VANCOUVER,
Nov. 15, 2012 /PRNewswire/ - Gold
Bullion Development Corp. (TSXV: GBB) (OTCPINK: GBBFF) (the
"Company" or "Gold Bullion") is pleased to provide an updated
independent NI 43-101 compliant gold mineral resource estimate on
its Granada Gold Property, located along the prolific Cadillac
trend in North-western Quebec, 5
km south of the city of Rouyn-Noranda. The total gold resource at
Granada now stands at 2,638,000
gold ounces using a cut-off grade of 0.40 g/t with 1,605,000 ounces
in the Measured and Indicated categories.
Highlights include the following:
- The in situ measured resource is 946,000 ounces (28.735
million tonnes grading 1.02 g/t), indicated resource is 659,000
ounces (18.740 million tonnes grading 1.09 g/t), inferred resource
is 1,033,000 ounces gold (29.975 million tonnes grading 1.07 g/t
Au) using a cut-off grade of 0.40 g/t.
- The selected base case in-pit measured resource is 811,300
ounces (24.992 million tonnes grading 1.01 g/t), indicated resource
is 354,600 ounces (9.336 million tonnes grading 1.18 g/t), inferred
resource is 11,100 ounces gold (0.449 million tonnes grading 0.77
g/t Au) using an effective cut-off grade of 0.36 g/t based on a
Whittle-optimized pit shell simulation using estimated operating
costs, a 3 year trailing average gold price of CAN$1450 per ounce
and a corresponding lower cut-off grade of 0.36 grams per tonne
gold.
- Previous small open pits have been taken into account and are
starting surfaces of optimization while the historical production
of 51,476 ounces (181,744 sT @ 0.28 oz/sT) from 1930 to 1935 are
included in the resource statement. (cannot physically remove from
measured, indicated or inferred).
- The mineralized system is still open at depth and
laterally.
SGS Canada Inc, (SGS Geostat office of
Blainville, Québec, "SGS") are the
independent resource estimate consultants for the Granada project. SGS has authorized the
release of the following estimates included in the table below that
summarize their block model estimates using variable cut-off
grades:
Granada gold
deposit In Situ Resource Estimates |
Cut-off 0.4 g/t |
Tonnage |
Au g/t |
Au Oz |
Measured |
28,735,000 |
1.02 |
946,000 |
Indicated |
18,740,000 |
1.09 |
659,000 |
Total M+I |
47,475,000 |
1.05 |
1,605,000 |
Inferred |
29,975,000 |
1.07 |
1,033,000 |
|
Cut-off 1.0 g/t |
Tonnage |
Au g/t |
Au Oz |
Measured |
7,810,000 |
2.14 |
536,000 |
Indicated |
5,347,000 |
2.32 |
398,000 |
Total M+I |
13,157,000 |
2.21 |
934,000 |
Inferred |
8,600,000 |
2.23 |
617,000 |
|
Cut-off 2.0 g/t |
Tonnage |
Au g/t |
Au Oz |
Measured |
2,533,000 |
3.76 |
306,000 |
Indicated |
1,869,000 |
4.07 |
245,000 |
Total M+I |
4,402,000 |
3.89 |
551,000 |
Inferred |
3,030,000 |
3.89 |
379,000 |
Note: rounded numbers, base case cut-off >0.4 g/t in
bold.
SGS also estimated an in-pit resource within a Whittle-optimized
pit shell using a base case gold price of CAN$1450 per ounce. The
table below summarizes the in-pit resources with the selected base
case in Whittle optimizations:
|
In-pit Estimates*
|
CoG
g/t |
Ore
M tonnes |
Grade
g/t |
Au
oz |
Nov 2012
(within
claims &
Au = 1450
$/oz)
|
Measured
Indicated
Inferred |
0.36
0.36
0.36 |
24,992,000
9,336,000
449,800 |
1.01
1.18
0.77 |
811,300
354,600
11,100 |
|
Mea+Ind |
0.36 |
34,328,900 |
1.06 |
1,166,000 |
*Rounded numbers
The in-pit estimate is based on a mining cost of CAN$2.00 per
tonne and a processing cost of CAN$16.00 per tonne (including
G&A), assuming gravity cyanidation treatment of the mineralized
material.
