Golden Predator Announces Resource Estimate at Brewery Creek Project of 580,000 Indicated ounces and 345,000 Inferred ounces of Gold
TSX: GPD
VANCOUVER, May 1, 2012 /CNW/ - Golden Predator Corp.
(the 'Company') is pleased to announce it has completed its resource estimation for its Brewery Creek Project in the Yukon, Canada. Indicated Resources are estimated at 20.4 million tonnes grading 0.89 g/t gold and Inferred Resources are estimated at 13.0 million tonnes grading 0.83 g/t gold. Estimated resources contain approximately 581,000 gold ounces classified as indicated and 345,000 gold ounces classified as inferred, using cut off values of 0.20 g/t gold for oxide material and 0.70 g/t gold for sulfide material.
_____________________________________________________________________________________
| Brewery Creek Indicated & Inferred Resources(1) |
|_____________________________________________________________________________________|
| | | | |Contained| | | |Contained|
| | | | Au | Au | | | Au | Au |
| | | Tonnes |(g/t)|(ounces) | | Tonnes |(g/t)|(ounces) |
|_______|_________|__________|_____|_________|_____________|__________|_____|_________|
| Oxide |Indicated|13,932,000|0.70 | 313,000 | Inferred |7,337,000 | 0.47| 111,000 |
|_______|_________|__________|_____|_________|_____________|__________|_____|_________|
|Sulfide|Indicated|6,485,000 |1.29 | 268,000 | Inferred |5,653,000 | 1.29| 235,000 |
|_______|_________|__________|_____|_________|_____________|__________|_____|_________|
|TOTALIndicated |20,417,000|0.89 | 581,000 |TOTALInferred|12,991,000|0.83 | 345,000 |
|_________________|__________|_____|_________|_____________|__________|_____|_________|
(1) Brewery Creek consists of six separate zones and each zone
was estimated with different gold grade capping values as
follows;
Big Rock 6.0 g/t, Fosters 12.0 g/t, Bohemian-Schooner 22.5
g/t, Sleeman 16.0 g/t, North Slope 15.0 g/t, Classic 3f.5
g/t. Oxide and
sulfide material was modeled above and below a redox
boundary using data from the original geologic field log.
The following
estimated parameters were used to determine the cut off
grades; gold price $1500/oz, oxide recovery 65%, sulfide
recovery 75%,
open pit mining costs $2.00/tonne, oxide heap leach
process costs $3.50/tonne, sulfide milling process costs
$23.00/tonne and G
& A costs $1.16/tonne. Tonnes and contained ounces have
been rounded to the nearest 1,000.
The Mineral Resource Estimates for the Company's Brewery Creek Project has been estimated by EBA, A Tetra Tech Company (EBA), utilizing the Company's drilling and sampling programs, together with independently-validated historic sampling and drilling data conducted by previous operators including Loki Gold, Viceroy and Alexco Resource Corp. A total of 54,822 samples from 1,244 drill holes, totalling 106,650 m (34,929 samples from 957 RC holes, totalling 67,689 m, and 19,983 samples from 287 core holes, totalling 38,981 me) were composited to 2 m lengths and interpolated into six separate Gemcom GEMS partial block models. Ordinary Kriging (OK) methodology was applied to interpolate gold grades for the Big Rock, Bohemian-Schooner, Fosters and North Slope Deposits, and Inverse Distance cubed (ID3) methodology was applied to interpolate resources for the Classic Deposit. Oxide resources were defined by partial or full blocks lying above an interpreted redox boundary supplied by the Company and based on actual drill hole logs.
