VANCOUVER, June 6, 2012 /PRNewswire/ - Guyana Frontier
Mining Corp. (TSX-V: GYG) ("Guyana Frontier") is pleased to
announce that it has carried out a review of a historical resource
estimate for the Mazoa Hill deposit at the Marudi Mountain Gold
Project ("Marudi Mountain") in southern Guyana, South
America. The historical resource estimate was first
published in 1995, prior to the implementation of National
Instrument 43-101 ("N.I. 43-101"). Guyana Frontier engaged Reserva
International LLC, of Reno, Nevada
to conduct the review.
About the Marudi Mountain Historical Resource
Estimate
The Marudi Mountain property has been the
subject of extensive historical work, including approximately
28,000 metres of diamond drilling. In June
1995, Kilborn Engineering Pacific Ltd. ("Kilborn"), of
Vancouver, B.C., Canada, prepared an evaluation report (the
"Evaluation Report") of Marudi Mountain for Sutton Resources Ltd
("Sutton"). The Evaluation Report included a resource estimate for
the Mazoa Hill target area, where approximately 13,530 metres were
drilled in 70 historical holes, based on drill core data,
geological descriptions, surface trenching channel samples, and
adit channel samples provided to Kilborn by Sutton. Metallurgical test data used for the
Evaluation Report were taken from 1982 and 1991-1993 work
programs.
Geological resources as depicted in Table 1 at
selected cut-off grades of 0.50, 1.00 and 1.50 grams/tonne gold
were classified by Kilborn as "Measured & Indicated", and
"Inferred" categories based on the "Principles of Resources/Reserve
Classification for Minerals" contained in Circular 831 published by
the U.S. Bureau of Mines and the U.S. Geological Survey ("USGS").
See Table 2 for a comparison between the mineral resource category
definitions described in USGS Circular 831, and those definitions
published by the Canadian Institute of Mining, Metallurgy and
Petroleum ("CIM") in 2010, which were adopted under N.I.
43-101.
Table1. Historical Geological Resources of the
Mazoa Hill Deposit (from "Evaluation Report of the Marudi Mountain
Project", by Kilborn, 1995)
Mineral
Resource
Category |
Above
Cut-off Gold
Grade
(grams/tonne) |
Volume
(m3) |
Average
Grade
Gold
(grams/tonne) |
Tonnage
(metric
tonnes) |
Metal
Content
(Gold)
(grams)
(oz.) |
Measured &
Indicated |
0.50 |
1,584,187 |
2.36 |
4,594,143 |
10,842,177 |
348,589 |
Inferred |
0.50 |
407,910 |
1.99 |
1,182,940 |
2,354,051 |
75,686 |
Measured &
Indicated |
1.00 |
1,165,890 |
2.94 |
3,381,081 |
9,940,378 |
319,595 |
Inferred |
1.00 |
296,870 |
2.45 |
860,924 |
2,109,264 |
67,815 |
Measured &
Indicated |
1.50 |
906,425 |
3.42 |
2,628,633 |
8,989,925 |
289,037 |
Inferred |
1.50 |
202,448 |
3.02 |
587,100 |
1,773,042 |
57,005 |
The resource estimate contained in the
Evaluation Report is historical in nature, and is not based on an
existing technical report prepared under the guidelines of N.I.
43-101. Guyana Frontier considers the historical resource estimate
to be relevant to ongoing exploration and believes that it provides
a conceptual indication of the potential of the gold occurrence but
does not consider it to be reliable at this time. No more recent
mineral resource estimate regarding the Mazoa Hill deposit is
available to Guyana Frontier. A Qualified Person, as defined by the
guidelines of N.I. 43-101, has not done sufficient work to classify
the historical estimate as current mineral resources or mineral
reserves, and Guyana Frontier is not treating the historical
estimate as current mineral resources or mineral reserves.
