This report presents the results of site specific sampling in the Goodnews Bay Mining District in 1986. Approximately 70% of the mineral deposits in the district are located in two areas: Slate- Wattamuse Creek and Red Mountain. Placer deposits with high mineral development potential are located on Wattamuse and Cascade Creeks. Gold was found in rocks associated with the intrusive at the head of Wattamuse Creek. In the Red Mountain area, platinum-group metals (PGM) and gold were found in the Salmon River and its tributaries and along the beach from platinum to Chagvan Bay. All of the eastern tributaries of the Salmon River that drain Red Mountain, and the beach along Kuskokwim Bay from platinum to the Salmon River, have high mineral development potentials for small placer mining operations. The Salmon River has a high mineral development potential for a large operation. PGM and gold were found in the weathered dunite on Red Mountain and in the glacial deposits that compose the bluffs along the beach, proving that they are the sources of placer PGM and gold found in the streams and on the beach. Microprobe platinum-group analyses of placer PGM grains correlated well with the findings of the U.S. Geological Survey. Twenty-three platinum-group minerals were also identified.