| Tue 13 Nov 2007, 15:30 | | GBG - Great Basin Gold Limited - Announcement |
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GBG
GBG
GBG - Great Basin Gold Limited - Announcement
GREAT BASIN GOLD LIMITED
(INCORPORATED IN CANADA AND REGISTERED AS AN EXTERNAL COMPANY IN SOUTH AFRICA)
(REGISTRATION NO. 2006/021304/10)
SHARE CODE: GBG ISIN NUMBER: CA3901241057
("GREAT BASIN" OR "THE COMPANY")
EXPLORATION CONFIRMS EXTENSIONS TO MINERALIZATION AT GREAT BASIN GOLD`S
HOLLISTER PROPERTY
$15 MILLION IN NEW UNDERGROUND AND SURFACE EXPLORATION PROGRAMS PLANNED
November 13, 2007, Vancouver, BC - Great Basin Gold Ltd. ("Great Basin" or the
"Company") (TSX: GBG; AMEX: GBN; JSE: GBGOLD) announces that having successfully
completed its Phase II surface and underground drilling programs at the
Hollister mine development project, the Company plans to extend exploration
programs to confirm and expand on the good results achieved to date.
Based on a review of all the assay results received to date, the focus of
exploration and development drilling will be redirected as follows:
A further 29,000 ft (8,800 m) of in-fill drilling from underground drilling is
planned. Target areas are mainly within the current delineated Gwenivere and
Clementine vein structures, with the objective to both the increase the amount
and confidence in the mineral resources. A May 2007 estimate indicated 1 million
gold equivalent ounces in Measured and Indicated resources and an additional 930
thousand ounces in Inferred resources at Hollister.1
An additional 58,000 ft (17,700 m) underground drilling program is also planned,
designed to rapidly test the depth extension of the known resources and to bring
any new resources to as high a confidence level as possible. Currently
mineralization has only been outlined to an average depth of approximately 200
meters below the Ordovician unconformity.
Results from the surface exploration program currently underway are confirming
the prospectivity of the entire Hollister property. Of the seven drill holes
completed thus far outside of the main mine area at the Hatter Zone, one hole,
H7-246, returned highly anomalous intercepts of 5 ft at 1.206 oz/ton (41 g/t) in
the pre-collar and a distinctive 3.8 ft vein at 1.148 oz/ton (39 g/t) deeper in
the drill hole (results in table below), and other holes returned very anomalous
intervals indicative of a gold system at depth. This area has not been
adequately explored.
Additional surface exploration is planned, encompassing 78,000 ft (23,800 m) of
drilling, mainly testing anomalous zones defined by historical drill data within
an approximate one mile (1.6 km) radius of the current underground
infrastructure. Additional areas to be tested occur in the Hatter Zone, located
to the east of the current decline infrastructure, where a number of historical
drill-defined anomalies still remain to be tested.
Current Surface Exploration Drilling:
Ongoing surface exploration has been testing targets defined by historical
drilling as well as more recent geophysical resistivity surveys. Gold
intercepts in drill hole H7-246 are in an unexplored area within the Hatter
Zone. These results have renewed interest in this area and resulted in the
identification of additional targets that will be tested by drilling.
1Measured and indicated resources of 930,000 tons grading 1.03 oz/t gold and
5.71 oz/t Ag and inferred resources of 805,000 tons grading 1.08 oz/t Au and
3.04 oz/t Ag, both at 0.25 oz/ton cut-off (see May 23, 2007 news release). Gold
equivalent was calculated by using the following metal prices: US$550/oz Au and
US$10/oz Ag. No metal recoveries have been applied.
