In 1997, the U.S. Geological Survey (USGS) contracted with Sial Geosciences Inc. for a detailed aeromagnetic survey of the Santa Cruz basin and Patagonia Mountains area of south-central Arizona. The contractor's Operational Report is included as an Appendix in this report. This section describes the data processing performed by the USGS on the digital aeromagnetic data received from the contractor. This processing was required in order to remove flight line noise, estimate the depths to the magnetic sources, and estimate the locations of the magnetic contacts. Three methods were used for estimating source depths and contact locations: the horizontal gradient method, the analytic signal method, and the local wavenumber method. The depth estimates resulting from each method are compared, and the contact locations are combined into an interpretative map showing the dip direction for some contacts.