLamar, the inclusion of the understated silver values led to a loss of 4.7 million ounces of silver (4% of the reported resource ounces) and 10,000 ounces of gold (0.5% of reported resource gold ounces).  At Florida Mountain, the check estimate resulted in losses of 850,000 ounces of silver (4% or resource ounces) and 2,500 ounces of gold (0.4% of resource ounces).  The pit optimizations used for the reported resources were applied to these check estimates; if new pit optimizations were to be run based on the models estimated with the AA silver data, slightly higher losses may result.


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Consistent with assaying methods of the time period, some of the historical gold assays in the project databases were completed at a detection limit of 0.17 g Au/t (0.005 oz/ton).  Current economic parameters for heap leach processing can approach this detection-limit grade.  Possible effects on the resource block model imparted by the lowered precision of some of the gold assay data at grades at and near the detection limit, if any, are difficult to predict due to the averaging that occurs during grade interpolation.  In any event, any future potential mining operation that incorporates very low cutoff grades should be aware of the presence of these assays in the historical database. 

Some of the samples assayed by methods with a 0.17 g Au/t detection limit also have lowered precision at higher grades.  These samples have gold results variably reported at a precisions of 0.17 or 0.34 g Au/t (0.005 or 0.010 oz/ton).  A total of 14% of the un-composited assays coded to the gold mineral domains in the DeLamar area, and 1.5% of those at Florida Mountain, are characterized by these lower-precision analyses. 

The drilling that forms the basis of the resource estimations was done primarily by RC and conventional-rotary methods, which can be affected by down-hole contamination.  As discussed elsewhere in this report, a small quantity of drill intervals in which down-hole contamination was suspected were excluded from use in the estimations.  However, potentially contaminated samples may remain in the data used in the estimations, although Mr. Gustin believes the possible inclusion of such samples is not a material issue at DeLamar or Florida Mountain.   

While historical underground stopes in the DeLamar area have effectively been mined out by the historical open-pit mining operations, and although some of the related developmental crosscuts, etc. remain within the resources, their volumes are insignificant.  At Florida Mountain, stopes and related workings along the Black Jack - Trade Dollar vein system, which were modeled by MDA, extend upwards into the Florida Mountain resource model.  A total of 204,000 tonnes of material that would have otherwise been part of the Florida Mountain reported resources were removed from the resources.

Within the limits of the current Florida Mountain deposit resources, it is not uncommon for drill holes to have markedly different grades than adjacent holes.  Mr. Gustin believes this variability is properly represented in the resource model due to both the explicit modeling of the gold and silver domains and the tight drill spacing at Florida Mountain, where a high percentage of resource blocks lie within an average distance of 20 meters from a minimum of two drill holes. 


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15.0 MINERAL RESERVE ESTIMATES

There are currently no estimated mineral reserves for the DeLamar project.


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16.0 ADJACENT PROPERTIES

The authors have nothing to report regarding adjacent properties.


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23.0 OTHER RELEVANT DATA AND INFORMATION

The authors are not aware of any other relevant data and information needed to make this report not misleading.


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24.0 INTERPRETATION AND CONCLUSIONS

The authors have reviewed the data from the DeLamar project, which includes the DeLamar and Florida Mountain areas, and verified the data that are material to this report.  Based on the work completed or supervised by the authors, it is the opinion of the authors that the project data are of sufficient quality for the modeling, estimation, and classification of the gold and silver resources disclosed in this report.  Furthermore, the authors are unaware of any significant risks or uncertainties that could reasonably be expected to affect the reliability of the current mineral resources.

From 1891 through 1998, total production of gold and silver from the DeLamar - Florida Mountain project area is estimated to be approximately 1.3 million ounces of gold and 70 million ounces of silver.  This includes an estimated 1.025 million ounces of gold produced from the original De Lamar underground mine and the later DeLamar open-pit operation.  At Florida Mountain, nearly 260,000 ounces of gold and 18 million ounces of silver were produced from the historical underground mines and late 1990s open-pit mining. 

The first precious-metals production of significance from the DeLamar project occurred from underground mines that exploited high-grade veins in the late 1800s to early 1900s.  A total of 553,000 ounces of gold and 21.3 million ounces of silver were reportedly produced from the De Lamar and Florida Mountain underground mines during this time period.  Beginning in the late 1970s, lower-grade bulk-tonnage ores were produced from an open-pit mining and milling operation that operated over a period of 21 years.  Including the Florida Mountain operation that commenced in 1994, the combined DeLamar and Florida Mountain production from 1977 through 1998 was approximately 750,000 ounces of gold and 47.6 million ounces of silver.  Extensive reclamation of the mining areas has been undertaken prior to Integra's involvement in the project, and Integra will continue related water-management activities, monitoring, and reporting to the appropriate governmental agencies. 

The DeLamar project gold and silver deposits are characterized as volcanic-hosted, low-sulfidation epithermal mineralization.  Higher-grade, steeply dipping vein-type mineralization is structurally controlled and therefore relatively restricted in widths, although some of the principal mineralized structures in the DeLamar area persist for 100s of meters along strike. At Florida Mountain, essentially the entire deposit is comprised of relatively thin, sub-vertical, mineralized structures of all grade ranges that form broad zones with significant strike extents, although individual higher-grade structures within these zones typically have limited strike lengths.  At the DeLamar area, low-angle higher-grade zones commonly extend outwards for significant distances from the steeply dipping mineralization along and/or subparallel to certain contacts in the felsic volcanic stratigraphy.  In the central portion of the DeLamar area that was the focus of all historical mining, modeled gold and silver resources extend continuously for approximately three kilometers of strike length, a maximum northeast-southwest width of 1.2 kilometers, and an elevation range of 570 meters.  The Milestone area of the DeLamar mineralization adds an additional 640 meters of strike to the resource modeling.  Resources at Florida Mountain have a northerly strike extent of about 1.3 kilometers, an east-west width of up to 650 meters, and an elevation range of 465 meters. 

The project databases include the data from 2,625 generally shallow, historical conventional rotary, RC, and core holes drilled between 1966 and 1998 by various operators, for a total of 275,790 meters of drilling.  These holes have an average down-hole depth of less than 100 meters in the DeLamar area and 130 meters at Florida Mountain.  Integra added 93 RC and core holes for a total of 30,288 meters to the project databases.


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Results from the ongoing metallurgical testing program indicate that oxidized and transitional materials from both the DeLamar and Florida Mountain deposits can be processed by heap-leach cyanidation, with agglomeration pretreatment possibly needed for portions of the DeLamar area mineralization.  Unoxidized material from the Florida Mountain deposit is amenable to grinding followed by agitated cyanide leaching, as well as to upgrading by gravity and subsequent flotation of the gravity tails.  DeLamar unoxidized material has shown highly variable responses to grinding followed by agitated cyanidation, with generally low gold and silver recoveries.  Additional testing and mineralogic studies are needed to gain a better understanding of the observed variability in recoveries.  DeLamar unoxidized material generally responds well to upgrading by gravity and flotation processing.  Testing to evaluate subsequent processing of the resulting concentrate is planned, but not available at the time of this report.

Potential open-pit gold and silver resources at the DeLamar project are constrained to lie within optimized pits and are tabulated using a cutoff grade of 0.2 g AuEq/t for oxidized and transitional materials and 0.3 g AuEq/t for unoxidized mineralization.  Parameters used in the pit optimizations and cutoff grades reflect potential heap leaching of the oxidized and transitional mineralized materials, with parameters for unoxidized mineralization reflecting potential processing by agitated tank leaching with cyanide at Florida Mountain and by flotation concentration and off-site treatment at DeLamar.  Project-wide Measured and Indicated resources total 172,365,000 tonnes averaging 0.43 g Au/t (2,376,000 ounces of gold) and 21.0 g Ag/t (116,514,000 ounces of silver).  Inferred resources total 28,266,000 tonnes at an average grade of 0.38 g Au/t (343,000 ounces of gold) and 13.5 g Ag/t (12,240,000 ounces of silver). 

The classification of the project resources has been upgraded significantly from the prior estimates.  This reflects enhanced geological inputs into the resource modeling, importantly including detailed oxidation modeling, an increase in the understanding of the historical data, the addition of Integra's drill data, and a more sophisticated approach to the resource modeling. 

Exploration potential for additional bulk-tonnage mineralization at the DeLamar project remains significant.  Most of the modeled mineralization at both the DeLamar and Florida Mountain areas is open at depth and, in several areas, along strike as well, which creates the opportunity to expand the presently defined resources that are potentially minable by open-pit methods.  For example, the main portion of the Florida Mountain resources encompass the Trade Dollar - Black Jack vein system that was the focus of historical underground mining.  Historical stopes along this vein system extend for 600 meters beyond the southern limits of the resources, but few holes have tested this extension.  The DeLamar area resources are open along strike to the south, and Integra has recently undertaken drilling in this area.  While significant mineralization has been encountered, at present continuity has not been established and the geology is not fully understood, but further work is needed.  The DeLamar area resources also remain open downdip to the southwest in much of the Glen Silver area, where the resource limits are defined by the lack of drill data. 

In addition to the bulk-tonnage potential, the potential for the discovery of high-grade vein-type mineralization similar to that mined in the late 19th and early 20th centuries also remains.  In the DeLamar area, historical underground and open-pit mining exploited high-grade veins in the Sommercamp and North DeLamar zones that include less than 500 meters of the total three kilometers of strike length of continuous mineralization.  The Milestone area adds another 0.6 kilometers of near-surface mineralization that lacks testing for deeper high-grade zones.  At Florida Mountain, historical underground mining focused on the Trade Dollar-Black Jack vein system, which includes the Alpine vein.  Historical records in the possession of Integra indicate that these veins were mined over a strike length of 1,800 meters and vertical extents up to 450 meters.  The Florida Mountain mineral resources reported herein encompass only the uppermost, lower-grade portions of the Florida Mountain gold-silver vein systems, and do not include any contribution from deeper high-grade veins.  In addition to the lower-grade mineralization associated with the upper elevations of the Trade Dollar-Black Jack vein system, the resources include similar mineralization along multiple other vein systems that lie west of the Trade Dollar-Black Jack veins, including the Ontario, Arcuate, Tip Top, and Stone Cabin vein structures.  The style of mineralization in the higher-elevation gold-silver resources along these other mineralized zones is indistinguishable from that modeled along the Trade Dollar-Black Jack veins, but significant historical underground mining is not known to have occurred along these vein zones.  The vein systems lying to the west of the Trade Dollar-Black Jack vein system therefore remain as exploration targets for high-grade, potentially underground-mineable mineralization. 


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Finally, there are occurrences of epithermal-style mineralization and/or alteration peripheral to the current resources that represent other exploration targets.  The best example of these is the Town Road - Henrietta area southwest of the northwestern portion of the Glen Silver area.  Significant epithermal alteration in outcrop, float, and in the Henrietta mine dump has been identified, and sparse drilling has encountered gold and silver mineralization.  As the geologic understanding of this and other peripheral occurrences is enhanced, quality drill targets will likely be generated.


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Integra Resources Corp.

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25.0 RECOMMENDATIONS

As discussed in 24.0, there continues to be excellent potential to expand the extents of mineralization of economic interest within the DeLamar project, and the project therefore warrants significant additional investment.  Drilling should be a significant component of future expenditures, including infill drilling, to obtain samples for the ongoing metallurgical program, and step-out drilling, focused on both expanding the existing limits of the current project resources and testing targets peripheral to the resources.  To address these goals, 7,500 meters of infill / metallurgical core drilling, 5,000 meters of resource expansion RC drilling, and 10,000 meters of exploration RC drilling is recommended.  The resource expansion should focus on the Florida Mountain area, where high-priority step-out targets have been identified.  This proposed work would necessitate a modification to the existing Notification for drilling in the DeLamar area, and a new Notification for Florida Mountain drilling performed on patented claims.  A Notice would need to be filed with the BLM if any of the recommended drilling is undertaken on unpatented claims.  Separate Notices would be filed with the BLM for each of the DeLamar and Florida Mountain areas of unpatented claims.  Concurrent with the drilling, a preliminary economic assessment should be completed using the current resource model as its base. 

As a complement to the RC drilling, an exploration program should be conducted that includes soil sampling, geological mapping, and an IP survey(s) to assist in developing targets.  The results of the IP survey completed at the DeLamar area proved its usefulness in identifying mineralized trends. 

The ongoing metallurgical testing should be continued, with a focus on defining the metallurgical characteristics and potential extraction parameters of oxide, transitional, and unoxidized materials for each of the DeLamar and Florida Mountain resources.  Processing alternatives involving both heap-leaching and various milling scenarios should continue to be examined.

Detailed re-logging of Integra drill core and Integra and historical RC chips is also recommended, where warranted, to allow for the continued refinement of the geological models.  The collection of additional specific-gravity data from selected drill core intervals is also highly recommended. 

Estimated costs for the recommend work program outlined above are presented in Table 25.1.  This program is for work to be completed through to the end of 2019, and it has an estimated total cost of $8,000,000.  The estimated drilling costs are all-inclusive, as they include Integra's labor costs, access and drill-pad construction costs, assaying, etc., in addition to the contractor costs.  In addition to the technical programs, the costs include land holding fees, environmental permitting costs, project-site general and administrative costs ("G&A"), operation of the water-treatment plant, and ongoing site reclamation activities through December 2019. 


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Integra Resources Corp.

