Attention Business Editors:
Bema Gold Signs Option on High Grade Gold Property In Manitoba
VANCOUVER, Jan. 29 /CNW/ - Bema Gold Corporation ("Bema or "The Company")
is pleased to announce it has signed an option with Wolfden Resources Inc.
("Wolfden) to earn up to 70% of the high-grade Monument Bay gold property in
northeastern Manitoba.
Noranda Inc. ("Noranda") and Wolfden drilled 89 holes totaling 27,000
metres between 1989 and 2000. Examples of the significant results from the
historic drilling are as follows:
<<
Hole No. Zone Year Interval(m) Length(m) Grade(g/t)
------------------------------------------------------------------------
89-08 Twin Lakes A 1989 113.9-116.9 3.0 29.26
89-09 Twin Lakes B 1989 203.8-206.3 2.5 20.79
89-11 Twin Lakes B 1989 204.5-206.6 2.1 24.16
89-12 Twin Lakes B 1989 218.8-219.8 1.0 18.2
90-16 Twin Lakes B 1990 325.2-326.2 1.0 51.1
TL001 Twin Lakes B 2000 114.9-119.1 4.2 29.97
TL004 Twin Lakes B 2000 157.15-158.95 1.8 36.84
90-31 Seeber River B 1990 152.6-155.1 2.5 83.4
90-33 Seeber River A 1990 244.5-247.3 2.8 16.05
90-51 Seeber River B 1991 294.0-295.2 1.2 17.2
91-60 Seeber River
West 1991 157.2-160.1 2.9 106.87
>>
Noranda discovered mineralization on the property in 1989 and drilled 66
holes totaling 22,000 metres from 1989 to 1991. Wolfden completed 23 drill
holes in 1999 - 2000 totaling 5000 metres, which successfully extended
mineralization within the Twin Lakes zone. In addition, Wolfden recently
negotiated the removal of Newmont's back-in right on the property. Newmont
acquired the property, as part of its takeover of Battle Mountain Gold.
The Monument Bay property hosts high-grade gold mineralization within the
Stull Lake greenstone belt similar to the Red Lake district in northern
Ontario. The property is 23 kilometers long, up to 3 kilometers wide and
covers 66.9 square kilometres. Gold mineralization is associated with narrow
quartz veins and silicified zones within the 30 kilometer long Twin lakes -
Monument Bay deformation zone. Most of the historic drilling has consisted of
widely spaced drilling within 3 zones along 3.5 kilometers of the deformation
zone. The remainder of the deformation zone is untested. The higher-grade
intersections appear to form continuous ore shoots within the three individual
zones and these ore shoots remain open in several directions. The areas
between the zones have had very little drilling.
Bema can earn up to 70% of the property in two stages. The initial 51%
can be earned by spending CDN$3 million dollars by December 31, 2005 and
making annual payments of CDN$50,000. The remaining 19% can be earned by
spending an additional CDN$3 million dollars and making payments totaling
CDN$150,000. An initial payment of CDN$25,000 and 150,000 common shares of
Bema will be made upon signing of the formal option agreement.
The Manitoba government has been proactive in encouraging mineral
development and programs such as the Mineral Exploration Assistance Program
contributed to Bema's decision to pursue the Monument Bay property. The
Mineral Exploration Assistance Program will return 35% of money spent on
exploration in northeastern Manitoba up to CDN$400,000 per annum.
Bema's technical team believe the Monument Bay property has excellent
potential to host a high grade gold deposit. This acquisition is consistent
with Bema's policy of exploring and developing high-grade projects that have
the potential to generate strong cash flow at today's mineral prices. In
keeping with this policy, Bema recently commenced production at the high grade
Julietta gold and silver mine in far-east Russia.
The Company plans to commence a diamond drilling program at Monument Bay
in mid to late February, 2002.
On behalf of BEMA GOLD CORPORATION
"Clive T. Johnson"
Chairman, C.E.O., & President
The Toronto Stock Exchanges neither approves nor disapproves the
information contained in this News Release, Bema Gold Corporation trades on
The Toronto and American stock exchanges. Symbol: BGO.
Some of the statements contained in this release are forward-looking
statements, such as estimates and statements that describe the Company's
future plans, objectives or goals, including words to the effect that the
Company or management expects a stated condition or result to occur. Since
forward-looking statements address future events and conditions, by their very
nature, they involve inherent risks and uncertainties. Actual results in each
case could differ materially from those currently anticipated in such
statements.
-30-
For further information: on Bema Gold or the remaining drilling results
for Monument Bay, please contact Investor Relations at (604) 681-8371 or
toll-free 1-800-316-8855 or alternatively contact our web-site at
www.bema.com
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