Giant Mining Corp. announces an update on its Friday Gold Project (“Friday Gold”), located at Orogrande, approximately 16 km south-southwest of Elk City in the Orogrande Mining District, Idaho, USA, in which the Company holds a 20% ownership stake.
The Historical NI 43-101 Mineral Resource Estimate (“MRE”) dated Effective February 19th, 2013 entitled “Technical Report, Idaho Gold Project, Idaho County, Idaho, USA”[1] (the “Report“) did not include drilling that took place after the Effective date of the MRE.
The NI 43-101 historical resource estimate was based on the results of approximately 30,480 meters (100,000 ft) of drilling, 70 core holes with 17,368 meters (56,981 ft) and 107 RC holes with 13,141 meters (43,115 feet) of drilling. Grades as high as 447.81 g/t gold were noted in the report.[2]
David Greenway, CEO of Giant Mining, recently stated, “We couldn’t be more excited that gold is trading at an all-time near $2,700 per ounce. We are eager to provide an updated overview of Giant’s 20% shareholding in the Friday Gold Project—a value we believe the market has yet to fully reflect in our company’s market cap. With 1.237 million ounces of gold indicated and inferred, and the potential for further expansion by incorporating 14 already drilled holes with outstanding results, the project remains open in all directions, with several new targets. We believe the time is right to update the NI 43-101 and unlock the full potential of the Friday Gold Deposit for all stakeholders.”
[1] Premium Exploration Files Technical Report on the Idaho Gold Property (yahoo.com)
[2] https://finance.yahoo.com/news/premium-exploration-files-technical-report-224112517.html
The summary of the MRE are as follows:
Notes to accompany Mineral Resource tables:
- Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.
- Mineral resources are amenable to open pit mining methods and have been constrained using a Lerches-Grossmann optimized pit.
- Assumptions include US$1,500/oz Au, 85% Au recovery, $2.50/tonne mining cost, $2.00/tonne waste mining cost, $12.00/tonne process and G&A cost. No allowances have been made for mining losses and dilution. Pit slope angle of 45°.
- The Company has elected to use a 0.45 g/t gold cut-off (bolded) which is greater than the conceptual marginal cut-off of 0.36 g/t.
- Gold analyses are performed by fire assay/AA finish methods.
Mineral Resource Estimate from 2013 NI 43-101 Report with 1,237,000 ounces of gold Indicated + Inferred
The Friday Gold consists of a Historical NI 43-101 MRE containing an indicated 647,000 Ounces of Gold at an average grade of 1.0 Gram per tonne and a further inferred resource of 590,000 ounces at an average grade of 0.88 grams per tonne using a cut off grade of 0.45 grams per tonne.
Some of the headlines and results from the drilling reported by Premium Exploration Inc. (“Premium”) in 2013 and 2014, after the date of the NI 43-101 are as follows:
“Premium Exploration Encounters 151 Meters (496 Feet) of 2.68 g/t Gold at Its Idaho Gold Project” – January 23rd, 2014 [3]
“Premium Reports 5.23 G/T over 112.8 Meters at the Friday Deposit, Idaho including 32.22 G/T over 6.6 Meters” [4]
[3] Premium Exploration Encounters 151 Meters (496 Feet) of 2.68 g/t Gold at Its Idaho Gold Project (yahoo.com)
[4] Premium Exploration Encounters 151 Meters (496 Feet) of 2.68 g/t Gold at Its Idaho Gold Project (yahoo.com)
Premium further reported on October 7th, 2014 that the company had drilled fifteen holes (15) which have yet to be updated and included in the 2013 published MRE. Three holes of the fifteen holes targeted the gold zone located at roughly two hundred meters depth and twelve holes targeted a shallower gold zone at roughly 40-100 meters in depth. “The deposit remains open in all directions for continued expansion.”
Metallurgy
Premium historically announced and it was further reported in the NI 43-101 that “Results indicated that gold and silver reacted very well to cyanidation with excellent recoveries as follows:
- Gold 75-93%
Silver 17-81%
Areas of uncertainty that may materially impact the MRE include:
- Commodity price assumptions
- Assumptions that all required permits will be forthcoming
- Pit slope angles
- Metal recovery assumptions
- Mining and process cost assumptions
There are no other known factors or issues that materially affect the estimate other than normal risks faced by mining projects in terms of environmental, permitting, taxation, socio-economic, marketing, and political factors. The Company is not aware of any known legal or title issues that would materially affect the MRE.
About Premium Exploration
Premium Exploration Inc. (“Premium”), a BC reporting issuer that owns a 100% interest in the Friday Gold Project located at Orogrande, approximately 16 km south-southwest of Elk City in the Orogrande Mining District, Idaho, USA.
Giant Mining is a 20% Shareholder in Premium Exploration.
Neither the Canadian Securities Exchange nor its Market Regulator (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
Neither the Canadian Securities Exchange nor its Market Regulator (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
Qualified Person
The scientific and technical information contained in this news release has been reviewed and approved by Lawrence Segerstrom, a consulting geologist who is a “Qualified Person” as such term is defined under National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43- 101”).
About Giant Mining Corp.
Giant Mining Corp. is engaged in the identification, review and acquisition of latter stage copper and copper/silver/gold assets. This is in direct response to the growing worldwide demand and lack of supply for precious metals fueled by the Green New Deal in the US and most other developed nations with similar programs aimed at addressing climate change. Such programs are heavily reliant on silver, gold and especially copper to produce Electric Vehicles and other renewable power sources, as well as building infrastructure to provide clean and affordable electricity.
The flagship project is the Majuba Hill copper, silver and gold District located 156 miles (251 km) outside Reno, Nevada, USA. Management has been mandated to focus on safe, mining friendly jurisdictions where government regulations are supportive of mining operations.
On Behalf of the Board of Giant Mining Corp.
“David Greenway”
David C. Greenway
President & CEO
For further information, please contact:
E: [email protected]
P: 1 (604)-499-6791
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Forward-Looking Statements
This news release contains certain statements that may be deemed “forward-looking” statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Specific forward-looking statements in this news release include, without limitation, statements related to the anticipated listing of the Warrants on the CSE and the entering into of a warrant indenture pursuant to which the Warrants shall be governed. Although Giant Mining Corp. believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Forward looking statements are based on the beliefs, estimates and opinions of Giant Mining Corp. management on the date the statements are made. Except as required by law, Giant Mining Corp. undertakes no obligation to update these forward-looking statements in the event that management’s beliefs, estimates or opinions, or other factors, should change.
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