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Table 25.1  Cost Estimate for the Recommended Program

Item

Estimated Cost US$

Exploration RC Drilling  (10,000m)

2,000,000

Infill RC Drilling  (5,000m)

1,000,000

Metallurgical / Infill Core Drilling  (7,500m)

2,500,000

Geological Mapping, Soil Sampling, Geophysics

250,000

Land Holding Costs

300,000

Metallurgy

400,000

PEA

200,000

Permitting and Environmental (incl. water management, maintenance, safety, & related G&A)

1,000,000

Other Project Administrative / Office Expenses

350,000

Total

$ 8,000,000

Integra intends to complete aerial magnetic / radiometric and hyperspectral surveys over the entire project and surrounding areas during the summer of 2019.  These surveys are being designed to aid in the generation of new exploration targets and refine existing targets peripheral to the existing resource areas.  While the costs associated with these surveys are not included in Table 25.1, the authors believe the surveys are warranted.

It is the authors' opinion that the DeLamar project is a project of merit that warrants the proposed program and level of expenditures outlined above.


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26.0 REFERENCES

Ahlrichs, J.W., 1978 (June), Evaluation of Silver Losses in Leached Tailings and Examination of High-Grade Ore and Feed from the DeLamar Mine, Jordan Valley, Oregon:  report prepared by Newmont Exploration Limited Metallurgical Department Danbury, CT, File No. 200-01.

Armstrong, R.L., 1975, The geochronometry of Idaho: Isochron/West, no.14, 50 p.

Aseto, C.O., 2012, Geology, geochemistry, and geochronology of low-sulfidation epithermal Au-Ag ores on War Eagle Mountain, Silver City District, Idaho: unpublished M.S. thesis, Auburn University, 167 p.

Asher, R.R., 1968, Geology and mineral resources of a portion of the Silver City region, Owyhee County, Idaho: Idaho Bureau of Mines and Geology Pamphlet 138, 106 p.

Barrett, R.A., 1985, The geology, mineralization, and geochemistry of the Milestone hot-spring silver-gold deposit near the Delamar silver-gold mine, Owyhee County, Idaho: unpublished M.Sc. thesis, University of Idaho, 474 p.

Bennett, E.H., and Galbraith, J., 1975, Reconnaissance Geology and Geochemistry of the Silver City-South Mountain Region, Owyhee County, Idaho: Idaho Bureau of Mines and Geology Pamphlet 162, 88 p.

Bergendahl, M.H., 1964, Gold, in Mineral and Water Resources of Idaho: Idaho Bureau of Mines and Geology Special Report No. 1, p. 93-101.

Bonnichsen, B., 1983, Epithermal gold and silver deposits Silver City-De Lamar district, Idaho: Idaho Geological Survey Technical Report 83-4, 29 p.

Bonnichsen, B. and Godchaux, M.M., 2006, Geologic Map of the Murphy 30 x 60 degree Quadrangle, Ada, Canyon, Elmore, and Owyhee Counties, Idaho: Idaho Geological Survey DWM-80.

Bonnichsen, B., Strowd, W.B., and Beebe, M., undated; Epithermal gold and silver deposits, Silver City-De Lamar District, Idaho: unpublished report, 28 p.

Cupp, B.L., 1989, Mineralization and volcanism at the DeLamar Silver Mine, Owyhee County, Idaho: Unpublished M.Sc. thesis, Miami University, 95 p.

DeLong, R., 2017 (September), untitled project communication document containing text for Section 4.4, received via email on September 25, 2017.

DeLong, R., 2019 (July), untitled project communication document containing text for Section 4.4, received via email on July 17, 2019.

Earth Resources Company, 1974, Feasibility study, DeLamar project, Owyhee County, Idaho, Volume II, geology and ore reserves: unpublished report, 41 p. plus figures and folded plates.


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Ekren, E.B., McIntyre, D.H., Bennett, E.H., and Malde, H.E., 1981, Geologic map of Owyhee County, Idaho, west of longitude 116°W: U.S. Geological Survey Map1-1256.

Ekren, E.B., McIntyre, D.H., Bennett, E.H., and Marvin, R.F., 1982, Cenozoic stratigraphy of western Owyhee County, Idaho, in Bonnichsen, B. and Breckenridge, R.M., eds., Cenozoic Geology of Idaho, Idaho Bureau of Mines and Geology Bulletin 26.

Ekren, E.B., McIntyre, D.H., and Bennett, E.H., 1984, High-temperature, large-volume, lavalike ash-flow tuffs without calderas in southwestern Idaho: U.S. Geological Survey Professional Paper, 1272, 76 p.

Elkin, D.C., 1993 (September), Kinross Gold U.S.A. Inc. DeLamar Gold and Silver Mine Owhyhee County, Idaho Ore Reserves as of December 31, 1992:  unpublished report by Mine Reserves Associates, Inc. prepared for Kinross Gold Corporation, 39 p. plus appendices.

Gierzycki, G.A., 2004a (April), Exploration potential of the DeLamar Mine property, Owyhee County, Idaho:  report prepared for Kinross Gold Corporation, 33 p.

Gierzycki, G.A., 2004b (November), Deep gold-silver potential of the DeLamar mine property, Owyhee County, Idaho: report prepared for Kinross Gold Corporation, 12 p.

Gray, J.N., Singh, R.B., Pennstrom Jr., W.J., Kunkel, K.W., and Cunningham-Dunlop, I. R., 2016 (January), NI 43-101 Technical report and updated mineral resource estimate for the Castle Mountain project, San Bernardino County California, USA: prepared for Newcastle Gold Ltd., 212 p.

Gustin, M.M., and Weiss, S.I., 2017 (November), Technical Report and Resource Estimate, DeLamar Gold-Silver Project, Owyhee County, Idaho, USA: NI 43-101 report prepared for Integra Resources Corp., 124 p.

Gustin, M.M., and Weiss, S.I., 2018 (March), Technical Report and Resource Estimate for the DeLamar and Florida Mountain Gold-Silver Project, Owyhee County, Idaho, USA: NI 43-101 report prepared for Integra Resources Corp., 154 p.

Halsor, S. P., 1983, A volcanic dome complex and genetically associated hydrothermal system, DeLamar silver mine, Owyhee County, Idaho: unpublished M.Sc. thesis, Michigan Tech. Univ., 111 p.

Halsor, S.P., Bornhorst, T.J., Beebe, M., Richardson, K., and Strowd, W., 1988, Geology of the DeLamar silver mine, Idaho - A volcanic dome complex and associated hydrothermal system: Economic Geology: v. 83, p. 1159-1169.

Hampton, P., 1988 (August), Final Report on Phase-1 Florida Mt. Metallurgy: internal company report, NERCO Minerals.


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Hedenquist, J.W., 2018 (September), Observations on gold-silver deposits of the DeLamar district, Idaho, and district potential beneath near-paleosurface outcrops: unpublished report prepared for Integra Resources Corporation, 24 p.

Jordan, T., 2019 (March), Sampling Narrative: Internal memorandum prepared for DeLamar Mining Company.

Kilborn Engineering BC, 1988 (November),  Nerco Delamar Co. 'Floridan' Mountain Project - Review of Metallurgical Testwork: report prepared for NERCO Minerals.

Lindberg, P.A., 1985 (September), Geological appraisal of the Florida Mountain gold-silver district, Idaho:  unpublished report prepared for NERCO Minerals Company, 19 p. plus plates.

Lindgren, W., 1900, The gold and silver veins of the Silver City, De Lamar, and other mining districts in Idaho: U.S. Geological Survey 20th Annual Report, Part 3, p. 65-256.

Lindgren, W., and Drake, N.F., 1904, Description of the Silver City quadrangle: U.S. Geological Survey Geologic Atlas, Silver City Folio.

Mason, M.S., Saunders, J.A., Aseto, C., Hames, W.E., and Brueseke, M.E., 2015, Epithermal Au-Ag ores of War Eagle and Florida Mountains, Silver City district, Owyhee County, Idaho: in Pennell, W.M., and Garside, L.J., eds., Proceedings of the Geological Society of Nevada Symposium, New Concepts and Discoveries, Reno, p. 1067-1078.

McPartland, J.S., 2019a (June), Summary Update Report on Metallurgical Testing- DeLamar 2018/2019 Samples: report prepared for Integra Resources Corp. by McClelland Laboratories Inc., MLI Job No. 4307.

McPartland, J.S., 2019b (June), Summary Update Report on Metallurgical Testing- Florida Mountain 2018/2019 Samples: report prepared for Integra Resources Corp. by McClelland Laboratories Inc., MLI Job No. 4307.

Miyoshi, T.K., 1974 (January), Preliminary metallurgical testing on the North DeLamar ore:  report prepared for Earth Resources Company by Hazen Research Inc., HRI Project 1466. 

Miyoshi, T.K., and Light, R.H., 1974 (June), Metallurgical Testing of a Composite Sample of North DeLamar Ore: report prepared for Earth Resources Company by Hazen Research Inc., HRI Project 1520.

Miyoshi, T.K., Zaman, S., and Yarroll, W.H., 1971 (August), Metallurgical and economic studies of a silver ore for Earth Resource Company:  report prepared by Hazen Research Inc., HRI Project No 979.

Mosser, K.L., 1992, Mineralogy, paragenesis, and fluid inclusion relationships of the hydrothermal ore deposits at Florida Mountain, Carson mining district, Owyhee County, Idaho: unpublished M.Sc. thesis, University of Arizona, 216 p.


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Pancoast, L., 1990, 1989 South Wahl geologic model: NERCO Exploration Company internal report, 9p plus appendices.

Panze, A.J., 1971, Geology and ore deposits of the Silver City-De Larmar-Flint Creek region, Owyhee County, Idaho: unpublished Ph.D. Thesis, Colorado School of Mines, 150 p.

Panze, A.J., 1972, K-Ar ages of plutonism, volcanism and mineralization, Silver City region, Owyhee County, Idaho: Isochron/West, no. 4, p. 1-4.

Pansze, A.J., 1975, Geology and ore deposits of the Silver City-DeLamar-Flint region, Owyhee County, Idaho: Idaho Bureau of Mines and Geology Pamphlet 161, 79 p.

Perry, J.K., 1971 (August), Mineralogy of silver-bearing drill core from De Lamar, Idaho: unpublished report prepared for Earth Resources Company by Hazen Research Inc., HRI Project No. 979, 35 p.

Piper, A.M., and Laney F.B., 1926, Geology and metalliferous resources of the region about Silver City, Idaho: Idaho Bureau of Mines and Geology Bulletin 11, 165 p.

Porterfield, B., 1992, Underground reserve potential at the DeLamar Mine: internal company report prepared for NERCO Minerals Company, 10 p.

Porterfield, B., and Moss, K., 1988 (March), Geology and mineralization of Florida Mountain: internal company report for NERCO Minerals Company, 31 p., plus plates.

Rak, P., Shaw, D.R., and Schmidt, R., 1989 (March), Sullivan Gulch Gold Silver Ore - Metallurgical Studies:  report prepared for NERCO Minerals by Hazen Research Inc. 

Richardson, K., 1985 (November), Fire AA adjustment factors used to generate final silver values in computer data base; internal NERCO memorandum, 4 p.

Rodgers B., 1980, DeLamar silver mine, Owyhee County, Idaho: unpublished company report prepared for Earth Resources Co., 6 p.

Sillitoe, R.H., 2018 (July), Comment on geology and exploration of the DeLamar epithermal gold-silver district, Idaho: unpublished report prepared for Integra Resources Corporation, 12 p.

Sillitoe, R.H., and Hedenquist, J.W., 2003, Linkages between volcanotectonic settings, ore-fluid compositions, and epithermal precious metal deposits: Soc. Economic Geologists Special Publication 10, p. 315-343.

Statter, D.J., 1989 (May), Progress Report #8 on Florida Mountain Metallurgy: internal NERCO company report, 2 volumes.

Taubeneck, W.H., 1971, Idaho batholith and its southern extension: Geological Society of America Bulletin, v. 82, p. 1899-1928.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 169
     

Thomason, R. E., 1983, Volcanic stratigraphy and epithermal mineralization of the DeLamar silver mine, Owyhee County, Idaho: unpublished M.Sc. thesis, Oregon State Univ., 70 p.

Wells, W.W., 1963, Gold camps and silver cities: Idaho Bureau of Mines and Geology Bulletin 22, 36 p.


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 170
     

27.0 DATE AND SIGNATURE PAGE

Effective Date of report: June 15, 2019
   
Completion Date of report: July 30, 2019
   
   
"Michael M. Gustin"                                          Date Signed:
Michael M. Gustin, C.P.G. July 30, 2019
   
   
"Steven I. Weiss"                                                Date Signed:
Steven I. Weiss, PhD, C.P.G. July 30, 2019
   
   
"Jack S. McPartland"                                       Date Signed:
Jack S. McPartland, Member M.M.S.A. July 30, 2019

 


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 171
     

28.0 CERTIFICATE OF QUALIFIED PERSONS

Michael M. Gustin, C.P.G.

I, Michael M. Gustin, C.P.G., do hereby certify that I am currently employed as Senior Geologist by Mine Development Associates, Inc., 210 South Rock Blvd., Reno, Nevada 89502 and:

1. I graduated with a Bachelor of Science degree in Geology from Northeastern University in 1979 and a Doctor of Philosophy degree in Economic Geology from the University of Arizona in 1990.  I have worked as a geologist in the mining industry for more than 30 years.  I am a Licensed Professional Geologist in the state of Utah (#5541396-2250), a Licensed Geologist in the state of Washington (# 2297), a Registered Member of the Society of Mining Engineers (#4037854RM), and a Certified Professional Geologist of the American Institute of Professional Geologists (#CPG-11462).