Reserva International LLC recommends that in
conjunction with additional drilling, the implementation of a
comprehensive QA/QC program, standard data verification procedures,
and additional measurements of specific gravity and core recovery
would be required to validate the historical resource estimate and
align it more closely with current best practice guidelines. Guyana
Frontier has implemented industry standard QA/QC procedures in its
2012 drilling program.
As Table 2 shows below, the implementation of
the CIM mineral resource category definitions presents a higher
degree of detail than the definitions used prior to the
implementation of N.I. 43-101. For example, the 1995 Kilborn
mineral resource estimate provides a combined measured and
indicated resource, and does not separate or distinguish between
the two categories.
Table 2. Comparison of Mineral Resource
Category Definitions, c.1995 vs. 2010
Mineral
Resource
Category |
USGS Circular 831
(1980) |
CIM (2010) |
Measured Mineral
Resource: |
Materials whose quality and quantity
have been determined, within a margin of error of less than 20
percent, by quantitative data, including
appropriate analyses, from closely spaced and
geologically well-known sample sites. |
That part of a mineral resource for
which quantity, grade or quality, densities, shape, and physical
characteristics are so well established that they can be estimated
with confidence sufficient to allow the appropriate application of
technical and economic parameters, to support production planning
and evaluation of the economic viability of the deposit. The
estimate is based on detailed and reliable exploration, sampling
and testing information gathered through appropriate techniques
from locations such as outcrops, trenches, pits, workings and drill
holes that are spaced closely enough to confirm both geological and
grade continuity. |
Indicated
Mineral
Resource: |
Materials whose quality and quantity
have been estimated partly from analyses and
measurements and partly from reasonable geologic
inferences. |
That part of a mineral resource for
which quantity, grade or quality, densities, shape and physical
characteristics can be estimated with a level of confidence
sufficient to allow the appropriate application of technical and
economic parameters, to support mine planning and evaluation of the
economic viability of the deposit. The estimate is based on
detailed and reliable exploration and testing information gathered
through appropriate techniques from locations such as outcrops,
trenches, pits, workings and drill holes that are spaced closely
enough for geological and grade continuity to be reasonably
assumed. |
Inferred Mineral
Resource: |
Materials in identified but
unexplored deposits whose quality and quantity have been estimated
from geologic projections. |
That part of a mineral resource for
which quantity and grade or quality can be estimated on the basis
of geological evidence and limited sampling and reasonably assumed,
but not verified, geological and grade continuity. The estimate is
based on limited information and sampling gathered through
appropriate techniques from locations such as outcrops, trenches,
pits, workings and drill holes. |
Marudi Mountain 2012 Drilling Program
The 2012 drilling program was planned to assess
the gold mineralization found in historical drilling and support
the establishment of a N.I. 43-101 compliant resource estimate, if
applicable. It is not known at this time how many drill holes or
the number of metres of diamond drilling that would be required to
produce a N.I. 43-101 compliant resource estimate for the Marudi
Mountain property.
Guyana Frontier's 2012 drilling program,
consisting of 12 holes totaling 1,977.47 metres, concluded in
April 2012 (see Guyana Frontier's
news releases dated May 2, 2012 and
May 24, 2012). Three holes were
drilled in the Mazoa Hill target area, and the remaining 9 holes
were drilled in the Marudi North target area, where Guyana Frontier
had identified prospective drill targets from its extensive 2011
trenching program. Guyana Frontier successfully encountered gold
mineralization at Marudi North within quartzite-metachert rocks
(the host rock), interpreted as similar in composition to the rocks
known to host gold mineralization at the Mazoa Hill target area,
located approximately 1.6 kilometres to the south. Results of 6
holes from Marudi North yet to be reported are currently being
compiled and interpreted.
For maps and photos depicting the 2012 drilling,
please visit Guyana Frontier's
website at www.guyanafrontier.com
The technical disclosure in this news release
was reviewed and approved by Mr. Tim
Carew, P.Geo., of Reserva International LLC, a Qualified
Person as defined in N.I. 43-101 and an independent contractor to
Guyana Frontier.
