Barkerville Receives Government Approval to Construct Haul Road For Bonanza Ledge
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 01/12/11 -- Barkerville Gold Mines Ltd. (TSX VENTURE: BGM)(FRANKFURT: IWUB) (the 'Company') reports it has received British Columbia Provincial Government approval to develop a new haul route on its Bonanza Ledge property and access to Highway 26 near Wells, B.C.
The new property access is designed to avoid impacts to local roads and residents by bypassing the community of Wells and Barkerville Historic Town. As added benefit, part of the road clearing will take place on crown grants with surface rights owned by Barkerville Historic Town, and the logs are destined for a new demonstration sawmill project at the national historic site.
Company President and CEO, J. Frank Callaghan states, 'We are all very pleased with how this has worked out. This is a win/win situation for industry, tourism and the local communities'.
A Mines Act Application to commence production from the Bonanza Ledge Property, near Wells, B.C., was accepted for review in November 2010. The Application is for a 70,000-tonne/year open pit operation that will augment the current gold production at the Company's QR Mine & Mill, a 900 tonne per day facility producing and shipping gold dore bars. The 60-day formal review period ends January 29, 2011.
Equipment is on site and road clearing will begin immediately. Following approval, the Company will commence development and gold production from the Bonanza Ledge property.
About Barkerville Gold Mines Ltd.
Since the mid 1990s the Company has focused on exploration and development of gold projects in the Cariboo Mining District of central B.C. The Company's mineral tenures now cover over 1,225 square kilometers, encompassing seven past producing hard rock mines and three NI43-101 gold deposits, including the QR Mine & Mill. The QR property was acquired in February 2010 and includes a 900 tonne/day gold milling facility and a permitted gold mine located approximately 110 kilometers by highway and all-weather road from the Barkerville Gold Camp. Mining operations commenced at QR in February 2010 and the Company began pouring dore gold in September of 2010. In November 2010, the Company acquired a second permitted mill currently on care and maintenance in Revelstoke, B.C. for relocation to the Barkerville Gold Camp near Wells, B.C. and upgrading to a 2,000-tonne/day facility subject to government approvals. In November 2010 the Company and the Lhtako Dene First Nation also signed a Project Agreement in relation to its Bonanza Ledge and Cariboo Gold Projects. The Company has not hedged any of its future gold production.
On behalf of the Board of Directors
J. Frank Callaghan, President and CEO
This News Release contains forward-looking statements. Forward-looking statements are statements which relate to future events and conditions and therefore involve inherent risks and uncertainties. These statements are only predictions and involve known and unknown risks, uncertainties and other factors that may cause our or our industry's actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. While these forward-looking statements, and any assumptions upon which they are based, are made in good faith and reflect our current judgment regarding the direction of our industry, actual results will almost always vary, sometimes materially, from any estimates, predictions, projections, assumptions or other future performance suggested herein. Except as required by applicable law, the Company does not intend to update any of the forward-looking statements to conform these statements to actual results. All phases of the Company's operations are subject to environmental regulation and governmental approval and permits and there can be no assurance that the Company will obtain all the requisite permits for future development. Mining is an inherently risky business with large capital expenditures and cyclical metals markets.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contacts:
Barkerville Gold Mines Ltd.
J. Frank Callaghan
President and CEO
(604) 669-6463 or Toll Free: 1-800 663-9688
(604) 669-3041 (FAX)
www.barkervillegold.com