2. I have read the definition of "qualified person" set out in National Instrument 43-101 ("NI 43-101").  I have previously explored, drilled, evaluated and modeled similar volcanic-hosted epithermal gold-silver deposits in the western US and Mexico.  I certify that by reason of my education, affiliation with certified professional associations, and past relevant work experience, I fulfill the requirements to be a "qualified person" for the purposes of NI 43-101. 

3. I visited the DeLamar project site on August 16, 17, and 18, 2018.

4. I am responsible for all Sections of this report titled, "Technical Report and Updated Resource Estimates for the DeLamar and Florida Mountain Gold - Silver project, Owyhee County, Idaho, USA", with an effective date of June 15, 2019 (the "Technical Report").

5. I was a co-author of previous Technical Reports prepared for Integra Resources Corp. in 2017 and 2018, and assisted Kinross Gold Corporation with an evaluation of the project in 2016, but I am independent of Integra Resources Corp., and all of its subsidiaries, as defined in Section 1.5 of NI 43-101 and in Section 1.5 of the Companion Policy to NI 43-101.

6. As of the effective date of this Technical Report, to the best of my knowledge, information, and belief, this Technical Report contains all the scientific and technical information that is required to be disclosed to make those parts of this Technical Report for which I am responsible for not misleading.

7. I have read NI 43-101 and Form 43-101F1, and the Technical Report has been prepared in compliance with that instrument and form.

Dated this 30th day of July 2019.

"Michael M. Gustin"          
Michael M. Gustin


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 172
     

CERTIFICATE OF QUALIFIED PERSON

Steven I. Weiss, Ph.D., C.P.G.

I, Steven I. Weiss, C.P.G., do hereby certify that:

  • I am currently a self-employed Senior Associate Geologist for Mine Development Associates, Inc., located at 210 South Rock Blvd., Reno, Nevada, 89502; and

  • I graduated with a Bachelor of Arts degree in Geology from the Colorado College in 1978, received a Master of Science degree in Geological Science from the Mackay School of Mines at the University of Nevada, Reno in 1987, and hold a Doctorate in Geological Science from the University of Nevada, Reno, received in 1996.

  • I am a Certified Professional Geologist (#10829) with the American Institute of Professional Geologists and have worked as a geologist in the mining industry and in academia for more than 35 years.

  • I have read the definition of "qualified person" set out in National Instrument 43-101 ("NI 43-101").  I have previously explored, drilled, evaluated and reported on gold-silver deposits in volcanic and sedimentary rocks in Nevada, California, Canada, Greece, and Mexico.  I certify that by reason of my education, affiliation with certified professional associations, and past relevant work experience, I fulfill the requirements to be a "qualified person" for the purposes of NI 43-101.

  • I am a co-author of this Technical Report titled "Technical Report and Updated Resource Estimates for the DeLamar and Florida Mountain Gold - Silver project, Owyhee County, Idaho, USA" prepared for Integra Resources Corp., and with an effective date of June 15, 2019.  Subject to those issues discussed in Section 3.0, I am co-responsible for Sections 1, 2, 3, 5, 6, 7, 8, 9, 10, 18, 19, and 20 of this Technical Report.   

  • I was a co-author of previous Technical Reports prepared for Integra Resources Corp. in 2017 and 2018, but prior to this I have not had involvement with the property that is the subject of this Technical Report.  I visited the DeLamar project site on August 1st, 2nd and 3rd, 2017.

  • To the best of my knowledge, information and belief, as of the effective date the Technical Report contains the necessary scientific and technical information to make the Technical Report not misleading.

  • I am independent of Integra Resources Corp., and all of their respective subsidiaries, as defined in Section 1.5 of NI 43-101 and in Section 1.5 of the Companion Policy to NI 43-101. 

  • I have read National Instrument 43-101 and Form 43-101F1, and the Technical Report has been prepared in accordance with the requirements of that instrument and form.

Dated this 30th day of July 2019

"Steven I. Weiss"                                             

Signature of Qualified Person


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 173
     

CERTIFICATE OF QUALIFIED PERSON

JACK S. McPARTLAND, METALLURGIST/PRESIDENT

I, Jack McPartland, do hereby certify that I am currently employed as Metallurgist/President, McClelland Laboratories, Inc., 1016 Greg Street, Sparks, Nevada 89431, and:

1. I graduated with a Bachelor of Science degree in Chemical Engineering from the University of Nevada, Reno in 1986 and a Master of Science degree in Metallurgical Engineering from the University of Nevada, Reno in 1989.  I have worked as a metallurgist for a total of 30 years since my graduation from undergraduate university, managing and evaluating metallurgical testing and designing mineral processing systems for numerous base-metal and precious-metal mining projects in North and South America.

2. I am a registered member of the Mining and Metallurgical Society of America, and I am recognized as a Qualified Professional (QP) Member with special expertise in Metallurgy/Processing (Member No. 01350QP).

3. I have read the definition of "qualified person" set out in National Instrument 43-101 ("NI 43-101") and certify that by reason of my education, affiliation with a professional association (as defined in NI 43-101) and past relevant work experience, I fulfill the requirements to be a "qualified person" for the purposes of NI 43-101.  I am independent of the issuer applying all of the tests in section 1.5 of National Instrument 43-101.

4. I visited the DeLamar project site on January 17, 2019.  I am responsible for Item 1.5 and Item 13 of this report titled, "Technical Report and Updated Resource Estimates for the DeLamar and Florida Mountain Gold - Silver project, Owyhee County, Idaho, USA", with an effective date of June 15, 2019 (the "Technical Report").

5. I have had no prior involvement with the property that is the subject of the Technical Report and I am independent of Integra Resources Corp., and all of its subsidiaries, as defined in Section 1.5 of NI 43-101 and in Section 1.5 of the Companion Policy to NI 43-101. 

6. As of the effective date of this Technical Report, to the best of my knowledge, information, and belief, this Technical Report contains all the scientific and technical information that is required to be disclosed to make those parts of this Technical Report for which I am responsible for not misleading.

7. I have read National Instrument 43-101 and Form 43-101F1, and the Technical Report has been prepared in compliance with that instrument and form.

Dated this 30th day of July 2019

"Jack S. McPartland"                                           

Signature of Qualified Person


Technical Report and Updated Gold – Silver Resources, DeLamar and Florida Mountain Project,
Integra Resources Corp.

Page 174
     

Appendix  A

Listing of Patented and Unpatented Federal Mining Claims and Leased Land


Part 1: Owned and Leased Patented Claims, One Leased Unpatented Claim and Leased State of Idaho Lands

Owned Real Property (Owyhee County, ID):

Patented Mining Claims

1.0 TAX PARCEL #RP 95S04W050106A

1.1.1 LODES:

BOSTON, MS 855; CASH, MS 859A; CHICAGO, MS 643A; CHRISTIAN WAHL, MS 642A; CROWN PRINCE & BISMARCK CONSOLIDATED, MS 923A; DENVER, MS 856A; DISSON, MS 921; HIDDEN TREASURE, MS 1264; HOPE, MS 920A; IBURG, MS 1260; IDAHO, MS 548; LONDON, MS 857A; LOUIS WAHL, MS 854; MICHIGAN, MS 1266; MOLLOY, MS 1029A; NEW YORK, MS 863A; PHEBE GRACE, MS 858; PHILADELPHIA, MS 862A; SAN FRANCISCO, MS 860; STODDARD, MS 38; TORPEDO, MS 1261; WALLSTREET, MS 1265; WILSON, MS 547; ZULU, MS 1259.

1.1.2 MILLSITES:

CASH MILL SITE, MS 859B; CHICAGO MILL SITE, MS 643B; CHRISTIAN WAHL MILL SITE, MS 642B; CROWN PRINCE & BISMARCK CONSOLIDATED, MS 923B; DELAMAR MILL SITE, MS 1024; DENVER MILL SITE, MS 856B; HOPE MILL SITE, MS 920B; LONDON MILL SITE, MS 857B; NEW YORK MILL SITE, MS 863B; PHILADELPHIA MILL SITE, MS 862B; WILSON MILL SITE, MS 652.

2.0 TAX PARCEL #RP 95S04W060146A

Leply group, MS 3066, ADVANCE, BOONE, CHATAQUA (sic), INDEPENDENCE, and a portion of BECK and LAST CHANCE

3.0 TAX PARCEL #RP 95S04W050147A

BECK, LAST CHANCE, MS 3066, described as Lot 47.

Per Assessor's office, said Lot 147 is a portion of Beck and Last Chance (Leply group)

4.0 TAX PARCEL #RP 95S04W08119AA

PORTION OF IBURG, MS 1260, Tax 119A

5.0 TAX PARCEL #RP 95S04W050151A

ELLA, CZARINA, ONLY CHANCE, BADGER, MS 3067

6.0 TAX PARCEL #RP 95S04W05074AA

HOWE, MS 950A, & MANHATTAN, MS 866, less a portion

7.0 TAX PARCEL #RP 95S04W05074BA

PORTION OF HOWE, MS 950A, & MANHATTAN, MS 866

8.0 TAX PARCEL #RP 95S04W056000A

NDCO SEC5 #27, 28, [29-32], 30, 31, [34-35], 36, 37, 38, 39, 40

9.0 TAX PARCEL #RP 95S04W068400A

NDCO SEC6 #17, 18, 19, 20, 21, 22, 23, 24, 25, 29, 33, 34, 35, 36, 37, 38, 39, 40, 41, 42, 43

10.0 TAX PARCEL #RP 95S04W072300A

NDCO SEC7 #6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 30, 31, 32, 33, 34, 35, 36, 37, 38, 39, 40, 41

 


11.0 TAX PARCEL #RP 95S04W084300A

NDCO SEC8 #8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34,

35, 36, 37, 38, 39, 40, 41, 42, 43, 44, 45, 46, 47, 48, 49, 50, 51, 52, 53, 54, 55, 56, 57, 58, 59, 60, 61, 62, 63, 64, 65,

66, 67, 68, 69, 70, 73, 74, 75, 76, 77, 78, 79, 80, 81, 82, 83, 84, 85, 87, 88, 89, 90

12.0 TAX PARCEL #RP 95S04W094600A

NDCO SEC9 #8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 35, 36, 37, 38, 39, 40, 41, 42, 43,

44, 45, 46, 47, 48, 50, 51, 52, 53, 54, 55, 56, 57

13.0 TAX PARCEL #RP 95S04W01093FA EUREKA, MS 3100, LOCATED IN 1-5S-4W

14.0 14 & 15. TAX PARCEL #RP 95S04W01057AA AND TAX PARCEL #RP 95S04W01043AA
BANNER, HARMON, C.O.D, MAMMON, ELLA, COFFEE, STAR SPANGLE, TIP TOP, JUSTICE, APEX

16.0 TAX PARCEL #RP 95S04W01001AA

BLACK JACK, EMPIRE STATE, PHILLIPS, SULLIVAN, BELFAST, COLORADO, SIERRA NEVADA, INDEPENDENCE, JUMBO, SOUTH PLUTO, BLACK BART, JAMES C. BLAINE, TRADE DOLLAR, FRACTION, SOUTH EXTENSION, BLAINE, CAROLINE, OWYHEE TREASURY, SEVENTY NINE, J.M. GUFFY, ALPINE, LITTLE CHIEF, HARRISON, ALLEGHANY, TWENTY ONE, SUNFLOWER, INDUSTRY, ECONOMY, NORTH EXTENSION, COMMONWEALTH, ROUGH AND READY, COMMONWEALTH, COMSTOCK, BALTIC, STERLING, BLACK JACK MILLSITE, PLUTO MILLSITE, PALM BEACH INN

17.0 LEASED PATENTED CLAIMS (OWYHEE COUNTY, ID):

A. Elordi

Description: HENRIETTA, MS#630, Patent #17275, in Sec 6, T5S,
R4W, BM Royalty:              5% NSR until
$50,000 has been paid, thereafter 2.5% NSR until $400,000 paid.

B. Getchell/Gross

Description: OHIO, MS #3064, Patent #1031892, in Sec. 4, T5S, R4W, BM

Royalty:                    5% NSR

C. Elordi

Description: MAMMOTH & ANACONDA, MS 2151, Patent
#45359, Sec 1&2, T5S, R4W, BM

Royalty:                      2.5% NSR


D. Brunzell/Jayo/Brunzell

Description:              SUMMIT, MS#2383, Patent #88744, in Sec 1, T5S, R4W, BM

Royalty:                    2.5% NSR

  E.           Statham

                 Description:            The following 9 patented claims and 1 unpatented claim in

                                                Sec 31, T4S, R3W; Sec 36, T4S,R4W;  Sec 1, T5S,R4W; Sec 6, T5S,R3W, BM

                 Royalty:                    2.5% NSR to a maximum of $650,000.

         Unpatented Claim Name

 BLM No.

