Golden Eagle Announces Progress on C Zone Gold Mill Expansion
Friday July 20
Final Phase of Due Diligence Study on Feasibility Work at A Zone Gold & Copper Project
SALT LAKE CITY, UT--(MARKET WIRE)--Jul 20, 2007 -- Golden Eagle International, Inc. (OTC BB:MYNG.OB - News) announced today that its field staff is progressing on the expansion of its C Zone pilot mill toward commercial gold production. Equipment is continuing to arrive on-site and infrastructure improvements, including water resource development, are underway. The Company anticipates the arrival of the final pieces of required equipment for the expanded mill within the next 60 days and the generation of revenue from gold production during the fourth quarter of 2007. Golden Eagle plans to incrementally expand its C Zone pilot operations up to a production capacity of five hundred cubic meters (approximately 1,000+ tonnes) per day. The C Zone is located on the Company's Precambrian properties 300 kilometers (180 miles) north of Santa Cruz, Bolivia and approximately 5 kilometers (3.2 miles) southwest of Golden Eagle's A Zone VMS gold and copper project.
Source: Golden Eagle International, Inc.
Exploration Trench Buen Futuro A Zone
· Golden Eagle International
Within the past 30 days Golden Eagle increased its estimate of the average gold grade per cubic meter of mineralized material in the C Zone to 1 g/m3 as a result of the Company's trenching and quartz crushing programs carried out in the final phase of its pilot program. Golden Eagle estimates that the most sampled core area of its eluvial placer gold deposit in the C Zone contains 630,000 m3 (approximately 1.26 million tonnes) of mineralized material. (Note that mineralized material is not the equivalent of proven or probable reserves.)
The C Zone gold deposit is open to the south and at depth. Golden Eagle intends to continue its exploration on the C Zone after production has commenced. The Company's mine plan calls for the use of data gathered from 265 auger drilling and shaft-style pit sampling sites, as well as from 7 months of confirmation pilot operations, to focus its initial mining on several high-grade areas identified within the C Zone.
Golden Eagle also announced that it is in the final phase of a 5-month due diligence study with Washington Group International, a leading international engineering, construction and management company, regarding Golden Eagle's feasibility work to date on its Buen Futuro A Zone gold and copper project. The A Zone project is located 5 kilometers (3.2 miles) northeast of its C Zone gold project in eastern Bolivia.
Golden Eagle estimates that the A Zone contains 4.36 million tonnes of mineralized material in the gold oxide layer with a gold grade of 1.23 g/t for a total of 172,000 troy ounces; and 6.5 million tonnes in the copper-enriched supergene layer with a copper grade of 1.85% for a total of 120,000 fine tonnes (265 million pounds). (Note that mineralized material is not the equivalent of proven and probable reserves.) The Company's estimates are based on data gathered through a combined 13,300 meters (43,890 feet) of auger, reverse circulation and diamond core drilling, as well as 13.3 kilometers (8 miles) of trenching.
The A Zone comprises less than one-half of one percent of Golden Eagle's 136,500-acre (213-square mile) landholding within the Ascension Gold-Copper Trend. Geophysical test work to date has demonstrated that this Trend on the Company's claims extends for 35 kilometers (21 miles) within the Guarayos Greenstone Belt.
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Golden Eagle International, Inc. is a gold and copper exploration and mining company headquartered in Salt Lake City, Utah and with offices also in Santa Cruz, Bolivia. The Company is concentrating its efforts on expanding its pilot operations into production operations on its gold project on the C Zone within its 136,500 acres (213 square miles) in eastern Bolivia's Precambrian Shield. In addition, the Company is working with its international engineering consulting firm on a due diligence study on the Company's A Zone Buen Futuro gold and copper project.
The Company highly recommends that you review its disclosures, risk statements, previous press releases, annual reports, quarterly reports and current reports found at its website: www.geii.com.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS AND RISKS
Some of the statements in this press release are forward-looking statements and are based on an assumed set of economic conditions and courses of action, including: (a) whether Golden Eagle will be able to obtain sufficient financing to continue to meet its operational goals; (b) estimates of mineralized material and future production levels; (c) uncertainties that result from actions that may be taken in Bolivia relative to increases in the Complementary Mining Tax, Corporate Income Tax or the amount paid for mining patents [claims fees] in the future; (d) uncertainties that result from social and political conditions in Bolivia; and (e) other risk factors and matters disclosed in Golden Eagle's Securities and Exchange Commission ("SEC") filings that may be accessed at www.sec.gov. There is a significant risk that actual material results will vary from projected results. No information provided in this press release should be construed as a representation, or indication in any form or manner, of the present or future value of the Company or its common stock. Readers of information contained in this press release should carefully review the Company's filings with the SEC that contain important information regarding the Company's financial results, its future plans and their limitations, and the risks involved with the Company's operations. Additionally, nothing in this press release and our plans with respect to the Buen Futuro A Zone gold and copper project, as well as the C Zone gold project, should be construed by any means as an indication of whether we will ever conduct successful mining operations in connection with those projects. Golden Eagle disclaims any responsibility to update forward-looking statements made herein.
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Source: Golden Eagle International, Inc. |