Surface Drilling Results
Vein System Drill Description Sample Drilled
Hole ID Interval (ft) Thickness
(ft)
From To
Hatter H6-222 Stockwork 1077.6 1080.4 2.8
Hatter H6-222 Veinlets 1377.0 1384.6 7.6
Hatter Graben H7-246 Pre-collar 40 45 5.0
Hatter Graben H7-246 Veinlets 1898.4 1902.2 3.8
Analytical Results
Au (oz/t) Au (g/t) Ag (oz/t) Ag (g/t)
Vein System
Hatter 0.184 6.308 0.16 5.7
Hatter 0.188 6.43 0.933 33.96
Hatter Graben 1.206 41.348 0.13 4.3
Hatter Graben 1.148 39.359 P P
P = Pending
Coincidentally, several shallow resistivity highs extend west towards the 1
oz/ton intercept in the bottom of H7-246, a distance of about 2,500 ft (760 m)
from the area where most gold intercepts at Hatter are located, These shallow
resistivity highs are very similar to resistivity highs coincident with the
eastern part of the Clementine and Gwenivere veins. A second east-west string
of shallow resistivity highs extends east from an area where a heap leach stack
was located during previous operations at Hollister for about 5,000 ft (1,500
m). This area has almost no drilling and these targets will be explored in the
next 12 to 18 months. Although outside the Hollister Development Block, these
targets are in close proximity to the existing underground mining
infrastructure.
Current Underground Drilling:
Underground drilling has been focussed on further delineating the known
resources. It has successfully confirmed high grades as well as vein continuity.
Highlights are:
Gwenivere Vein
HDB-191 The objective of this hole was to delineate the Gwenivere vein system at
depth and two significant intercepts were encountered, intersected at 81.0-82.2
ft (24.7-25.1 m) and 312.2-314.7 ft (95.2-96.0 m), respectively. The shallower
intercept tested a 0.9 ft (0.27 m) zone of mineralization grading 0.541 oz/t
(18.38 g/t) Au and 6.09 oz/t (208.7 g/t) Ag. The deeper intercept encountered a
1.1 ft (0.33 m) zone grading 0.171 oz/t (5.83 g/t) Au and 1.21 oz/t (41.5 g/t)
Ag.
HDB-192 Intersected 5.7 ft (1.7 m) of mineralized rock grading 1.08 oz/t
(37.106 g/t) Au and 3.67 oz/t (125.9 g/t) Ag from 276.0-284.0 ft. Included in
the intersection was 1.1 ft (0.33 m) interval grading 5.19 oz/t (177.9 g/t) Au
and 17.69 oz/t (606.6 g/t) Ag from 276.0 - 277.5 ft.
HDB-194 Encountered numerous zones of mineralization associated with the
Gwenivere vein system. A 3.5 ft (1.1 m) interval from 167.0-170.5 ft (50.94-
52.00 m) graded 3.190 oz/t (109.37 g/t) Au and 0.724 oz/t (24.8 g/t) Ag.
Additional significant intersections in HDB-194 include: a 2.7 ft (0.82 m)
mineralized intercept at 311.3-314.0 ft (94.95-95.77 m) grading 1.742 oz/t
(59.72 g/t) Au and 4.20 oz/t (144.0 g/t) Ag, 1.5 ft (0.46 m) of mineralization
extending from 338.0-339.5 ft (103.10-103.55 m) grading 1.764 oz/t (60.48 g/t)
Au and 5.425 oz/t (186.0 g/t) Ag, and a 2.6 ft (0.79 m) mineralized zone from
553.5-556.1 ft (168.82-169.61 m) grading 0.766 oz/t (26.26 g/t) Au and 0.423
oz/t (14.50 g/t) Ag.
Clementine Vein
HDB-196 Designed as an infill hole to assist in delineating the structure and
grade of the Clementine vein system, was drilled from the 3800N drill station.