   

         The Holy Terror Placer No. 1 Placer Claim

IMC # 23906

                            Patented Claims                       

Survey Number            Patent No.   Claim Name
     

MS 2155

54089

September

MS 1913

40635

Joseph

MS 1909

40636

True Blue

MS 1910

40637

George Washington

MS 1908

40637

Palmer

MS 1906

40637

Eagle

MS 1912

40637

Kentuck

MS 1907

40637

Eclipse

MS 1911

40637

North Extension Humboldt

F.             Nottingham

                Description:              The following 12 patented claims in Sec 1 & 2, T5S,R4W, BM

                Royalty:   2% NSR to a maximum of $400,000

   
 Survey Number                        Patent Number                           Claim Name  
 MS 3101 1019060 Alright  
 MS 3100 1019061 Eureka (7.3 acres)  
 MS 3100 1019061 Search Light  
 MS 1968A     44196  Harrison  
 MS 1968A     44196  Blaine  
 MS 1968A     44196  Shannon  
 MS 1968A     44196  Molly Pincher  
 MS 1968A     44196  Tonowanda Placer  
 MS 3103 1019062 Roosevelt Placer  
 MS 3099 1019063 Ida May  
 MS 3099 1019063 Nellie Grant
 MS 3102   1019059   King Edward
 


18.0 LEASED LANDS (OWYHEE COUNTY, ID):

  Six State of Idaho Department of Lands Leases

              Lease No.       Acreage    Description                                                Status            

1 E600067 396     T4S,R5W,S.36                                    Issued

2 E600085 640     T4S,R5W,S.36                                   Pending

3 E600086 601     T4S,R5W,S.35; T5S,R5W,1              Pending

4 E600090 640     T5S,R4W,S.16                                   Pending

5 E600092 514     T4S,R4W,S.31                                   Pending

6 E600093 557     T4S,R4W,S.28,29,33; T5S,R4W,S7  Pending


Part 2:  284 Unpatented Claims Owned or Controlled by DeLamar Mining Co.

Claim #

Claim Name

BLM #

1 (160 ac Placer)

Barnes

IMC-50576

(38 ac Placer)

Blue Gulch

IMC-50577

3

Century

IMC-19303

160 ac Placer)

CHINA

IMC-49020

5

COLUMBIA

IMC-19297

6

Cook 2

IMC-16257

7

Cook 3

IMC-16258

8

Cook 6

IMC-16261

9

Cook 8

IMC-16263

10

Cook 10

IMC-16265

11

Cook 12

IMC-16267

12

Cook 14

IMC-16269

13

Cook 16

IMC-16271

14

Cook 19

IMC-16274

15

Cook 48

IMC-16303

16

Cook 52

IMC-16307

17

Cook 53

IMC-16308

18

Cook 54

IMC-16309

19

Cook 56

IMC-16311

20

Cook 57

IMC-16312

21

Cook 58

IMC-16313

22

Cook 60

IMC-16315

23

Cook 62

IMC-16317

24

Cook 74

IMC-16329

25

Cook 75

IMC-16330

26

Cook 76

IMC-16331

27

Cook 77

IMC-16332

28

Cook 78

IMC-16333

29

Cook 79

IMC-16334

30

Cop 1

IMC-16337

31

Cop 3

IMC-16339

32

Cop 5

IMC-16341

33

Cop 7

IMC-16343

34

Cop 9

IMC-16345

35

Cop 11

IMC-16347

36

Cop 13

IMC-16349

37

Cop 15

IMC-16351

38

Cop 17

IMC-16353

39

Cop 19

IMC-16355

40

Cop 21

IMC-16357

41

Cop 22

IMC-16358




Claim #

Claim Name

BLM #

42

Cop 23

IMC-16359

43

Cop 24

IMC-16360

44

Cop 25

IMC-16361

45

Cop 26

IMC-16362

46

Cop 32

IMC-16368

47

Cop 33

IMC-16369

48

Cop 34

IMC-16370

49

Cop 35

IMC-16371

50

Cop 40

IMC-16376

51

Cop 68

IMC-16404

52

Cop 69

IMC-16405

53

Cop 70

IMC-16406

54

Cop 73

IMC-16409

55

Cop 74

IMC-16410

56

Cop 75

IMC-16411

57

Cop 78

IMC-16414

58

Cop 80

IMC-16416

59

DALY

IMC-20390

60

DAM #8

IMC-136064

61

DAM #12

IMC-136068

62

DAM #13

IMC-136069

63

DAM #28

IMC-136072

64

DELAGARDE

IMC-19299

65

DeLamar #5 Fraction

IMC-11235

66

DeLamar Fraction #1A

IMC-11231

67

DeLamar Fraction #6

IMC-11236

68

DeLamar Fraction #7

IMC-11237

69

DeLamar Fraction #9

IMC-13720

70

DeLamar Fraction #11

IMC-13722

71

DeLamar Fraction #13

IMC-11239

72

DeLamar Fraction #14

IMC-13724

73

DeLamar Fraction #15

IMC-11240

74

DeLamar Fraction #16

IMC-11241

75

DeLamar Fraction #20

IMC-50823

76

DeLamar Fraction 2A

IMC-11232

77

DeLamar Fraction 3A

IMC-11233

78

DeLamar Fraction 4

IMC-11234

79

DeLamar Fraction 17

IMC-11242

80

DeLamar Fraction 18

IMC-11243

81

DeLamar Fraction 19

IMC-50822

82

DeLamar Fraction 19A

IMC-11244

83

DeLamar Fraction 20

IMC-11245

84

DeLamar Fraction 21

IMC-50824




Claim #

Claim Name

BLM #

85

DL-2

IMC-217429

86

DL-3

IMC-217430

87

DL-4

IMC-217431

88

DL-5

IMC-217432

89

DL-6

IMC-217433

90

DL-7

IMC-217434

91

DL-8

IMC-217435

92

DL-9

IMC-217436

93

DL-10

IMC-217437

94

DL-11

IMC-217438

95

DL-12

IMC-217439

96

DL-13

IMC-217440

97

DL-14

IMC-217441

98

DL-15

IMC-217442

99

DL-16

IMC-217443

100

DL-17

IMC-217444

101

DLF #36

IMC-153395

102

DLF-23

IMC-65556

103

DLF-24

IMC-65557

104

DLF-25

IMC-65558

105

DLF-26

IMC-65559

106

DLF-27

IMC-65560

107

DLF-28

IMC-65561

108

DLF-29

IMC-65562

109

DLF-30

IMC-65563

110

DLF 33

IMC-134646

111

DLF 34

IMC-134647

112

DLF 35

IMC-134648

113

Elko

IMC-13655

114

Elko No.2

IMC-13656

115

ENGL 1

IMC-14687

116

ENGL 2

IMC-137927

117

ENGL 3

IMC-14689

118

ENGL 4

IMC-14690

119

ENGL 5

IMC-14691

120

ENGL 6

IMC-137928

121

ENGL 7

IMC-137929

122

ENGL 7A

IMC-137930

123

ENGL 8

IMC-163888

124

ENGL 9

IMC-16228

125

ENGL 10

IMC-16229

126

ENGL 11

IMC-16230

127

ENGL 12

IMC-16231




Claim #

Claim Name

BLM #

128

ENGL 13

IMC-16232

129

ENGL 14

IMC-16233

130

ENGL 15

IMC-16234

131

ENGL 16

IMC-16235

132

ENGL 17

IMC-16236

133

ENGL 19

IMC-16238

134

ENGL 21

IMC-16240

135

ENGL 23

IMC-163889

136

ENGL 24

IMC-16243

137

ENGL 25

IMC-16244

138

ENGL 26

IMC-16245

139

ENGL 27

IMC-16246

140

ENGL 28

IMC-16247

141

ENGL 29

IMC-16248

142

ENGL 30

IMC-16249

143

ENGL 31

IMC-16250

144

ENGL 32

IMC-16251

145

ENGL 33

IMC-16252

146

ENGL 34

IMC-16253

147

ENGL 35

IMC-16254

148

ENGL 36

IMC-16255

149

FM-1 Fraction

IMC-11485

150

FM 16-Fraction

IMC-111724

151

FM 18-Fraction

IMC-111726

152

FM 19-Fraction

IMC-111727

153

FM 20-Fraction

IMC-111728

154

FM 21-Fraction

IMC-111729

155

FM 22 Fraction

IMC-111730

156

FM 23 Fraction

IMC-111731

157

FM Fraction #2

IMC-11486

158

FM Fraction #3

IMC-11487

159

FM Fraction #5

IMC-11489

160

FM Fraction #6

IMC-11490

161

FM Fraction #7

IMC-11491

162

FM Fraction #8

IMC-11492

163

FM Fraction #9

IMC-11493

164

FM Fraction #10

IMC-11494

165

FMP-4

IMC-125864

166

FMP-5

IMC-125865

167

FMP-6

IMC-125866

168

FMP-7

IMC-125867

169

FMP-12

IMC-125872

170

FMP-13

IMC-125873




Claim #

Claim Name

BLM #

171

FMP-14

IMC-125874

172

FMP-15

IMC-125875

173

FMP-21

IMC-125882

174

GLOBE

IMC-20389

175

Golden Gate

IMC-19300

176

Gold Standard #4

IMC-13714

177

Grand Central

IMC-20391

178

GS-1

IMC-13672

179

GS-2

IMC-13673

180

GS-3

IMC-13674

181

GS-4

IMC-13675

182

GS-5

IMC-13676

183

GS-6

IMC-13677

184

GS-7

IMC-13678

185

GS-9

IMC-13680

186

GS-11

IMC-13682

187

GS-13

IMC-13684

188

GS-14

IMC-13685

189

GS-15

IMC-13686

190

GS-16

IMC-13687

191

GS-17

IMC-13688

192

GS-26

IMC-13697

193

GS-27

IMC-13698

194

Hawk #1

IMC-1043

195

Hawk #2

IMC-1044

196 (160 ac Placer)

JACOBS

IMC-49021

197

LAST CHANCE

IMC-19298

198 (160 ac placer)

LAST CHANCE

IMC-50579

199

Little Rose

IMC-19293

200

M&D

IMC-169336

201

MARY LYNN 1

IMC-163890

202

MARY LYNN 2

IMC-163891

203

MARY LYNN 3

IMC-163892

204

MARY LYNN 4

IMC-163893

205 (160 ac Placer)

MERCURY

IMC-50578

206

MONO

IMC-19294

207

MS-1

IMC-217422

208

MS-2

IMC-217423

209

MS-3

IMC-217424

210

MS-4

IMC-217425

211

MS-5

IMC-217426

212

MS-6

IMC-217427

213

MS-7

IMC-217428




Claim #

Claim Name

BLM #

214

MVC

IMC-169335

215

New Deal

IMC-19301

216

Noon Silver

IMC-13703

217

North Chance

IMC-13705

218

North DeLamar #4

IMC-13728

219

North DeLamar #7

IMC-13731

220

NORTHERN LIGHT

IMC-19295

221

North Summit

IMC-13709

222

Ontario

IMC-11500

223

PAYETTE

IMC-20392

224

Progress

IMC-19302

225

Rawhide A

IMC-13716

226

Red Cloud

IMC-14797

227

RG 1

IMC-140230

228

RG 3

IMC-140232

229

RG 5

IMC-140234

230

RG 7

IMC-140236

231

RG 41

IMC-140270

232

RG 43

IMC-140272

233

RG 56

IMC-140285

234

RG 57

IMC-140286

235

RG 58

IMC-140287

236

RG 59

IMC-140288

237

SC 5

IMC-160973

238

SC 6

IMC-160974

239

SC 7

IMC-160975

240

SC 10

IMC-160978

241

SKYLARK

IMC-19296

242

South DeLamar #11

IMC-11259

243

South DeLamar #11A

IMC-11260

244

South DeLamar #12

IMC-11262

245

South DeLamar #12A

IMC-11261

246

South DeLamar #13

IMC-11263

247

South DeLamar #14

IMC-11264

248

South DeLamar #16

IMC-11266

249

South DeLamar #18

IMC-11268

250

South DeLamar #54A

IMC-167689

251

South DeLamar #55

IMC-61553

252

South DeLamar #56

IMC-61554

253

South DeLamar #57

IMC-61555

254

South DeLamar #58

IMC-61556

255

South DeLamar # 59

IMC-61557

256

South DeLamar #63

IMC-61561




Claim #

Claim Name

BLM #

257

South DeLamar No. 39

IMC-79

258

South DeLamar No. 40

IMC-80

259

South DeLamar No. 41

IMC-81

260

South DeLamar No. 42

IMC-844

261

South DeLamar No. 43

IMC-845

262

South DeLamar No. 48

IMC-850

263

South DeLamar No. 49

IMC-851

264

Summercamp A

IMC-13717

265

Summit

IMC-13704

266

Vein Dike

IMC-20388

267

Vein Dyke Fraction

IMC-20387

268

Virginia

IMC-11499

269 (160 ac Placer)

WAGON 1

IMC-49023

270 (160 ac Placer)

WAGON 2

IMC-49024

271

West Henrietta #2

IMC-53365

272

West Henrietta #3

IMC-53366

273

West Henrietta #4

IMC-53367

274

West Henrietta #5

IMC-53368

275

West Henrietta #6

IMC-53369

276

West Henrietta 7

IMC-53370

277

West Henrietta 8

IMC-53371

278

West Henrietta 9

IMC-53372

279

West Henrietta 10

IMC-53373

280

West Henrietta-11

IMC-53374

281

West Henrietta-12

IMC-53375

282

West Henrietta-13

IMC-53376

283

West Henrietta-15

IMC-53378

284

West Henrietta-16

IMC-53379



Part 3:  226 Unpatented Lode Claims Owned or Controlled by DeLamar Mining Co.

