VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 04/30/13 -- True Gold Mining Inc. (TSX VENTURE: TGM) ("True Gold" or the "Company") is pleased to announce financial results and business highlights for the 14-month period ending December 31, 2012, including advancements at the Company's Karma Gold Project ("Karma Project") in Burkina Faso, West Africa and the creation of an integrated team of experts in exploration, mine construction and operations.
Burkina Faso has proven gold production, favourable geology and a government that supports mining. We are focused on exploration at and advancing our flagship Karma Project, which includes five closely spaced and well-defined deposits, as well as exploration at our Liguidi Project ("Liguidi").
2012 highlights and significant events subsequent to year-end include:
-- Through the combination with Blue Gold Mining Inc. ("Blue Gold"), we strengthened our treasury and team, which now possesses the strategy, finance, exploration, operations and mine production expertise required to advance the Karma Project, and oversee exploration at the Karma property and Liguidi.(1)-- Completed an independent Preliminary Economic Assessment ("PEA") for the Karma Project.(2)-- Completed more than 60,000 metres of drilling at the 856 km2 Karma property and Liguidi, helping to add resources within the Karma Project footprint(3) and identifying near-surface gold mineralization at the Karma and Liguidi properties.(4)-- Engaged SENET (Pty) Ltd. and other leading global technical advisors to prepare an independent feasibility study ("FS") for the Karma Project(5). When complete, the FS is expected to enable True Gold to make a production decision on the Karma Project and include a fully engineered construction and operating plan.
True Gold has launched a 2013 exploration program that includes 7,500 metres of drilling, geological mapping, and rock and soil sampling within the Karma property. The program aims to identify additional near-surface oxide gold mineralization and demonstrate the potential for resource growth at the Karma Project. We are also conducting drilling and other exploration work at Liguidi.
Cumulative drilling, rock and soil sampling to date indicate a widespread, in-situ, near-surface gold system at Liguidi. A 2013 exploration program that includes 3,500 metres of drilling, geological mapping, and rock and soil sampling has commenced at Liguidi.
(1) See True Gold news release dated Feb. 25, 2013 titled, "True Gold Owner's Team built to drive mine development and resource expansion at Karma and Liguidi."
(2) See True Gold news release dated August 20, 2012 and October 3, 2012 together with the company's clarifying news release of March 20, 2013 and independent NI 43-101 compliant technical report titled, titled "Technical Report and Updated Resource Estimate on the Karma Project, Burkina Faso, West Africa," dated effective October 1, 2012, filed on SEDAR (www.sedar.com) November 7, 2012, which incorporates the PEA report on the Karma Project. The PEA is considered preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves. Mineral resources that are not mineral reserves have not yet demonstrated economic viability. Due to the uncertainty that may be attached to inferred mineral resources, it cannot be assumed that all or any part of an inferred mineral resource will be upgraded to an indicated or measured mineral resource as a result of continued exploration or mineral reserves once economic considerations are applied. Therefore there is no certainty that the production profile concluded in the PEA will be realized.