About Marudi Mountain
Marudi Mountain consists of one Mining Licence
totaling 13,502 acres (5,464 hectares) located in southern
Guyana approximately 500
kilometres (330 miles) from the capital city of Georgetown.
Guyana Frontier also holds the adjacent Paint
Mountain property ("Paint Mountain"). Paint Mountain consists of
one Prospecting Licence totaling 8,848 acres (3,581 hectares) and
remains largely underexplored. Guyana Frontier recently commenced surface
exploration at Paint Mountain, including trenching, prospecting,
and geological mapping. A portion of the property has been selected
for trenching, detailed mapping and sampling on the basis of
favourable geology and the presence of artisanal alluvial gold
miners. Airborne geophysical surveys are planned for both the Paint
Mountain and Marudi Mountain properties in 2012.
About Guyana Frontier
Guyana Frontier is a public mineral exploration
company listed on the TSX Venture Exchange (TSX-V: GYG), and is
focused on the exploration, discovery and development of precious
metals deposits within Guyana,
South America. Guyana Frontier
began acquiring interests in Guyanese exploration properties in
2007, and now holds various rights to obtain working interests in
approximately 342,000 acres (138,400 hectares) of prospective
lands. Guyana Frontier's goal is to develop a significant gold
resource at Marudi Mountain, and to explore its other Guyanese
projects using funding from exploration partners.
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.
FORWARD LOOKING STATEMENTS
This release contains "forward-looking
statements" within the meaning of applicable Canadian securities
legislation. Forward-looking statements include, but are not
limited to, statements that address activities, events or
developments that the Company expects or anticipates will or may
occur in the future, including such things as planned exploration
activities at the Marudi Mountain and Paint Mountain properties,
the establishment of an NI 43-101 compliant resource at the Marudi
Mountain property, future business strategy, competitive strengths,
goals, expansion, growth of the Company's businesses, operations,
plans and with respect to exploration results, the timing and
success of exploration activities generally, permitting time lines,
government regulation of exploration and mining operations,
environmental risks, title disputes or claims, limitations on
insurance coverage, timing and possible outcome of any pending
litigation and timing and results of future resource estimates or
future economic studies.
Often, but not always, forward-looking
statements can be identified by the use of words such as "plans",
"planning", "planned", "expects" or "looking forward", "does not
expect", "continues", "scheduled", "estimates", "forecasts",
"intends", "potential", "anticipates", "does not anticipate", or
"belief", or describes a "goal", or variation of such words and
phrases or state that certain actions, events or results "may",
"could", "would", "might" or "will" be taken, occur or be
achieved.
Forward-looking statements are based on a
number of material factors and assumptions, including, the result
of drilling and exploration activities, that contracted parties
provide goods and/or services on the agreed timeframes, that
equipment necessary for exploration is available as scheduled and
does not incur unforeseen break downs, that no labour shortages or
delays are incurred, that plant and equipment function as
specified, that no unusual geological or technical problems occur,
and that laboratory and other related services are available and
perform as contracted. Forward-looking statements involve
known and unknown risks, future events, conditions, uncertainties
and other factors which may cause the actual results, performance
or achievements to be materially different from any future results,
prediction, projection, forecast, performance or achievements
expressed or implied by the forward-looking statements. Such
factors include, among others, the interpretation and actual
results of current exploration activities; changes in project
parameters as plans continue to be refined; the existence of
weather conditions suitable for exploration activities; future
prices of minerals; possible variations in grade or recovery rates;
failure of equipment or processes to operate as anticipated; the
failure of contracted parties to perform; labour disputes and other
risks of the mining industry; delays in obtaining governmental
approvals or financing or in the completion of exploration, as well
as those factors disclosed in the company's publicly filed
documents. Although the Company has attempted to identify important
factors that could cause actual actions, events or results to
differ materially from those described in forward-looking
statements, there may be other factors that cause actions, events
or results not to be as anticipated, estimated or intended. There
can be no assurance that forward-looking statements will prove to
be accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance on forward-looking
statements.
SOURCE Guyana Frontier Mining Corp.