Golden Hope Mines Provides an Exploration Update
TSX VENTURE: GNH
PINK SHEETS: GOLHF
MONTREAL, July 3, 2012 /CNW/ - Golden Hope Mines Limited (TSXV: GNH) (Pink Sheets: GOLHF) - Golden Hope Mines is pleased to provide its shareholders with an exploration update at its Bellechasse claim block in southeastern Quebec.
The Company recently released its first resource estimate at the Bellechasse-Timmins gold deposit. This is a major milestone for both Golden Hope and the Bellechasse Region of southeastern Quebec.
The estimate includes an indicated resource (using uncapped composites and a cut-off grade of 0.60g/t) of 313,900 ounces of gold in 2.9 million tonnes grading 3.36 g/t within the T1 and T2 structures and an inferred resource of 102,000 ounces in 2.2 million tonnes grading 1.46 g/t, which also included part of the T1, T2, Ascot and 88 zones. Mineralization in these structures is open to depth, to the northeast near surface, and to the southwest at depth.
The Bellechasse-Timmins gold deposit includes more than a dozen parallel mineralized zones which have been intersected during exploration adjacent to the T-1 and T-2 zones, but there was insufficient confidence in the limited amount of data to permit inclusion in the current resource estimate.
The Company's primary focus is to expand and grow the resource through further exploration. Once the Company is confident in the level of exploration, it will determine when it should complete a Preliminary Economic Assessment (PEA).
The Bellechasse-Timmins gold deposit occupies less than 1% of the area of the Company's claims within the Bellechasse Belt. The Company believes additional deposits remain to be discovered. In addition, none of the gold mineralization found appear to be the source of the gold placer deposits historically mined in the region.
The Company also believes there is an excellent possibility for other discoveries in addition to the existing resource at Bellechasse-Timmins that will develop the area into a future mining camp. A good example is the Champagne Deposit. It lies approximately 3.2 kms north of Bellechasse-Timmins. It has a near surface historical non- 43-101 resource of 250,000 tonnes of massive and disseminated sulphides averaging 2.4 g/t gold, 19.7 g/t silver, 2.7% zinc, 0.40% copper and 0.4% lead.
The Company completed a VTEM survey in late 2011, which detailed several high quality VMS targets that demand to be drilled within close proximity of the Champagne Deposit.
The Company also has a number of other high priority new targets for gold, silver, and base metals, which it intends to drill. The Company plans an exploration campaign which will include:
Bellechasse-Timmins: to expand upon the existing resource
Champagne: to bring this deposit into resource category
New Targets for gold, silver and base metals
"Although the market for junior exploration companies was difficult throughout 2011, it has been particularly difficult, since the beginning of March 2012. We believe that ultimately, fundamentals will prevail and that the stage for Golden Hope is set. The Bellechasse-Timmins gold deposit is simply scratching the surface of what may lie within our large claim block in southeastern Quebec. The possibilities for further discoveries are excellent and these have tremendous potential to add significant value to our Company. To further put things into perspective, at the current share price, our Company's current market capitalization is approximately $10M. At current gold prices of approximately $1,500 per oz, the indicated and inferred resources of the Bellechasse-Timmins deposit equate to contained gold value in excess of $600 million dollars. In addition, we are trading at approximately $25 per ounce of gold in the ground. While there is no guarantee that the Company will be successful in expanding the resource or that the deposit will ultimately be converted into a producing mine, the results are extremely encouraging. We have moved from a company just exploring targets to one with a resource base that we plan to build upon." states, Frank Candido, President, Golden Hope Mines Ltd.
James E. Tilsley, P.Eng is acting as the qualified person (QP) for Golden Hope in compliance with National Instrument 43-101 and has reviewed the technical contents of this release. |