Other assumptions include 94.1% recovery of gold in and pit wall
slope angle of 45 degrees in the south footwall and 50 degrees in
the north hanging wall.
Details on the parameters of the resource estimates are as
follows:
- The database used for Granada
includes drilling obtained from the 2009-2010-2011 and 2012 from
Gold Bullion drill programs.
- Most NQ assays reported by Gold Bullion were obtained by
standard 50 g fire assaying-AA finish or gravimetric finish and
another fraction by screen metallics at various laboratories, ALS
Chemex laboratories in Val d'Or,
Quebec, Accurassay, Lab Expert and Swastika.
- The estimates were done using Inverse Distance Square (ID2) as
the interpolation method based on 1.5 metre analytical
composites.
- Composites calculations are based on original samples value and
were afterward capped at 30 g/t.
- All estimates are based on a Parent Cell dimension of 10 metres
E, 5 metres N and 5 metres height with search ellipsoid and
estimation parameters determined for the mineralized zone
geometry.
- Geological interpretation for the deposit identified one main
structurally-controlled mineralized domain including higher grades
within the envelope hosted by conglomerates of the Timiskaming
group. The estimation of the mineralized domain was done in 3 runs
where the first required a minimum of 4 holes using a maximum of 3
composite per hole within a search ellipsoid of 50m by 50m by 5m
dipping 47 degrees north, while the second run used a minimum of 3
holes within a search ellipsoid of 100m by 100m by 10m dipping 47
degrees north, and the last run one hole within the domain minimum
3 composites in a 200m by 200m by 15m dipping 47 degrees
north.
- For the classification 4 holes with 3 composites within a 40m
by 40m by 5m ellipsoid for measured, 3 holes with 3 composites
within a 80m by 80m by 10m ellipsoid for indicated, the rest being
inferred.
- Underground voids (shaft & drifts) were modeled from
historical mine plans and adjusted according to positions of drill
intersections in stopes and drifts. The stopes could not be placed
in space with accuracy. Historical production from underground
needs to be subtracted from the resource estimate.
- Tonnage estimates are based on rock densities of 2.70
tonnes/cubic metre.
- The global resource estimates using the lower cut-off of 0.4
g/t Au is emphasized for reporting purposes as this is close to the
in-pit cut-off estimated for the CAN$1450 Whittle shell, which
represents the reasonable potential of economic extraction in SGS
QP's opinion.
- Additional details will be provided in the technical report to
be issued within the next 45 days.
Mr. Claude Duplessis, Ing. of SGS
is the Qualified Person who has reviewed this news release and is
responsible for the technical information reported herein,
including verification of the data disclosed.
About Gold Bullion Development Corp.
Gold Bullion Development Corp. is a TSX Venture-listed junior
natural resource company focusing on the exploration and
development of its Granada Property near Rouyn-Noranda, Québec. Additional
information on the company's Granada gold property is available by visiting
the website at www.GoldBullionDevelopmentCorp.com and on
SEDAR.com.
"Frank J. Basa"
Frank J. Basa, P.Eng.
President and Chief Executive Officer
Neither the TSX Venture Exchange nor its Regulation Service
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release. This news release may contain
forward-looking statements including but not limited to comments
regarding the timing and content of upcoming work programs,
geological interpretations, receipt of property titles, potential
mineral recovery processes, etc. Forward-looking statements address
future events and conditions and therefore, involve inherent risks
and uncertainties. Actual results may differ materially from those
currently anticipated in such statements.
SOURCE Gold Bullion Development Corp.