Claim #

Claim Name

BLM #

1

JG-1

IMC-221535

2

JG-2

IMC-221536

3

JG-3

IMC-221537

4

JG-4

IMC-221538

5

JG-5

IMC-221539

6

JG-6

IMC-221540

7

JG-7

IMC-221541

8

JG-8

IMC-221542

9

JG-9

IMC-221543

10

JG-10

IMC-221544

11

JG-11

IMC-221545

12

JG-12

IMC-221546

13

JG-13

IMC-221547

14

JG-14

IMC-221548

15

JG-15

IMC-221549

16

JG-16

IMC-221550

17

JG-21

IMC-221551

18

JG-22

IMC-221552

19

JG-23

IMC-221553

20

JG-24

IMC-221554

21

JG-25

IMC-221555

22

JG-26

IMC-221556

23

JG-27

IMC-221557

24

JG-28

IMC-221558

25

JG-29

IMC-221559

26

JG-30

IMC-221560

27

JG-31

IMC-221561

28

JG-32

IMC-221562

29

JG-33

IMC-221563

30

JG-34

IMC-221564

31

JG-35

IMC-221565

32

JG-36

IMC-221566

33

JG-37

IMC-221567

34

JG-38

IMC-221568

35

JG-39

IMC-221569

36

JG-40

IMC-221570

37

JG-41

IMC-221571

38

JG-42

IMC-221572

39

JG-43

IMC-221573

40

JG-44

IMC-221574

41

JG-45

IMC-221575




Claim #

Claim Name

BLM #

42

JG-46

IMC-221576

43

JG-47

IMC-221577

44

JG-48

IMC-221578

45

JG-49

IMC-221579

46

JG-50

IMC-221580

47

JG-51

IMC-221581

48

JG-52

IMC-221582

49

JG-53

IMC-221583

50

JG-54

IMC-221584

51

JG-55

IMC-221585

52

JG-56

IMC-221586

53

JG-57

IMC-221587

54

JG-58

IMC-221588

55

JG-59

IMC-221589

56

JG-60

IMC-221590

57

JG-61

IMC-221591

58

JG-62

IMC-221592

59

JG-63

IMC-221593

60

JG-64

IMC-221594

61

JG-65

IMC-221595

62

JG-66

IMC-221596

63

JG-67

IMC-221597

64

JG-68

IMC-221598

65

JG-69

IMC-221599

66

JG-70

IMC-221600

67

JG-71

IMC-221601

68

JG-72

IMC-221602

69

JG-73

IMC-221603

70

JG-74

IMC-221604

71

JG-75

IMC-221605

72

JG-76

IMC-221606

73

JG-77

IMC-221607

74

JG-78

IMC-221608

75

FMS-1

IMC-223228

76

FMS-2

IMC-223229

77

FMS-3

IMC-223230

78

FMS-4

IMC-223231

79

FMS-5

IMC-223232

80

FMS-6

IMC-223233

81

FMS-7

IMC-223234

82

FMS-8

IMC-223235

83

FMS-9

IMC-223236

84

FMS-10

IMC-223237




Claim #

Claim Name

BLM #

85

FMS-11

IMC-223238

86

FMS-12

IMC-223239

87

FMS-13

IMC-223240

88

FMS-14

IMC-223241

89

FMS-15

IMC-223242

90

FMS-16

IMC-223243

91

FMS-17

IMC-223244

92

FMS-18

IMC-223245

93

FMS-19

IMC-223246

94

FMS-20

IMC-223247

95

FMS-21

IMC-223248

96

FMS-22

IMC-223249

97

JG-79

IMC-223250

98

JG-80

IMC-223251

99

JG-81

IMC-223252

100

JG-82

IMC-223253

101

JG-83

IMC-223254

102

JG-84

IMC-223255

103

JG-85

IMC-223256

104

JG-86

IMC-223257

105

JG-87

IMC-223258

106

JG-88

IMC-223259

107

JG-89

IMC-223260

108

JG-90

IMC-223261

109

JG-91

IMC-223262

110

JG-92

IMC-223263

111

JG-93

IMC-223264

112

JG-94

IMC-223265

113

JG-95

IMC-223266

114

JG-96

IMC-223267

115

JG-97

IMC-223268

116

JG-98

IMC-223269

117

JG-99

IMC-223270

118

JG-100

IMC-223271

119

JG-101

IMC-223272

120

JG-102

IMC-223273

121

JG-103

IMC-223274

122

JG-104

IMC-223275

123

JG-105

IMC-223276

124

JG-106

IMC-223277

125

JG-107

IMC-224111

126

JG-108

IMC-224112

127

JG-109

IMC-224113




Claim #

Claim Name

BLM #

128

JG-110

IMC-224114

129

JG-111

IMC-224115

130

JG-112

IMC-224116

131

JG-113

IMC-224117

132

JG-114

IMC-224118

133

JG-115

IMC-224119

134

JG-116

IMC-224120

135

JG-117

IMC-224121

136

JG-118

IMC-224122

137

JG-119

IMC-224123

138

JG-120

IMC-224124

139

JG-121

IMC-224125

140

JG-122

IMC-224126

141

JG-123

IMC-224127

142

JG-124

IMC-224128

143

JG-125

IMC-224129

144

JG-126

IMC-224130

145

JG-127

IMC-224131

146

JG-128

IMC-224132

147

JG-129

IMC-224133

148

JG-130

IMC-224134

149

JG-131

IMC-224135

150

JG-132

IMC-224136

151

JG-133

IMC-224137

152

JG-134

IMC-224138

153

JG-135

IMC-224139

154

FMS-23

IMC-224140

155

FMS-24

IMC-224141

156

FMS-25

IMC-224142

157

FMS-26

IMC-224143

158

FMS-27

IMC-224144

159

FMS-28

IMC-224145

160

FMS-29

IMC-224146

161

FMS-30

IMC-224147

162

FMS-31

IMC-224148

163

FMS-32

IMC-224149

164

FMS-33

IMC-224150

165

FMS-34

IMC-224151

166

FMS-35

IMC-224152

167

FMS-36

IMC-224153

168

FMS-37

IMC-224154

169

FMS-38

IMC-224155

170

FMS-39

IMC-224156




Claim #

Claim Name

BLM #

171

FMS-40

IMC-224157

172

FMS-41

IMC-224158

173

FMS-42

IMC-224159

174

FMS-43

IMC-224160

175

FMS-44

IMC-224161

176

FMS-45

IMC-224162

177

FMS-46

IMC-224163

178

FMS-47

IMC-224164

179

FMS-48

IMC-224165

180

FMS-49

IMC-224166

181

FMS-50

IMC-224167

182

FMS-51

IMC-224168

183

FMS-52

IMC-224169

184

FMS-53

IMC-224170

185

FMS-54

IMC-224171

186

FMS-55

IMC-224172

187

FMS-56

IMC-224173

188

FMS-57

IMC-224174

189

FMS-58

IMC-224175

190

FMS-59

IMC-224176

191

FMS-60

IMC-224177

192

FMS-61

IMC-224178

193

FMS-62

IMC-224179

194

FMS-63

IMC-224180

195

FMS-64

IMC-224181

196

FMS-65

IMC-224182

197

FMS-66

IMC-224183

198

FMS-67

IMC-224184

199

FMS-68

IMC-224185

200

FMS-69

IMC-224186

201

FMS-70

IMC-224187

202

FMS-71

IMC-224188

203

FMS-72

IMC-224189

204

FMS-73

IMC-224190

205

FMS-74

IMC-224191

206

FMS-75

IMC-224192

207

FMS-76

IMC-224193

208

FMS-77

IMC-224194

209

FMS-78

IMC-224195

210

FMS-79

IMC-224196

211

FMS-80

IMC-224197

212

FMS-81

IMC-224198

213

FMS-82

IMC-224199




Claim #

Claim Name

BLM #

214

FMS-83

IMC-224200

215

FMS-84

IMC-224201

216

FMS-85

IMC-224202

217

FMS-86

IMC-224203

218

FMS-87

IMC-224204

219

FMS-88

IMC-224205

220

FMS-89

IMC-224206

221

FMS-90

IMC-224207

222

FMS-91

IMC-224208

223

FMS-92

IMC-224209

224

FMS-93

IMC-224210

225

FMS-94

IMC-224211

226

FMS-95

IMC-224212



Part 4:  165 Unpatented Lode Claims Owned or Controlled by DeLamar Mining Co.

Claim #

Claim Name

BLM #

Location Date

1

JK 1

To be timely filed

16-Apr-19

2

JK 2

 

16-Apr-19

3

JK 3

 

16-Apr-19

4

JK 4

 

16-Apr-19

5

JK 5

 

16-Apr-19

6

JK 6

 

16-Apr-19

7

JK 7

 

16-Apr-19

8

JK 8

 

16-Apr-19

9

JK 9

 

16-Apr-19

10

JK 10

 

16-Apr-19

11

JK 11

 

16-Apr-19

12

JK 12

 

16-Apr-19

13

JK 13

 

16-Apr-19

14

JK 14

 

16-Apr-19

15

JK 15

 

16-Apr-19

16

JK 16

 

16-Apr-19

17

JK 17

 

17-Apr-19

18

JK 18

 

17-Apr-19

19

JK 19

 

17-Apr-19

20

JK 20

 

17-Apr-19

21

JK 21

 

17-Apr-19

22

JK 22

 

17-Apr-19

23

JK 23

 

17-Apr-19

24

JK 24

 

17-Apr-19

25

JK 25

 

17-Apr-19

26

JK 26

 

17-Apr-19

27

JK 27

 

17-Apr-19

28

JK 28

 

17-Apr-19

29

JK 29

 

17-Apr-19

30

JK 30

 

17-Apr-19

31

JK 31

 

17-Apr-19

32

JK 32

 

17-Apr-19

33

JK 33

 

17-Apr-19

34

JK 34

 

17-Apr-19

35

JK 35

 

17-Apr-19

36

JK 36

 

17-Apr-19

37

JK 37

 

17-Apr-19

38

JK 38

 

17-Apr-19

39

JK 39

 

17-Apr-19

40

JK 40

 

17-Apr-19

41

JK 41

 

17-Apr-19




Claim #

Claim Name

BLM #

Location Date

42

JK 42

 

17-Apr-19

43

JK 43

 

17-Apr-19

44

JK 44

 

17-Apr-19

45

JK 45

 

17-Apr-19

46

JK 46

 

17-Apr-19

47

JK 47

 

17-Apr-19

48

JK 48

 

17-Apr-19

49

JK 49

 

17-Apr-19

50

JK 50

 

17-Apr-19

51

JK 51

 

17-Apr-19

52

JK 52

 

17-Apr-19

53

JK 53

 

17-Apr-19

54

JK 54

 

17-Apr-19

55

JK 55

 

17-Apr-19

56

JK 56

 

17-Apr-19

57

JK 57

 

17-Apr-19

58

JK 58

 

17-Apr-19

59

JK 59

 

17-Apr-19

60

JK 60

 

17-Apr-19

61

JK 61

 

17-Apr-19

62

JK 62

 

17-Apr-19

63

JK 63

 

17-Apr-19

64

JK 64

 

17-Apr-19

65

JK 65

 

17-Apr-19

66

JK 66

 

17-Apr-19

67

JK 67

 

17-Apr-19

68

JK 68

 

17-Apr-19

69

JK 69

 

17-Apr-19

70

JK 70

 

17-Apr-19

71

JK 71

 

17-Apr-19

72

JK 72

 

17-Apr-19

73

JK 73

 

17-Apr-19

74

JK 74

 

17-Apr-19

75

JK 75

 

17-Apr-19

76

JK 76

 

17-Apr-19

77

JK 77

 

17-Apr-19

78

JK 78

 

17-Apr-19

79

JK 79

 

17-Apr-19

80

JK 80

 

17-Apr-19

81

JK 81

 

17-Apr-19

82

JK 82

 

17-Apr-19

83

JK 83

 

17-Apr-19

84

JK 84

 

17-Apr-19




Claim #

Claim Name

BLM #

Location Date

85

JK 85

 

17-Apr-19

86

JK 86

 

17-Apr-19

87

JK 87

 

17-Apr-19

88

JK 88

 

17-Apr-19

89

JK 89

 

16-Apr-19

90

JK 90

 

16-Apr-19

91

JK 91

 

16-Apr-19

92

JK 92

 

16-Apr-19

93

JK 93

 

16-Apr-19

94

JK 94

 

16-Apr-19

95

JK 95

 

16-Apr-19

96

JK 96

 

16-Apr-19

97

JK 97

 

16-Apr-19

98

JK 98

 

16-Apr-19

99

JK 99

 

16-Apr-19

100

JK 100

 

16-Apr-19

101

JK 101

 

16-Apr-19

102

JK 102

 

16-Apr-19

103

JK 103

 

16-Apr-19

104

JK 104

 

16-Apr-19

105

JK 105

 

16-Apr-19

106

JK 106

 

16-Apr-19

107

JK 107

 

16-Apr-19

108

JK 108

 

16-Apr-19

109

JK 109

 

16-Apr-19

110

JK 110

 

16-Apr-19

111

JK 111

 

16-Apr-19

112

JK 112

 

16-Apr-19

113

JK 113

 

