The Company has reported the mineral resources for its mineral deposits (including the Mupane Stockpiles) separately from the Mupane Slimes Dump, as the Company considers the Mupane Slimes Dump to be a distinct mineral resource type as it could involve a different processing methodology. The Company is still reviewing the available options with regards to the processing of the material on the Mupane Slimes Dump.
Philip Condon, Galane Gold's CEO stated, "Our continued ability to renew resources as we produce is evidence that supports my view that the Company will extend its mine life as it continues with its current exploration programme. In addition, it points to the untapped potential of the Tati greenstone belt in Botswana.
"I am particularly pleased with the addition of Jim's Luck which represents an exciting resource which the Company is expecting to be a replacement for Golden Eagle when we finish mining that resource. The confirmation of the resource at the Mupane Slimes Dump, which is located next to our processing plant, also provides an opportunity to expand our production still further."
Mineral Resource Estimates - Methodology.
Resource tonnages and gold grades were reported at a 0.5 g/t Au cut-off grade. Resources from contiguous portions of the mineralisation outside of the optimized pit shell, and potentially amenable to underground mining methods, were reported at a cut-off grade of 0.8 g/t Au. A cutoff grade of 0.3g/t Au was used for the slimes dump due to the possible need for a different processing method.
Quality control checks were undertaken on the sampling and analytical procedures and on the assay results. Assay data from each grade shell was evaluated and appropriately capped for the purpose of this estimation. Variogram models were created for all of the grade shell solids. Block models were created for each of the grade shells and the reported resources are constrained by an optimized Whittle shell. All resources were modelled using a 0.5 g/t Au grade cutoff for each mineralised zone, except Tau where a 0.8 g/t Au grade shell was used. A gold price of US$1,700 was used.
The reader is cautioned that the mine utilizes results from the conceptual optimization work solely for the purpose of constraining and reporting resources that have "reasonable prospects" for economic extraction by open pit or underground mining method and do not represent mineral reserves.
Mineral resources for Jim's Luck, Golden Eagle, Tau, Tholo, Kwena, and the Mupane Slimes Dump are reported in accordance with the guidelines set out in National Instrument 43-101 - Standards of Disclosure for Mineral Projects of the Canadian Securities Administrators ("NI 43-101"), and have been estimated in conformity with generally accepted guidelines from the Canadian Institute of Mining, Metallurgy and Petroleum. Mineral resources are not mineral reserves and do not have demonstrated economic viability. There is no guarantee that any of the mineral resource disclosed in this news release will be converted to mineral reserves. There is also no guarantee that any of the inferred mineral resource will be upgraded to measured or indicated mineral resource.
Summary of Projects
This is a maiden resource for the Jim's Luck deposit and the application process for a mining license in respect of Jim's Luck is in progress. As part of the initial requirements for a mining license, the Environmental Impact Assessment has been submitted to the appropriate regulatory authorities for approval. For further details regarding the most recent results of the exploration program at Jim's Luck, please refer to the Company's news release dated February 5, 2013 which has been filed under the Company's profile on SEDAR at www.sedar.com.
Most Popular Stories
- 15 Myths That Could Ruin Your Hispanic Ad Campaign
- Bitcoin Clones Lurch Onto Financial Scene
- General Motors Names Mary Barra as First Female CEO
- AIG to Create 230 Jobs in Charlotte
- Clinton to Keynote Annual Simmons Leadership Conference
- Pacific Trade Pact Delay Hinders U.S. Pivot to Asia
- Californians Want to Legalize Marijuana
- Scripps Shares Rise on Reported Bid Talks
- Russia Says Nyet to Canada North Pole Claim
- Budget Deal Sets Off Grumbles in Both Houses