Golden Chest Mine

Idaho Strategic’s 100-percent owned Golden Chest Mine is producing gold from both the open pit and underground operations, with all ore shipped to the nearby New Jersey Mill for processing.

In 2012, Golden Chest LLC commissioned a NI 43-101 Technical Report that included an overall mineral resource of 477,000 oz- 254,000 oz gold in the Measured and Indicated categories and 223,000 oz in the inferred category @ 0.4 gpt gold cut-off.

Management believes the Golden Chest property has district-scale potential for the longer term, not only near the operating mines, but also in areas of past exploration and historic production. With more than $13-million spent to explore, develop, expand, and modernize the Golden Chest Mine, IDR has an outstanding platform for future exploration and development.

Open Pit Mining

Idaho Strategic Resources began producing ore from its open pit mine in August 2016 from a starter pit defined by optimizing studies based on the Company’s extensive core drilling from 2011 and 2012. IDR’s current open pit is located at the surface expression of the Golden Chest Shoot, just northeast of the Skookum Shoot, the location of its underground mine.

In 2018, approximately 31,230 dry metric tons of open pit ore was processed at the New Jersey Mill with an average gold head grade of 3.47 gpt, resulting in the production and sale of 3,400 ounces of gold. Open-pit mining progressed from the 1042 bench to the 1012 bench during the year with mine production averaging 1,250 tons per day (ore and waste). In addition to the ore shipped to the mill, a lower grade stockpile was established on-site, containing approximately 150,000 tons of material at an estimated gold grade of 0.75 gpt Au.

An aerial survey of the mine was recently completed in preparation for pit expansion engineering studies. The Company will continue to evaluate the possibility of expansion as the pit is advanced.

Underground Mining

With the resumption of underground mining in late-2017, IDR now operates two mines at its Golden Chest property, with all mined ore shipped to its nearby New Jersey Mill for processing.

A total of 4,260 tons were mined during the startup phase of underground mining operations in 2018. The average grade of the underground material was 7.0 gpt Au. The first stope was cut on the 851 level was completed in mid-2018 with commissioning of the cemented rockfill (CRF) backfill plant and backfilling was completed by the third quarter of 2018.

The Company added equipment to support the ramp-up of underground production and purchased two diamond core drill rigs for planned exploration and development drilling in the Murray Gold Belt.