CDNX Symbol - “GMD”
U.S. 12g3 Exemption #82-4071
News Release No. 234
January 12, 2001
NEWS RELEASE
DISPOSITION OF THE DISCOVERY GOLD PROPERTY, NORTHWEST TERRITORIES
GMD Resource Corp. (“the Company”) reports that it has, subject to regulatory approval, entered into an agreement with Tyhee Development Corp. (“Tyhee”) wherein Tyhee can acquire GMD’s Discovery Gold Property, Northwest Territories, Canada.
Tyhee also has the opportunity to acquire additional property in the vicinity of the Discovery Property which will be subject to this royalty.
The terms and conditions of the Discovery Sale and Purchase Agreement are as follows;
Total consideration $265,000 payable as follows:
(a) $53,000 on closing;
(b) $132,500 on or before the day which is 90 days after the closing date; and
(c) $79,500 on or before the day which is 220 days after the closing date
Plus a Net Smelter Royalty over the Discovery Property and all contemplated acquisitions as follows:
 ¾% for the first five years or until recovery of plant capital whichever occurs first and thereafter:
 1% up to a gold price of $300.00 per ounce
 1 ½% from a gold price of $300.00 to $350.00 per ounce
 1 ¾% from a gold price of $350.00 to $500.00 per ounce; and
 2 ¼% above a gold price of $500.00 per ounce.
The royalty may be reduced by 50% for a $1,000,000 payment.
The Ormsby Zone’s Indicated “In Situ” resource base as calculated by V. Pratico P. Geol (Alberta) and reviewed by Dr. Michael Cunningham, P. Geol (NWT) is as follows:
Tonnes Grade, gold gpt Contained ounces gold
Indicated Resource 396,000 19.97 254,000
Inferred Resource 402,000 20.12 260,000
The above Ormsby Zone resource calculation conforms to the Mineral Resource Classification Guidelines published in National Instrument 43-101 as adopted by participating Provincial Securities Exchange Commissions and applicable in British Columbia. The Ormsby Zone remains open along strike and down dip, constrained to the lithon which is 1,400 meters long and 120 to 240 meters wide.
For further information contact Investor Relations at (250) 382-5562 or 1-800-808-3350.
GMD RESOURCE CORP.
“Rodney N. Duncan”
Rodney N. Duncan
President
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