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Home > Projects > Sleeper


The Sleeper Gold Project is located off a main highway about 25 miles from the town of Winnemucca, in Humboldt County, Nevada. Acquired by Paramount in 2010, the project area includes the original Sleeper high-grade open pit mine operated by Amax Gold from 1986 to 1996 as well as staked and purchased lands now totaling 2,570 claims and covering about 47,500 acres which stretch south down trend to Newmont`s Sandman project. The Dunes Project and Mimi Claims acquisitions are consistent with the Company’s strategy of district-scale exploration near infrastructure in established mining camps.

Paramount acquired Sleeper to pursue two opportunities:

  1. Potential to define and exploit previously unrecognized resources in the vicinity of the original mine and prove its economic viability.
  2. Potential to find other high grade deposits similar to Sleeper using the mine`s extensive data base. Paramount`s exploration emphasis has now shifted to this opportunity.


On July 30, 2012, Paramount leaped a step closer to advancing the historical Sleeper Mine towards production.  The PEA prepared by Metal Mining Consultants of Denver, Colorado (formerly Scott E. Wilson Consulting Inc.), specifies a development scenario for Sleeper consisting of a large-scale open pit mining operation with a heap leach processing plant handling both oxide and sulphide material, producing a gold-silver dore. The base case scenario incorporates an 81,000 tonnes per day operation (approximately 30 million tonnes per year throughput), resulting in a projected 17 year operation with average annual production of 172,000 ounces of gold and 263,000 ounces of silver. Projected life-of-mine average cash operating costs are US$767 per ounce of equivalent gold recovered. Start-up capital costs for this project scenario are estimated at US$346 million. Sustaining capital costs over the project’s life are estimated at an additional $278 million. Total capital cost contingencies over the project life are estimated at an additional $64 million, bringing the total life of mine capital costs to $688 million. The total cost of equivalent gold production (including cash operating costs and total capital and contingency costs over the life of the mine) is estimated at US$996 per ounce.

At a gold price of US$1,384 per ounce and a silver price of $26.33 per ounce (the 3 year trailing average of gold and silver prices as at July 3, 2012), the Sleeper base case has a US$1.2 billion pre-tax net cash flow, a US$695 million net present value at a 5% discount rate and an internal rate of return (IRR) of 26.8%. At US$1,618 gold (the spot price on July 3, 2012), the total pre-tax net cash flow increases by 160% over the base case to US$1.9 billion, the net present value at a 5% discount rate almost doubles to US$1.2 billion and the internal rate of return improves to a robust 40%.

Sleeper Mine: Historic Facts:

  • During mine operation by AMAX Gold from 1986 through to 1996, the mine produced 1.66 million ounces of gold, and 2.3 million ounces of silver 
  • Production records indicate that less than half of the gold mined at Sleeper was recovered
  • The very high grade veins at Sleeper were milled and thus allowed operations to be very profitable without attempting to maximize recoveries from other gold bearing material such as the heap leach ore, or sulphide material
  • A significant number of ounces are above ground on the site
  • Approximately 49 million tons of above ground material exists in the heap leach pads at Sleeper. This gold bearing material is in part covering some exploration drill targets.