Resource Estimates at Alternative Cut-off Grades
________________________________________________________________________________
| Brewery Creek Indicated & Inferred Resources by Cut-Off Grade(1) |
|________________________________________________________________________________|
| 0.1 Au (g/t) Oxide & 0.5 Au (g/t) Sulfide Cut-Off Grades |
|________________________________________________________________________________|
| | | | | | | | |Contained|
| | | | Au |Contained| | | Au | Au |
| | | Tonnes |(g/t)| Au (oz) | | Tonnes |(g/t)| (oz) |
|_______|_________|__________|_____|_________|________|__________|_____|_________|
| Oxide |Indicated|20,519,000|0.52 | 344,000 |Inferred|13,115,000| 0.33| 138,000 |
|_______|_________|__________|_____|_________|________|__________|_____|_________|
|Sulfide|Indicated|10,095,000|1.04 | 337,000 |Inferred|9,186,000 | 1.02| 302,000 |
|_______|_________|__________|_____|_________|________|__________|_____|_________|
|TOTALIndicated | | | | TOTAL | | | |
| |30,614,000|0.69 | 681,000 |Inferred|22,301,000|0.61 | 440,000 |
|_________________|__________|_____|_________|________|__________|_____|_________|
| 0.5 Au (g/t) Oxide & 1.0 Au (g/t) Sulfide Cut-Off Grades |
|________________________________________________________________________________|
| | | | | | | | |Contained|
| | | | Au |Contained| | | Au | Au |
| | | Tonnes |(g/t)| Au (oz) | |Tonnes(2) |(g/t)| (oz) |
|_______|_________|__________|_____|_________|________|__________|_____|_________|
| Oxide |Indicated|6,368,000 |1.15 | 235,000 |Inferred|1,824,000 | 0.98| 58,000 |
|_______|_________|__________|_____|_________|________|__________|_____|_________|
|Sulfide|Indicated|3,577,000 |1.65 | 190,000 |Inferred|3,208,864 | 1.65| 170,000 |
|_______|_________|__________|_____|_________|________|__________|_____|_________|
|TOTALIndicated | | | | TOTAL | | | |
| |9,945,000 |1.33 | 425,000 |Inferred|5,033,000 |1.41 | 228,000 |
|_________________|__________|_____|_________|________|__________|_____|_________|
(1) See footnote #1 from previous table.
Project Geology
Cretaceous-age quartz monzonite sills and subordinately, lower Paleozoic siliciclastic sedimentary strata, host epithermal-style gold mineralization at Brewery Creek. En echelon-style quartz veinlets and stockworks cut the pervasively clay-altered and locally silicified intrusions. Areas of elevated gold tenor relate directly to zones of concentrated quartz veining, though most of the lower-tenor material occurs as disseminations in the altered and strongly limonitic intrusions. Trace elements associated with gold mineralization include As, Sb and Hg, and unoxidized portions of the deposits commonly contain abundant pyrite and stibnite. Resources are reported from six zones which are mostly open to expansion in one or more directions laterally as well as at depth. Ongoing exploration has been designed to increase known resources as well as to identify new resource areas within the project area.
Project Overview
The Brewery Creek property was operated by Viceroy Gold from 1996 to 2002 as an open pit operation with run of mine material delivered to the heap leach pad. Historic overall gold recovery from the heap leach operation is estimated at approximately 60%. Historic reports indicate that a run-of-mine mixture which included preg robbing material was placed on the heap leach which reduced ultimate recoveries. The Company is undertaking a metallurgical characterization program to properly identify gold recovery profiles and preg robbing characteristics by mineralized area. The program will include large diameter core drilling in the summer of 2012 for use in column leach tests by mineralized area and metallurgical rock type. Data indicates that the preg robbing material is predominantly restricted to sedimentary rocks which can be visually identified and selectively removed from material reporting to a process facility.
The Brewery Creek Mineral Resource Estimate was completed by EBA, using Gemcom GEMS modelling software to conform to guidelines and definitions established by National Instrument 43-101 and the Canadian Institute of Mining and Metallurgy. James Barr, PGeo, an Independent Qualified Person from the consulting firm of EBA, and Bruce Otto, PGeo, Qualified Person and Senior Geologist with Golden Predator Corp., have reviewed and approved the contents of this news release. The Company will file a Technical Report in support of the disclosed resource estimates will be filed on SEDAR not more than 45 days from the date of this release.
About Golden Predator Corp.
Golden Predator Corp., Yukon's Gold Company, is mandated to become a mid-tier gold producer. Golden Predator's road-accessible advanced properties include its flagship Brewery Creek Project at which the Company is moving aggressively to a near term production decision, as well as its Grew Creek and Clear Creek Projects.
Golden Predator has one of the largest controlled land position in the Yukon, with exploration holdings in excess of 1,000,000 acres, and is committed to strong relationships with Yukon First Nations and communities. Golden Predator's management and technical teams continue to lead aggressive exploration programs in the underexplored regions of the Yukon, and are driven to bring value to shareholders and leave a positive legacy.
No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This press release contains projections and forward-looking information that involve various risks and uncertainties regarding future events. Such forward-looking information can include without limitation statements based on current expectations involving a number of risks and uncertainties and are not guarantees of future performance. There are numerous risks and uncertainties that could cause actual results and Golden Predator's plans and objectives to differ materially from those expressed in the forward-looking information. Actual results and future events could differ materially from those anticipated in such information. These and all subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by this notice. Except as required by law, Golden Predator assumes no obligation to update forward-looking information should circumstances or management's estimates or opinions change.
Golden Predator Corp.
CONTACT: Golden Predator Corp.
William M. Sheriff, Chairman & Chief Executive Officer
(604) 648-GOLD (4653)
info@goldenpredator.com
www.goldenpredator.com