Press Release Source: Gold-Ore Resources Ltd.
Gold-Ore Resources Ltd.: Project Update, Bjorkdal Gold Mine, Sweden
Thursday August 17, 9:30 am ET
VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 17, 2006) - Gold-Ore Resources Ltd. (TSX VENTURE:GOZ - News) provides an update on the Bjorkdal Gold Mine in Sweden where the Company has been aggressively exploring since March 2006. Operating results for gold production for the first 6 months of 2006 are also provided. Gold-Ore has an option to purchase 100% of the project from Minmet plc of Dublin, Ireland (see NR dated Jan. 23, 2006).
The Company's objective in the current program is to complete a feasibility study to evaluate re-activation of mining to produce 75,000 to 100,000 ounces gold per annum.
Exploration Activities
A USD$4.0 million exploration program commenced in March and is designed to test the northern extension of gold mineralization previously mined in the Bjorkdal open-pit. The program involves the excavation of 900 metres of tunnel and drilling 8,000 metres of diamond drill core.
The tunneling has advanced at a satisfactory rate and is on-track to be completed in early October. Ground conditions have been excellent and the main access ramp is now 325 metres long. Drive tunnels following the Victoria, Bridget and Rebecca Veins total a further 300 metres. This represents 70% completion for the tunneling.
Drilling commenced on June 4th and, to date, 1,900 metres of core has been recovered. Only 23 of an estimated 100 holes have been completed. Two underground diamond drills are on-site and will drill an approximate 8,000 metres of core during this phase. Underground drill stations have been established on 30 metre spacing along the drives and holes are drilled in radial-fan fashion in 360 degrees degree arcs. Patterns of five to seven holes per site are drilled.
Results
Gold-Ore has now received 2,900 gold assays from ALS Chemex for underground muck and panel samples and diamond core samples. This combined with a further 44,385 tonnes of bulk sample confirms that the mineralization extends from the open pit and passes through the area under evaluation in the Phase I program. The Company will release drill results in early September.
Preliminary observations from drill core and panel sample assays indicate that the gold mineralization is restricted to persistent vein structures and is not disseminated in the host rock. Evaluation of the Phase I results will include investigating both open pit and underground mining methods.
Bulk Samples
All rock excavated from the underground workings is processed in the plant in order to recover the gold and to assist in grade determination. A total of 44,385 tonnes has been processed and 1,329 ounces of gold have been recovered. To date, gold sales of approximately USD$775,000 (after refinery/smelter charges) have subsidized the exploration program and a further 12,000 tonnes will be processed in August. Gold sales from all of the bulk samples will pay for the majority of the underground development.
The underground rock processed has largely come from the access ramp which cross-cuts the veins and thus incorporates both waste rock and mineralized quartz veins resulting in a lower grade mill-feed.
Gold Production
Gold production from the Bjorkdal concentrating plant for the first six months of 2006 was 9,900 ounces compared with 10,973 ounces during the same period in 2005. A total of 599,226 tonnes at an average gold grade of 0.60 g/t was processed. The material processed was from the surface stockpiles (93.5%) and from the underground exploration (6.5%).
The operating profit for the first six months was USD$454,000 and has been re-invested into capital expenditures on the project.
Bjorkdal property information is posted on the Company's web site at www.goldoreresources.com. Robert S. Wasylyshyn; P. Geo. is the Company's Qualified Person for the Bjorkdal Project.
ON BEHALF OF THE BOARD
Robert Wasylyshyn, P.Geo, President
The TSX Venture Exchange has not viewed and does not accept responsibility for the adequacy or accuracy of this release.
Contact:
Glen Dickson
Gold-Ore Resources Ltd.
(604) 687-8884
Bob Wasylyshyn
Gold-Ore Resources Ltd.
(604) 687-8884
(604) 629-0400 (FAX)
www.goldoreresources.com
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Position:
29,000 shares
regards,
john |