16-Apr-19

114

JK 114

 

16-Apr-19

115

JK 115

 

16-Apr-19

116

JK 116

 

16-Apr-19

117

JK 117

 

16-Apr-19

118

JK 118

 

16-Apr-19

119

JK 119

 

16-Apr-19

120

JK 120

 

16-Apr-19

121

JK 121

 

16-Apr-19

122

JK 122

 

16-Apr-19

123

JK 123

 

16-Apr-19

124

JK 124

 

16-Apr-19

125

JK 125

 

16-Apr-19

126

JK 126

 

16-Apr-19

127

JK 127

 

16-Apr-19




Claim #

Claim Name

BLM #

Location Date

128

JK 128

 

16-Apr-19

129

JK 129

 

16-Apr-19

130

JK 130

 

16-Apr-19

131

JK 131

 

16-Apr-19

132

JK 132

 

16-Apr-19

133

JK 133

 

16-Apr-19

134

JK 134

 

16-Apr-19

135

JK 135

 

16-Apr-19

136

JK 136

 

16-Apr-19

137

JK 137

 

16-Apr-19

138

JK 138

 

16-Apr-19

139

JK 139

 

16-Apr-19

140

JK 140

 

16-Apr-19

141

JK 141

 

16-Apr-19

142

JK 142

 

16-Apr-19

143

JK 143

 

16-Apr-19

144

JK 144

 

16-Apr-19

145

JK 145

 

16-Apr-19

146

JK 146

 

16-Apr-19

147

JK 147

 

16-Apr-19

148

JK 148

 

16-Apr-19

149

JK 149

 

16-Apr-19

150

JK 150

 

16-Apr-19

151

JK 151

 

16-Apr-19

152

JK 152

 

16-Apr-19

153

JK 153

 

16-Apr-19

154

JK 154

 

16-Apr-19

155

JK 155

 

16-Apr-19

156

JK 156

 

16-Apr-19

157

JK 157

 

16-Apr-19

158

JK 158

 

16-Apr-19

159

JK 159

 

16-Apr-19

160

JK 160

 

16-Apr-19

161

JK 161

 

16-Apr-19

162

JK 162

 

16-Apr-19

163

JK 163

 

16-Apr-19

164

JK 164

 

16-Apr-19

165

JK 165

 

16-Apr-19

 

Appendix A Page 21 of 21

Appendix B

Metallurgical Test Results


DELAMAR AREA

Table DLM1. - Drill Hole Composite Summary, DeLamar 2018/2019 Testing

Area

Drill
Hole

Interval (m)1 

Composites

from

to

Oxidized

Transitional

UnOxidized

Mixed

North DeLamar

IDM18_025

28.596

33.528

0

1

0

0

North DeLamar

IDM18_039

55.169

74.676

0

0

1

0

North DeLamar

IDM18_017

19.507

27.127

0

1

0

0

North DeLamar

IDM18_027

15.24

60.655

0

1

0

1

North DeLamar

IDM18_028

23.317

57.607

1

1

1

0

Glen Silver

IDM18_009

18.288

164.592

3

0

2

2

Glen Silver

IDM18_0133

54.559

72.131

0

0

1

0

Glen Silver

IDM18_023

41.453

127.559

1

0

4

0

Glen Silver

IDM18_030

96.926

155.875

0

0

1

0

Sommercamp

IDM18_029

19.812

213.36

1

0

5

0

Sullivan Gulch

IDM18_005

92.964

274.32

0

1

8

2

Sullivan Gulch

IDM18_007

185.928

335.28

0

0

8

0

Sullivan Gulch

IDM18_008

71.628

265.176

0

0

5

0

Sullivan Gulch

IDM18_011

71.628

266.7

0

0

8

0

Sullivan Gulch

IDM18_012

301.752

359.664

0

0

2

0

Sullivan Gulch

IDM18_014

166.116

396.24

0

0

13

0

Sullivan Gulch

IDM18_046

275.844

381

0

0

8

0

Sullivan Gulch

IDM18_047

263.652

379.476

0

0

4

0

Sullivan Gulch

IDM18_048

115.824

428.244

0

0

11

0

Sullivan Gulch

IDM18_052

206.959

342.748

0

0

1

0

Sullivan Gulch

IDM18_055

190.043

204.216

0

0

1

0

Sullivan Gulch North

IDM18_053

109.423

118.567

0

0

1

0

Sullivan Gulch North

IDM18_054

80.315

88.087

0

0

1

0

DeLamar Deposit Total

 

 

 

6

5

86

5

1) Not all core within range was used for composites. Samples were composited based on oxidation, lithology, alteration, grade and continuity.

2) Composite contains more material from multiple oxidation classes.

3) Contains drill core from both holes IDM18_13 and IDM18_30.


Table DLM2. - Summary Bottle Roll Test Results, 80%-1.7mm Feed Size,
96 Hour Leach (no interim sampling) at 40% Solids and 1.0 g NaCN/L, DeLamar 2018-2019 Samples

Sample Description

Au
Recovery
(%)

Head
Grade
(g Au/t)

Ag
Recovery
(%)

Head
Grade
(g Ag/t)

Reagent Requirements

(kg/t)

Composite

Type

Oxidation

Drill
Hole

Interval (m)

NaCN
Conc.

Lime
Added

from

to

DeLamar Area

 

 

 

 

 

 

 

 

 

 

 

4307-B

Bulk Sample

ox

 

 

 

75.0

0.24

40.0

5

0.11

4.2

4307-162

Core

ox

IDM18_028

23.47

29.718

58.1

0.31

41.7

36

0.22

2.3

4307-163

Core

ox

IDM18_028

34.138

39.3

27.5

0.40

45.7

35

0.22

2.3

4307-A

Bulk Sample

trans

N/A

 

 

66.4

1.10

53.3

15

0.48

7.4

4307-C

Bulk Sample

trans

N/A

 

 

81.0

0.42

43.3

30

0.14

3.4

4307-D

Bulk Sample

trans

N/A

 

 

56.5

0.62

30.0

10

0.17

3.7

4307-161

Core

trans

IDM18_017

19.507

27.1

83.3

0.18

55.7

70

0.15

2.1

4307-144

Core

unox

IDM18_025

28.651

33.5

48.4

0.31

36.8

38

0.15

2.0

4307-067

AR

unox

IDM18_039

55.169

74.7

4.7

0.43

18.9

53

0.07

1.5

North DeLamar

 

 

 

 

 

 

 

 

 

 

 

4307-059

AR

trans

IDM18_027

15.24

31.2

13.6

0.44

42.9

49

0.30

2.0

4307-060

AR

mixed (trans/unox) 

IDM18_027

35.966

60.7

20.0

0.40

45.6

57

0.45

2.8

Glen Silver

 

 

 

 

 

 

 

 

 

 

 

4307-048

AR

ox

IDM18_009

18.288

38.1

72.9

0.48

45.5

11

0.23

5.0

4307-049

AR

ox

IDM18_009

53.34

62.5

83.7

0.43

35.7

14

0.23

2.0

4307-050

AR

ox

IDM18_009

64.008

82.3

90.5

0.63

37.5

8

0.15

2.0

4307-055

AR

ox

IDM18_023

41.453

52.4

80.8

0.52

42.3

26

0.22

2.0

4307-051

AR

mixed (ox/trans)

IDM18_009

89.916

97.5

75.0

0.52

33.3

6

0.15

2.0

4307-052

AR

mixed (trans/unox) 

IDM18_009

97.536

108.2

25.6

0.43

20.0

5

0.37

5.1

4307-053

AR

unox

IDM18_009

111.252

121.9

14.0

0.43

16.7

6

0.30

5.9

4307-054

AR

unox

IDM18_009

146.304

164.6

13.2

0.38

20.0

5

0.30

2.6

4307-056

AR

unox

IDM18_023

66.446

85.8

7.4

0.68

14.3

7

0.30

5.0

4307-057

AR

unox

IDM18_023

87.782

116.7

6.6

1.22

10.0

10

0.45

2.7

4307-058

AR

unox

IDM18_023

116.738

127.6

7.8

1.41

18.2

11

0.45

2.0

Sommercamp

 

 

 

 

 

 

 

 

 

 

 

4307-061

AR

ox

IDM18_029

19.812

29.0

80.0

0.30

42.1

19

0.15

5.0

4307-062

AR

unox

IDM18_029

118.872

131.1

7.0

0.43

14.3

4

0.30

1.5

4307-063

AR

unox

IDM18_029

135.636

147.8

11.3

1.59

34.1

44

0.30

2.0

4307-064

AR

unox

IDM18_029

152.4

172.2

17.8

0.45

31.3

16

0.45

2.0

4307-065

AR

unox

IDM18_029

172.212

189.0

19.3

0.57

25.0

8

0.38

2.0

4307-066

AR

unox

IDM18_029

196.596

213.4

13.5

0.37

35.7

14

0.08

1.8

Note: AR denotes assay reject composites. Core denotes split drill core composites. Ox denotes oxidized; trans denotes transitional; unox denotes unoxidized. 


Table DLM3. - Bottle Roll Tests, 80%-1.7mm Feed Size,

96 Hour Leach Time (no interim sampling), 40% Solids, 1.0 g NaCN/L, Sullivan Gulch 2018-2019 Composites

 

Sample Description

Au
Recovery Grade
(%)

Head
(g Au/t)

Ag
Recovery Grade
(%)

Head
(g Ag/t)

Reagent Requirements

(kg/t)

Composite

Type

Oxidation

Drill
Hole

Interval (m)

NaCN
Conc.

Lime
Added

from

to

4307-001

AR

mixed (unox/ox) 

IDM18_005

92.964

106.68

47.6

0.42

50.0

10

0.30

2.3

4307-002

AR

mixed (ox/trans) 

IDM18_005

106.68

121.92

55.3

0.85

30.0

20

0.15

1.0

4307-003

AR

trans

IDM18_005

121.92

129.54

76.7

0.43

50.0

16

<0.07

1.5

4307-004

AR

unox

IDM18_005

129.54

152.4

49.3

0.71

28.3

166

0.38

2.5

4307-005

AR

unox

IDM18_005

152.4

167.64

16.2

1.11

37.8

45

0.15

1.0

4307-006

AR

unox

IDM18_005

167.64

182.88

21.2

0.66

40.0

50

0.15

1.0

4307-007

AR

unox

IDM18_005

182.88

198.12

20.0

0.45

38.5

26

0.15

1.1

4307-008

AR

unox

IDM18_005

198.12

213.36

19.4

0.31

42.1

19

0.15

1.3

4307-009

AR

unox

IDM18_005

213.36

228.6

23.7

0.38

37.5

24

0.16

1.0

4307-010

AR

unox

IDM18_005

228.6

243.84

37.5

0.32

43.8

32

0.15

1.5

4307-011

AR

unox

IDM18_005

248.412

274.32

42.4

0.33

27.3

11

0.08

1.2

4307-012

AR

unox

IDM18_007

185.928

196.596

12.4

2.01

37.3

59

0.37

2.0

4307-013

AR

unox

IDM18_007

196.596

213.36

27.3

0.88

26.5

83

0.15

2.7

4307-014

AR

unox

IDM18_007

213.36

236.22

26.2

0.42

28.9

45

<0.07

4.3

4307-015

AR

unox

IDM18_007

236.22

259.08

33.3

0.33

50.0

30

0.45

3.9

4307-016

AR

unox

IDM18_007

259.08

281.94

46.4

0.69

35.6

45

0.30

2.7

4307-017

AR

unox

IDM18_007

281.94

301.752

26.2

0.42

26.3

57

0.15

1.9

4307-018

AR

unox

IDM18_007

301.752

320

27.3

0.33

37.1

35

0.22

1.7

4307-019

AR

unox

IDM18_007

320

335

28.6

0.63

38.5

39

0.30

1.8

4307-020

AR

unox

IDM18_008

71.628

86.868

30.0

0.30

42.9

7

0.15

2.4

4307-021

AR

unox

IDM18_008

97.536

112.776

30.4

0.46

48.6

37

0.15

2.5

4307-022

AR

unox

IDM18_008

112.776

128.016

38.6

0.44

38.1

21

0.30

2.9

4307-023

AR

unox

IDM18_008

128.016

143.256

27.5

0.40

27.3

326

0.30

3.2

4307-024

AR

unox

IDM18_008

257.556

265.176

0.0

0.30

33.3

12

0.08

1.0

4307-025

AR

unox

IDM18_011

71.628

83.82

48.6

3.13

32.1

442

0.38

1.0

4307-026

AR

unox

IDM18_011

83.82

99.06

20.5

0.44

33.3

51

0.15

1.0

4307-027

AR

unox

IDM18_011

99.06

114.3

15.8

0.76

27.3

143

0.30

1.0

4307-028

AR

unox

IDM18_011

114.3

135.636

31.1

0.45

39.5

43

0.30

1.5

4307-029

AR

unox

IDM18_011

135.636

147.828

38.5

2.34

31.2

452

0.75

3.3

4307-030

AR

unox

IDM18_011

153.924

179.832

40.5

0.37

39.3

28

0.15

1.8

4307-031

AR

unox

IDM18_011

185.928

222.504

21.1

0.38

40.6

32

0.15

1.0

4307-032

AR

unox

IDM18_011

233.172

266.7

17.4

0.46

35.1

37

0.23

1.0

4307-033

AR

unox

IDM18_012

301.752

323

40.3

0.67

32.4

37

0.15

1.0

4307-034

AR

unox

IDM18_012

337

360

68.9

0.61

50.0

8

0.15

1.0

4307-035

AR

unox

IDM18_014

166.116

182.88

18.8

0.32

44.4

54

0.30

2.9

4307-036

AR

unox

IDM18_014

182.88

204.216

25.3

0.95

31.3

64

0.38

5.0

4307-037

AR

unox

IDM18_014

204.216

210.312

83.4

6.32

44.7

226

0.37

8.1

4307-038

AR

unox

IDM18_014

210.312

228.6

49.7

1.57

40.7

150

0.23

7.4

4307-039

AR

unox

IDM18_014

228.6

243.84

45.7

2.47

37.0

73

0.67

5.4

4307-040

AR

unox

IDM18_014

243.84

259.08

37.4

2.06

34.2

202

0.07

3.3

Note: AR denotes assay reject composites. Core denotes split drill core composites. Ox denotes oxidized; trans denotes transitional; unox denotes unoxidized.


