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Gold/Mining/Energy : GMD RESOURCE -- Ignore unavailable to you. Want to Upgrade?

To: Dave R. Webb who wrote (981)	12/17/1999 3:49:00 PM
From: Richnorth	Read Replies (1) \| Respond to of 1030

GMD RESOURCE CORP. Suite 1650 - 999 West Hastings Street, Vancouver British Columbia V6C 2W2 Telephone: (604) 662-3350 Facsimile: (604) 669-1605Toll Free: 1-800-808-3350 E-mail: rduncan@helinet.com ________________________________________________________________________ VSE Symbol - "GMD" U.S. 12g3 Exemption #82-4071 News Release No. 216 December 17, 1999 NEWS RELEASE Discovery Gold Project, NWT Revised Resource Estimate GMD Resource Corp. (the "Company") reports that a revised resource calculation for the Ormsby Zone contained within the Company's 100% owned Discovery project, located 90 km north of Yellowknife, NWT has been received. The Discovery Project consists of one irregular shaped 690 hectare mineral claim containing the former Discovery Mine. The Discovery Project is situated in the North part of the Yellowknife Greenstone Belt which is a sequence of metavolcanic and metasedimentary rocks, and related intrusions of the Yellowknife Supergroup, trending north and northeast from the north shore of Great Slave Lake. The two principal mineralized zones of interest are the Ormsby Zone located in the southern portion of the Ormsby lithon and the former Discovery Mine located 2km to the northeast. The Ormsby Zone gold mineralization occurs as numerous native gold bearing zones of sulphide altered amphibolite and associated quartz veins. Gold mineralization at the former Discovery mine occurs as gold bearing quartz veins within deformed and metamorphosed sedimentary and volcanic rocks. The revised Ormsby Zone Indicated "In Situ" resource calculation, prepared by V. Pratico P. Geol (Alberta) and reviewed by Dr. Michael Cunningham, P. Geol (NWT) is as follows: Tonnes Gold gpt Contained oz. gold Indicated Resource: 396,000 19.54 254,000 In addition to the above an Inferred "In Situ" Resource of 402,000 tonnes at 20.12 gpt containing 260,000 ounces of gold was calculated. The revised 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, except where bounded by the Ormsby Fault. The revised Ormsby Zone resource estimate is based on the following criteria; Drill intercepts of less than 1.5m true width were adjusted to 1.5m with adjacent sample grades Cut-off grade 10.0 grams gold/tonne (0.32 ounces) Drill intercepts above the cut-off grade assigned a rectangular polygon with the maximum side dimension of 15m x 15m x true width, using a specific gravity of 3.0. Approx 300 drill intercepts in an area 300m by 90m to 300m below surface (Note: the 300m level is approximately zero elevation - sea level). The interpretation of gold mineralized zones was conducted by assigning drill hole intercepts with interpreted geological continuity between drill holes, between adjacent horizontal contour plans and between adjacent vertical drill sections. A resource polygon was defined by placing a rectangular polygon with a maximum size of 15m X 15m around each drill intercept. Assumes that a selective underground mining method would be appropriate. However, no economic viability is implied. The average grade was assigned to extrapolate blocks. The Company had also previously reported on the resource estimate for the Discovery Zone as calculated by R.E. Goad M.Sc., FGAC an independent consultant to the Company. The R.E. Goad Resource calculations are based on Discovery archival data augmented with the results of surface mapping and a 975.4 metre (3,200 foot) diamond drill program carried out on the property in 1994. R.F. Goad's calculations used a mining width of 3.0 feet width and a .20 ounce cut-off grade. The tonnage is calculated from a longitudinal sectional area, an average stope width of 2.8 metres and a density of 2.67. No economic viability is implied. Given the incomplete Discovery database and to conform with the Mineral Resource Classification guidelines published in National Instrument 43-101 the Pratico Report restates R.E. Goad's Measured and Indicated Resources by converting the resource estimate to metric units and expressing the resource as an Inferred Resource broken down into two portions as stop extensions and as vein system extensions as follows; Inferred Resource: Tonnes Gold gpt Contained oz gold (Stope extensions) 221,000 19.54 138,000 Inferred Resource: 1,206,000 27.43 1,064,000 (Vein extensions) 138,000 + 1,064,000 -------------------------->1,202,000 oz gold Discovery Gold Project (Ormsby Zone and Discovery Zone) remains as an exploration target. However given the state of the junior gold exploration sector and the price of gold the Company will continue to hold the Discovery Project on a "care and maintenance" basis and will write down the capitalized carrying value of the project as at the Company's fiscal year end to CDN $100,000.00. For further information please contact Investor Relations at (604) 669-6619 or 1-800-808-3350. GMD RESOURCE CORP. "Rodney N. Duncan" Rodney N. Duncan President

To: Dave R. Webb who wrote (981)	12/29/1999 7:04:00 PM
From: VAUGHN	Read Replies (1) \| Respond to of 1030

Hello Dave Merry Christmas So let me get this straight. You are saying that this action is the result of an announced resource estimate of 250,000 ozs of AU @ a world price of $280 and a probable cost of production of roughly $310+/- per oz? So regarding the real news 21/12/99. You don't think the DB's news and announcement of a winter drill program was the reason? Seems like another example of insiders trading on information about Royce, long before the market gets the same dope. Smells again Dave. I can't help but wonder when, if ever, will the TSE crack down on GMD? Happy New Year & Millenium Vaughn