Anatomy of a Discovery - McLaughlin Gold Mine

The discovery of gold mineralization at the Manhattan mercury mine, Napa and Yolo counties, California in 1978 was the result of applying a new exploration ore deposit model in a region previously unprospected for gold. This discovery, the McLaughlin gold mine, owned and operated by Home-stake Mining Company, is a classic epithermal mercury-hot springs-gold deposit currently producing approximately 7,776,000 grams of gold annually.The exploration program that led to this discovery was based on a mercury-hot springs-gold genetic model. The model was developed using basic knowledge of ore-forming processes plus careful field observations made during examination of many known precious metal districts in. the Western U.S.A. Theoretically, hot spring systems could host gold deposits and, indeed, gold in these environments had been recognized for years. However, at the time of the McLaughlin discovery, it was not known to occur in sufficient quantities to inspire geologists to explore hot spring systems specifically for gold. Field observations recognized the presence of hot spring deposits and mercury mineralization asso-ciated with precious metal districts, (Bodie, California being a type example), and this associ-ation prompted the development of a hypothetical model. Subsequent exploration activities were directed towards the examination of mercury mines and prospects as potential targets for gold deposits. The model envisioned hot spring deposits (sinter) containing mercury mineralization at the surface with anomalous gold values grading downward into significant ore grade gold values.