Table DLM4. - Whole Ore Milling/Cyanidation (Bottle Roll) Tests, DeLamar 2018-2019 Drll Core Composites,
80%-75µm Feed Size, 72 Hour Leach Time (with interim sampling and reagent maintenance), 40% Solids, 1.0 g NaCN/L

Sample Description

Au
Recovery
(%)

Head
Grade
(g Au/t)

Ag
Recovery
(%)

Head
Grade
(g Ag/t)

Reagent Requirements

(kg/t)

Composite

Zone

Type

Oxidation

Drill
Hole

Interval (m)

NaCN
Conc.

Lime
Added

from

to

4307-162

North DeLamar

Core

ox

IDM18_028

23.317

29.718

61.8

0.34

80.0

35

1.54

2.8

4307-144

North DeLamar

Core

trans

IDM18_025

28.596

33.528

64.3

0.42

61.1

36

0.62

3.4

4307-161

North DeLamar

Core

trans

IDM18_017

19.507

27.127

88.9

0.18

84.4

77

1.00

2.7

4307-163

North DeLamar

Core

trans

IDM18_028

34.138

39.319

34.3

0.35

76.5

34

1.78

2.5

4307-164

North DeLamar

Core

unox

IDM18_028

48.463

57.607

59.4

0.64

76.7

30

1.56

4.2

4307-119

Glen Silver

AR

unox

IDM18_023

87.63

127.559

12.5

1.20

22.2

9

0.90

4.3

4307-145/146MC

Glen Silver

Core

unox

IDM18_013/IDM18_030

54.559

72.131

33.3

0.75

50.0

12

0.64

3.0

4307-147/148MC

Glen Silver

Core

unox

IDM18_030

97.231

155.875

15.1

0.53

44.4

9

0.17

2.2

4307-005

Sullivan Gulch

AR

unox

IDM18_005

152.4

167.64

21.3

1.08

52.4

42

0.84

2.3

4307-012

Sullivan Gulch

AR

unox

IDM18_007

185.928

196.596

19.3

1.81

54.5

66

0.80

4.5

4307-025

Sullivan Gulch

AR

unox

IDM18_011

71.628

83.82

59.9

3.09

32.7

505

0.87

2.1

4307-029

Sullivan Gulch

AR

unox

IDM18_011

135.636

147.828

45.0

2.29

30.6

480

1.49

5.4

4307-046

Sullivan Gulch

AR

unox

IDM18_014

372

396

67.3

1.10

47.4

57

0.70

2.6

4307-047

Sullivan Gulch

AR

unox

IDM18_014

204.216

272.796

70.7

2.46

56.2

153

1.86

5.7

4307-120

Sullivan Gulch

AR

unox

IDM18_046

275.844

325

81.1

5.19

50.0

24

0.17

2.0

4307-121

Sullivan Gulch

AR

unox

IDM18_047

263.652

283.464

63.2

1.71

44.4

153

0.86

2.7

4307-149-153MC

Sullivan Gulch

Core

unox

IDM18_052

206.959

342.7

45.3

1.06

41.3

46

0.24

3.0

4307-154

Sullivan Gulch

Core

unox

IDM18_055

190.043

204.216

47.8

0.69

28.6

28

0.17

2.0

4307-165

Sullivan Gulch North

Core

unox

IDM18_053

109.423

118.567

20.7

0.29

40.0

15

1.50

5.1

4307-166

Sullivan Gulch North

Core

unox

IDM18_054

80.315

88.087

40.0

0.35

29.3

41

0.23

1.2

Note: AR denotes assay reject composites. Core denotes split drill core composites.


Table DLM5. - Summary Results, Whole Ore Gravity Concentration with
Flotation of Gravity Rougher Tailings, DeLamar 2018-2019 Composites, 80%-75µm Feed Size

Area

Sullivan Gulch

Glen Silver

Composite

4307-005 

4307-012  4307-025  4307-029  4307-046 4307-047  4307-120  4307-121

4307-119

Grav. Test No.

G-1

G-2

G-3

G-4

G-5

G-6

G-8

G-9

G-7

Flot. Test No.

F-7

F-8

F-9

F-10

F-11

F-12

F-14

F-15

F-13

Head Assay (% Sulfide Sulfur)

1.04

2.82

2.01

2.57

8.44

2.66*

2.66*

2.66*

2.66*

Weight (%)

 

 

 

 

 

 

 

 

 

Gravity Cl. Conc.

0.7

1.3

1.2

1.0

2.1

0.6

1.1

1.4

1.2

Gravity Cl. Tail

2.2

3.2

3.1

2.7

3.5

2.8

1.6

2.0

2.5

Flotation Cl. Conc.

7.9

4.3

6.0

10.2

11.5

12.4

3.3

4.7

4.0

Combined (Grav.+ Flot. Cl. Conc.)

10.1

7.5

9.1

12.9

15.0

15.2

4.9

6.7

6.5

Flotation Cl. Tail

15.3

14.2

33.7

9.7

29.9

10.0

5.5

6.7

19.4

Combined (Grav.+ Flot. Ro. Conc.)

25.4

21.7

42.8

22.6

44.9

25.2

10.4

13.4

25.9

Flotation Ro. Tail

73.9

77.0

56.0

76.4

53.0

74.2

88.5

85.3

72.9

Grade (g Au/t)

 

 

 

 

 

 

 

 

 

Gravity Cl. Conc.

18.2

23.9

95.4

32.4

19.5

94.8

185.0

54.2

16.0

Gravity Cl. Tail

2.43

5.68

3.87

3.39

5.28

11.40

19.50

3.37

4.50

Flotation Cl. Conc.

6.07

10.80

9.77

11.60

3.37

10.70

46.40

9.38

6.91

Combined (Grav.+ Flot. Cl. Conc.)

6.54

12.76

20.34

12.39

6.55

14.57

79.15

18.91

8.94

Flotation Cl. Tail

1.68

2.83

2.02

3.64

0.54

1.49

19.30

1.37

1.97

Combined (Grav.+ Flot. Ro. Conc.)

3.61

6.26

5.92

8.64

2.55

9.38

47.50

10.14

3.72

Flotation Ro. Tail

0.20

0.57

0.72

0.29

0.15

0.11

0.17

0.23

0.46

Calculated Head

1.07

1.80

2.93

2.17

1.22

2.45

5.09

1.56

1.30

Grade (g Ag/t)

 

 

 

 

 

 

 

 

 

Gravity Cl. Conc.

610

730

9,470

5,950

447

2,810

483

5,820

104

Gravity Cl. Tail

107

174

723

444

266

534

77

393

31

Flotation Cl. Conc.

229

420

2,610

3,230

172

796

320

1,530

61

Combined (Grav.+ Flot. Cl. Conc.)

245

442

3,216

3,108

257

859

349

2,407

69

Flotation Cl. Tail

60

86

426

541

40

120

104

143

17

Combined (Grav.+ Flot. Ro. Conc.)

133

209

1,019

2,006

112

566

219

1,275

30

Flotation Ro. Tail

9

16

100

14

9

10

1

12

3

Calculated Head

41

58

492

464

55

150

24

181

10

Au Distribution (% of total)

 

 

 

 

 

 

 

 

 

Gravity Cl. Conc.

12.0

17.3

39.0

14.9

33.5

23.3

40.0

48.8

14.8

Gravity Cl. Tail

5.0

10.1

4.1

4.2

15.1

13.1

6.1

4.3

8.7

Flotation Cl. Conc.

45.0

25.8

20.0

54.4

31.7

54.2

30.1

28.4

21.3

Combined (Grav.+ Flot. Cl. Conc.)

62.0

53.2

63.1

73.5

80.3

90.6

76.2

81.5

44.8

Flotation Cl. Tail

24.1

22.4

23.2

16.3

13.2

6.1

20.9

5.9

29.4

Combined (Grav.+ Flot. Ro. Conc.)

86.1

75.6

86.3

89.8

93.5

96.7

97.1

87.4

74.2

Flotation Ro. Tail

13.9

24.4

13.7

10.2

6.5

3.3

3.0

12.6

25.8

Ag Distribution (% of total)

 

 

 

 

 

 

 

 

 

Gravity Cl. Conc.

10.5

16.5

23.1

12.8

17.0

11.2

22.4

45.0

12.5

Gravity Cl. Tail

5.8

9.7

4.6

2.6

16.9

10.0

5.2

4.3

7.8

Flotation Cl. Conc.

44.6

31.3

31.8

71.0

35.8

65.8

44.5

39.7

24.5

Combined (Grav.+ Flot. Cl. Conc.)

60.9

57.5

59.5

86.4

69.7

87.0

72.1

89.0

44.8

Flotation Cl. Tail

22.7

21.2

29.1

11.3

21.7

8.0

24.1

5.3

33.2

Combined (Grav.+ Flot. Ro. Conc.)

83.6

78.7

88.6

97.7

91.4

95.0

96.2

94.3

78.0

Flotation Ro. Tail

16.4

21.3

11.4

2.3

8.6

5.0

3.7

5.7

22.0

* Predicted total sulfur head grade.


Table DLM6. - Summary Flotation Test Results, Optimization Testing, 2018-2019 McClelland Testing

 

Flotation Cleaner Concentrate 

Flotation Rougher Concentrate

 

 

 

 

Mass

Grade

Recovery

Mass

Grade

Recovery

Head Grade

Feed Size

(%)

(g Au/t)

(g Ag/t)

(% Au)

(% Ag)

(%)

(g Au/t)

(g Ag/t)

(% Au)

(% Ag)

(g Au/t) 

(g Ag/t)

(% S=)

4307-149-153MC; Sullivan Gulch; IDM18_052; 679' - 1,124'; unox; Tql lithology; mixed alteration

 

 

 

 

 

80%-212µm

9.8

8.8

377

82.2

80.1

15.5

6.20

287

91.9

96.3

1.05

46

2.17

80%-150µm

4.1

18.2

826

73.4

82.5

12.6

7.51

312

93.1

95.7

1.02

41

2.21

80%-75µm

7.7

9.8

545

69.4

90.2

17.8

5.70

252

93.2

96.5

1.09

47

2.28

           

4307-154; Sullivan Gulch; IDM18_055; 623.5' - 670'; unox; Tpl lithology; mixed alteration

 

 

 

 

 

80%-212µm

7.7

10.7

249

80.8

86.4

19.5

4.69

106

89.7

92.8

1.02

22

3.76

80%-150µm

8.2

8.2

255

87.3

86.0

21.3

3.42

110

94.8

96.8

0.77

24

3.85

80%-75µm

11.4

5.0

206

85.6

92.5

25.9

2.42

95

94.4

97.1

0.66

25

3.31

         

4307-145/146MC; Glen Silver; IDM18_013/IDM18_030; 179' - 236.65'; unox; Tpr lithology; mixed alteration

 

 

 

 

80%-75µm

5.0

7.2

128

48.6

54.1

19.7

2.77

44

73.9

72.8

0.74

12

1.26

80%-45µm

4.4

10.2

151

57.9

60.0

9.6

5.82

87

72.0

75.5

0.78

11

1.32

           

4307-147/148MC; Glen Silver; IDM18_030; 319' - 511.4'; unox; Tql lithology; mixed alteration

 

 

 

 

 

80%-75µm

6.1

5.1

99

60.7

79.5

13.8

2.83

49

76.4

88.6

0.51

8

1.33

80%-45µm

3.6

6.1

148

45.7

66.5

8.8

3.74

81

67.9

88.6

0.48

8

1.23

 


FLORIDA MOUNTAIN AREA

Table FM1. - Drill Hole Composite Summary, Florida Mountain 2018-2019 Testing

Area

Drill
Hole

Interval (m)1

Composites 

from

to

Oxidized

Transitional

UnOxidized

Mixed2

Florida Mountain

IFM18_001

5.639

16.916

0

1

0

0

Florida Mountain

IFM_18_001A

11.735

313.334

0

7

2

1

Florida Mountain

IFM18_003

0

161.849

2

2

6

1

Florida Mountain

IFM18_004

122.53

191.414

0

0

5

0

Florida Mountain

IFM18_010

17.678

169.469

0

7

4

0

Florida Mountain

IFM18_012

4.877

119.786

0

2

1

0

Florida Mountain

IFM18_025

10.058

39.014

0

3

0

0

Florida Mountain

IFM18_026A

14.478

111.862

0

2

4

0

Florida Mountain

IFM_18_0033

122.53

169.469

0

0

1

0

 

Total

 

 

2

24

23

2

1) Not all core within range was used for composites. Samples were composited based on oxidation, lithology, alteration, grade and continuity.

