VANCOUVER,
April 2, 2012 /PRNewswire/ - Gold
Bullion Development Corp. (TSXV: GBB) (OTCPINK: GBBFF) (the
"Company" or "Gold Bullion") is pleased to provide an 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.
Highlights include the following:
- The in situ measured resource is 97,700 ounces (3.02
million tonnes grading 1.01 g/t), indicated resource is 543,400
ounces (17.04 million tonnes grading 0.99 g/t), inferred resource
is 846,600 ounces gold (23.93 million tonnes grading 1.10 g/t Au)
using a cut-off grade of 0.40g/t.
- The selected base case in-pit measured resource is 95,300
ounces (2.9 million tonnes grading 1.02 g/t), indicated resource is
435,600 ounces (12.49 million tonnes grading 1.08 g/t), inferred
resource is 135,600 ounces gold (3.4 million tonnes grading 1.24
g/t Au) using a cut-off grade of 0.40g/t based on a
Whittle-optimized pit shell simulation using estimated operating
costs, a gold price of CAN$1300 per ounce and a corresponding lower
cut-off grade of 0.4 grams per tonne gold.
- Remaining underground resources under the selected base case
in-pit surface above a cut-off grade of 2.0 g/t is 273,200
ounces (2.32 million tonnes grading 3.66 g/t).
- 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 who have authorized the
release of the following estimates.
The table below summarizes the SGS Geostat block
model estimates using variable cut-off grades:
Granada Gold Deposit In Situ Resource
Estimates
Class |
Tonnage |
Au g/t |
Au |
Cut-off |
|
(,000)
tonnes |
Grade |
Oz |
|
Measured |
100 |
4.56 |
14,400 |
3.0+ |
300 |
3.24 |
26,300 |
2.0+ |
900 |
1.88 |
56,300 |
1.0+ |
1,100 |
1.74 |
61,100 |
0.9+ |
1,300 |
1.59 |
67,500 |
0.8+ |
1,600 |
1.46 |
73,100 |
0.7+ |
1,900 |
1.30 |
80,700 |
0.6+ |
2,400 |
1.16 |
88,600 |
0.5+ |
3,000 |
1.01 |
97,700 |
0.4+ |
4,000 |
0.85 |
108,100 |
0.3+ |
Indicated |
600 |
4.67 |
97,500 |
3.0+ |
1,400 |
3.41 |
161,000 |
2.0+ |
4,600 |
1.99 |
306,300 |
1.0+ |
5,400 |
1.84 |
329,700 |
0.9+ |
6,500 |
1.67 |
361,500 |
0.8+ |
7,700 |
1.52 |
392,400 |
0.7+ |
9,800 |
1.34 |
436,400 |
0.6+ |
12,500 |
1.17 |
485,200 |
0.5+ |
16,400 |
0.99 |
543,400 |
0.4+ |
22,700 |
0.81 |
614,500 |
0.3+ |
Inferred |
1,700 |
4.48 |
255,800 |
3.0+ |
2,900 |
3.60 |
346,700 |
2.0+ |
6,500 |
2.35 |
513,600 |
1.0+ |
7,600 |
2.16 |
545,700 |
0.9+ |
9,500 |
1.90 |
600,700 |
0.8+ |
10,900 |
1.74 |
636,800 |
0.7+ |
13,500 |
1.53 |
692,200 |
0.6+ |
17,800 |
1.30 |
768,800 |
0.5+ |
23,100 |
1.10 |
846,600 |
0.4+ |
33,200 |
0.87 |
961,300 |
0.3+ |
Note: rounded numbers, base case cut-off >0.4
g/t |
SGS also estimated an in-pit resource within a
Whittle-optimized pit shell using a base case gold price of
CAN$1300 per ounce. The table below summarizes the in-pit resources
with the selected base case in Whittle optimizations:
Classification |
Tonnage |
Au g/t |
Au |
|
inpit |
Grade |
Oz |
Measured |
2,902,000 |
1.02 |
95,300 |
Indicated |
12,490,000 |
1.08 |
435,600 |
Inferred |
3,403,000 |
1.24 |
135,600 |
Mea+Ind |
15,392,000 |
1.07 |
530,900 |
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 general fees and administration costs), assuming gravity
cyanidation treatment of the mineralized material, giving base cost
of CAN$29.30 per tonne including stripping. Other assumptions
include 94.1% recovery of gold 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
comprised a total of 57,803 metres of drilling obtained from the
2009-2010-2011 Gold Bullion Development Corporation drill programs,
now 326 of the 404 holes drilled to date.
- 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. As additional
QA/QC, SGS Geostat has carried an extensive independent sampling
program with total gold testing, pulp reassays from various
laboratories in addition to half witness core complete re assay
program in order to get confidence and enable preparation of a NI
43-101 compliant estimate of resources.
- The SGS database made of Gold Bullion validated data also
comprised a total of 57,689 assays.
- 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 20 g/t.
- All estimates are based on a Parent Cell dimension of 5 metres
E, 5 metres N and 5 metres height with search ellipsoid and
estimation parameters determined for the mineralized zone geometry.
The block model grid extends from UTM 646,200E to 647,650E and
5,337,600N to 5,338,850N from (350m) to -250m above sea level site
surface elevation around 320m.
- 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 30m by 5m
dipping 47 degrees north, while the second run used a minimum of 3
holes within a search ellipsoid of 100m by 60m by 10m dipping 47
degrees north, and the last run one hole within the domain minimum
3 composites in a 150m by 100m by 15m dipping 47 degrees
north.
- For the classification 4 holes with 3 composites within a 30m
by 20m by 5m ellipsoid for measured, 3 holes with 3 composites
within a 60m by 40m 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 resource estimates using the lower cut-off of 0.4 g/t Au is
emphasized for reporting purposes as this is the in-pit cut-off
estimated for the CAN$1300 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 Persons 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
their 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.