2) Composite contains more material from multiple oxidation classes.

3) Contains drill core from holes IFM18_003, IFM18_004 and IFM18_010.


Table FM2. - Summary Bottle Roll Test Results, 80%-1.7mm Feed Size, 96 Hour Leach Time at 40% Solids and
1.0 g NaCN/L, Florida Mountain 2018-2019 Composites

Sample Description

 

 

 

 

Reagent Requirements

Drill

 

   

Interval (m)

Au

Head

Ag

Head

(kg/t)

Recovery

Grade

Recovery

Grade

NaCN

Lime

Composite

Type

Oxidation

Hole

from

to

(%)

(g Au/t)

(%)

(g Ag/t)

Conc.

Added

4307-126

Core

ox

IFM18_003

0

32.918

83.6

0.73

37.5

8

0.16

1.0

4307-100

AR

ox

IFM18_003

3.962

32.918

74.5

0.47

66.7

6

0.08

1.0

4307-096

AR

trans

IFM18_001

5.639

16.916

82.7

1.27

44.0

25

0.15

1.4

4307-122

Core

trans

IFM18_001A

11.735

20.269

89.4

0.47

62.5

16

0.24

1.1

4307-097

AR

trans

IFM18_001A

39.014

56.388

69.1

0.68

53.7

67

0.23

1.3

4307-123

Core

trans

IFM18_001A

39.014

56.388

83.9

0.31

58.8

80

0.21

1.3

4307-098

AR

trans

IFM18_001A

66.446

87.478

40.6

0.96

33.3

3

0.07

1.0

4307-124

Core

trans

IFM18_001A

66.446

81.686

60.0

0.40

25.0

4

0.08

0.8

4307-101

AR

trans

IFM18_003

43.586

71.171

85.7

0.70

35.3

17

0.15

1.2

4307-127

Core

trans

IFM18_003

43.586

71.171

89.7

0.78

27.3

22

0.24

1.2

4307-107

AR

trans

IFM18_010

17.678

32.918

88.0

0.50

53.3

15

0.00

0.8

4307-129

Core

trans

IFM18_010

17.678

32.918

73.9

0.46

50.0

14

0.19

0.7

4307-108

AR

trans

IFM18_010

32.918

51.206

91.1

0.45

46.2

13

0.00

0.8

4307-130

Core

trans

IFM18_010

32.918

51.206

75.5

0.53

47.7

44

0.14

1.8

4307-109

AR

trans

IFM18_010

51.206

69.494

94.6

0.92

50.0

14

0.14

1.1

4307-131

Core

trans

IFM18_010

51.206

69.494

85.6

1.04

41.7

12

0.18

0.9

4307-132

Core

trans

IFM18_012

4.877

29.87

86.0

0.86

47.8

136

0.28

1.1

4307-112

AR

trans

IFM18_012

10.363

29.87

93.0

1.15

38.9

190

0.29

1.2

4307-114

AR

trans

IFM18_025

10.058

26.822

89.4

0.66

33.3

9

0.15

2.5

4307-133

Core

trans

IFM18_025

10.058

39.014

80.9

0.47

37.5

16

0.11

0.8

4307-115

AR

trans

IFM18_025

26.822

39.014

86.9

0.61

54.3

116

0.67

1.2

4307-116

AR

trans

IFM18_026A

14.478

29.413

87.2

1.95

57.3

124

0.29

1.3

4307-134

Core

trans

IFM18_026A

14.478

29.413

85.3

2.31

62.0

79

0.10

1.3

4307-099

AR

unox

IFM18_001A

291.998

313

72.1

1.54

25.7

249

0.15

1.0

4307-125

Core

unox

IFM18_001A

291.998

313

84.3

0.70

19.0

274

0.28

0.4

4307-102

AR

unox

IFM18_003 

109.118  119.482

19.0

0.42

25.0

4

0.07

2.1

4307-103

AR

unox

IFM18_003 

122.834  147.371

39.1

0.46

20.0

5

0.22

1.6

4307-128

Core

unox

IFM18_003 

122.834  131.978

13.9

0.36

25.0

4

0.31

1.0

4307-135

Core

unox

IFM18_003 

122.834  161.849

35.9

0.64

20.0

10

0.15

2.0

4307-104

AR

unox

IFM18_003

147.371

161.849

39.4

0.66

25.0

8

0.45

1.7

4307-105

AR

unox

IFM18_004

122.53

131.674

52.7

1.12

36.4

11

0.07

2.5

4307-106

AR

unox

IFM18_004

182.27

191.414

34.4

0.32

42.9

7

0.15

2.5

4307-110

AR

unox

IFM18_010

99.974

113.69

46.2

0.39

50.0

2

0.37

1.3

4307-111

AR

unox

IFM18_010 

131.064  149.352

60.5

0.43

66.7

3

0.22

1.0

4307-113

AR

unox

IFM18_012 

110.642  119.786

74.5

0.47

33.3

12

0.74

2.2

4307-117

AR

unox

IFM18_026A

89.002

95.555

50.0

0.46

50.0

4

0.29

1.6

4307-118

AR

unox

IFM18_026A

106.07

111.862

54.0

0.50

41.2

51

0.59

3.9

Note: AR denotes assay reject composites. Tests on AR composites were conducted without interim sampling and reagent make-up. Core denotes split drill core composites. Tests on split core composites were conducted with interim sampling and reagent maintenance. Ox denotes oxide; trans denotes transitional; unoxdenotes unoxidized. 


Table FM3. - Summary Metallurgical Results, Column Leach Tests,
Florida Mountain Drill Core Composites, 80%-12.5mm Feed Size

Sample Description

 

Leach
Time
Days

Au
Recovery
(%)

Head
Grade
(g Au/t)

Ag
Recovery
(%)

Head
Grade
(g Ag/t)

Reagent Requirements

Composite

Drill
Hole
Depth (ft)

Oxidation
Class

(kg/t)

NaCN
Conc.

Lime
Added

4307-138 

IFM18_003

0-108', 143-233.5'

mixed (ox/trans)

65

94.7

0.75

37.5

16

1.16

1.0

                     

4307-132 

IFM18_012

16-98'

trans

63

91.3

0.92

43.3

67

1.29

1.0

4307-133 

IFM18_025

33-128'

trans

97

85.5

0.69

39.0

59

3.08

0.7

4307-136

IFM18_001A

38.5-66.5', 128-185'

trans

63

87.2

0.39

41.3

75

1.17

1.1

4307-139

IFM18_010

58-228'

trans

65

90.2

0.61

26.3

19

1.18

1.0

                     

4307-137

IFM18_001A

218-268', 958-1028'

mixed (trans/unox)

97

65.7

1.02

30.0

170

2.03

0.5

4307-135

IFM18_003

403-531'

unox

64

30.0

0.60

10.0

10

1.22

1.8

Note: Ox denotes oxide, trans denotes transitional and unox denotes unoxidized.

Table FM4. - "Whole Ore" Milling/Cyanidation Tests, Florida Mountain 2018-2019 Drill Core Composites,
80%-75µm Feed Size, 72 Hour Leach (with interim sampling), 40% Solids, 1.0 g NaCN/L

 Sample Description

 

 

 

 

Reagent Requirements

 

 

   

 

 

Au

Head

Ag

Head

(kg/t)

Drill

 

 

 

Interva (m)

Recovery

Grade

Recovery

Grade

NaCN

Lime

Composite

Type

Oxidation

Hole

from

to

(%)

(g Au/t)

(%)

(g Ag/t)

Conc.

Added

4307-155

AR

trans

IFM18_001A

39.014

87.478*

94.4

0.54

92.5

29

0.17

1.7

4307-099

AR

unox

IFM18_001A

291.998

313.334

96.1

1.54

32.7

275

0.20

1.3

4307-135

Core

unox

IFM18_003

122.834

161.849

81.0

0.58

52.8

11

0.16

1.9

4307-156

AR

unox

IFM18_003

109.118

161.849*

76.8

0.56

53.6

6

0.43

2.0

4307-140

Core

unox

IFM18_004

122.53

131.674

87.8

0.98

48.3

6

0.18

3.1

4307-141

Core

unox

IFM18_004

147.218

188.366

81.6

0.49

61.5

8

0.08

2.7

4307-157

AR

unox

IFM18_004

122.530

191.414*

79.7

0.59

66.3

10

0.48

2.5

4307-142

Core

unox

IFM18_010

131.216

169.469

89.8

0.59

63.0

5

0.22

2.2

4307-158

AR

unox

IFM18_010

99.974

149.352*

89.5

0.38

>66.7

<3

<0.07

1.8

4307-159

AR

unox

IFM18_026A

89.002

111.862*

81.8

0.33

79.2

24

0.38

3.5

4307-143

Core

unox

IFM18_026A

89.002

108.814

93.0

0.57

90.8

51

0.31

2.6

*    Non-continuous intervals.
Note: AR denotes assay reject composites. Core denotes split drill core composites.


Table FM5. - Gravity Concentration with Agitated Cyanidation of Gravity Tailings,
Florida Mountain Comp. 4307-160, 80%-212µm Primary (Gravity Concentration) Grind Size,
Reground Gravity Tailings, 72 Hour Leach (with interim sampling), 40% Solids, 1.0 g NaCN/L

 

 

 

 

 

 

 

 

 

Reagent Requirements

 

Au Recovery

Head

Ag Recovery

Head

(kg/t)

 

% of total

Grade

% of total

Grade

NaCN

Lime

Regrind Size

Gravity1

CN2

Combined3

(g Au/t)

Gravity1

CN2

Combined3

(g Ag/t)

Conc.

Added

80%-150µm

7.5

74.3

81.8

0.79

1.8

55.2

57.0

6.9

0.04

1.6

80%-106µm

7.5

74.0

81.5

0.79

1.7

56.2

57.9

7.4

0.10

1.6

80%-75µm

6.8

75.4

82.2

0.87

1.7

58.4

60.1

7.5

0.11

1.6

80%-53µm

7.9

74.2

82.1

0.75

1.6

59.8

61.4

7.7

0.12

1.8

80%-45µm

7.8

73.1

80.9

0.76

1.7

69.6

71.3

7.2

0.02

1.9

1) Recovery to a gravity concentrate produced with a 0.04% mass pull, with a grade of 148 g Au/t and 316 g Ag/t .
2) Recovery by agitated cyanidation of the gravity tailings (99.96% mass).
3) Combined recovery by gravity concentrate and agitated cyanidation of gravity tailings.

Table FM6. - Gravity Concentration with Flotation of Gravity Tailings,
Florida Mountain Comp. 4307-160, 80%-212µm Gravity Concentration Feed

 

Flotation Cleaner Concentrate2

Flotation Rougher Concentrate2 

 

 

 

 

Recovery

Mass

 

 

Recovery

Regrind Size

Mass, %

(g Au/t)

(g Ag/t)

(% Au)

(% Ag)

(%)

(g Au/t)

(g Ag/t)

(% Au)

(% Ag)

80%-212µm1

4.3

17.8

146

96.0

83.8

6.6

11.80

99

97.6

87.5

80%-180µm

3.6

18.1

185

91.2

82.5

8.1

8.31

88

94.9

88.7

80%-150µm

3.2

25.0

180

86.7

75.8

8.2

11.01

83

96.1

88.0

80%-106µm

4.4

17.3

167

92.7

84.3

11.2

6.95

69

95.7

89.8

80%-75µm

2.7

27.7

204

82.4

76.2

10.8

7.51

58

90.1

87.5

1) Gravity concentration feed size was 80%-212µm. No regrind before flotation.
2) Includes gravity cleaner concentrate (0.04% mass pull, 148 g Au/t and 316 g Ag/t), and flotation cleaner concentrate.

Table FM7. - Combined Results, Gravity Concentration/Flotation of Gravity Tailings/Regrind Leach
of Flot. Conc., Florida Mountain Unoxidized Master Composite 4307-160, 80%-212µm (65M) Feed Size,
95%-37µm Flotation Concentrate Regrind, 96 Hour Leach, 25% Solids, 5.0 g NaCN/L

 

 

 

 

 

 

 

 

Reagent Requirements

 

 

 

 

 

 

 

 

 (kg/t)

 

Weight

 

Assay

 

 

Distribution

 

NaCN

Lime

Product

%

(g Au/t)

(g Ag/t)

(% S=)

(g Au/t)

(g Ag/t)

(% S=)

Conc.

Added

Gravity Cl. Conc.

0.04

148

316

N/A

8.8

1.5

 

 

 

Flotation Ro. Conc.

4.58

 

 

15.6

 

 

84.3

 

 

Recovered, CN

 

11.81

150

 

80.9

78.7

 

0.14

0.2

Leach Tail, CN

 

0.88

17

 

6.0

8.9

 

 

 

Combined Recovery1

 

 

 

 

89.7

80.2

 

 

 

Flot. Ro. Tail

95.38

0.03

1

0.14

4.3

10.9

15.7

 

 

Combined Tail

99.96

0.07

2

0.85

10.3

19.8

 

 

 

Composite

100.00

0.67

9

0.85

100.0

100.0

100.0

0.14

0.2

1) Includes gold and silver reporting to the gravity cleaner concentrate and extracted by cyanidation of the reground flotation concentrate.