The hole intersected 0.4 ft (0.12 m) grading 1.196 oz/t (41.01 g/t) Au and 4.58
oz/t (157.03 g/t) Ag from 107.9-108.4 ft (32.91-33.06 m). A second 3.3 ft (1.01
m) mineralized intercept from 221.0-225.0 ft (67.41-68.63 m) was encountered,
grading 0.458 oz/t (15.70 g/t) Au and 1.24 oz/t (42.52 g/t) Ag. A third 5.9 ft
(1.80 m) mineralized intercepted was encountered from 252.0-259.2 ft (76.86-
79.06 m) grading 0.71 oz/t (24.43 g/t) Au and 9.17 oz/t (314.4 g/t) Ag.
Exploration Drilling
HDB-195A was drilled from Muck Bay #3 targeting a historic high-grade intercept
in a surface drill hole drilled about 500 ft (150 m) to the east of the decline.
The hole intersected 1.1 ft (0.34 m) grading 0.176 oz/t (6.034 g/t) Au and 1.575
oz/t (54.0 g/t) Ag from 347.5-348.6 ft. (106.0-106.32 m).
Underground Drilling Results
New assay results received to October 2007 are tabulated below.
Vein Drill Significant Intercepts
Syst Hole
em ID
Vein Sample Drille Est. Analytical Results
Intersectio Interval d True
n (ft) (ft) Thickn Widt
ess h
(ft) (ft)
From To From To Au Au Ag Ag
(oz/t (g/t) (oz/tt (g/t)
) )
Gwen HDB- 81 82.2 1.2 0.9 0.541 18.38 6.087 208.7
iver 191
e
312.2 314.7 1.5 1.1 0.171 5.83 1.21 41.5
Gwen HDB- 276 284 8.0 5.7 1.08 37.11 3.67 125.9
iver 192
e
276 277 1.5 1.1 5.19 177.94 17.69 606.6
.5
277. 284 6.5 4.6 0.1 3.429 0.32 10.9
5
Gwen HDB- 181 182.5 1.5 1.4 0.392 13.44 11.273 386.5
iver 193
e
424 424.7 0.7 0.6 0.3 10.286 0.752 25.8
Gwen HDB- 114.2 115.1 0.9 0.9 0.446 15.29 2.479 85.0
iver 194
e
167 170.5 3.5 3.5 3.19 109.37 66.262 2271.9
196.5 197.6 1.1 1.1 0.263 9 0.724 24.8
207. 208 0.2 0.2 0.526 18.03 1.662 57.0
4 .6
208. 211 0.9 0.9 0.204 6.99 0.516 17.7
6 .1
272 273.2 1.2 1.2 0.178 6.99 0.723 24.8
284.7 285.5 0.8 0.8 0.104 3.57 0.052 1.8
311.3 314 2.7 2.7 1.742 59.72 4.2 144.0
338 339.5 1.5 1.5 1.764 60.48 5.425 186.0
367.2 367.8 0.6 0.6 0.638 21.87 3.383 116.0
410 411.2 1.2 1.2 0.218 7.47 0.277 9.5
553.5 556.1 2.6 2.6 0.766 26.26 0.423 14.5
Expl HDB- 347.5 348.6 1.1 1.1 0.176 6.034 1.575 54
orat 195A
ion
Clem HDB- 107.9 108.4 0.5 0.4 1.196 41.01 4.58 157.0
enti 196
ne
221 225 4 3.3 0.458 15.7 1.24 42.5
252 259.2 7.2 5.9 0.71 24.43 9.17 314.4
252 253 1.2 1.0 3.846 131.86 52.88 1813.1
.2
253. 256 2.8 2.3 0.021 0.74 0.11 3.8
2
256 259 3.2 2.6 0.142 4.87 0.70 24
.2
Clem HDB- 188.5 189.1 0.6 0.5 0.526 18.03 0.554 19
enti 197
ne
Clem HDB- No
enti 198 Significant
ne Intercepts
Clem HDB- 171.7 172.5 0.8 0.7 0.188 6.446 1.954 67
enti 199
ne
245.7 249 3.3 2.9 2.268 77.758 20.83 714.3
Clem HDB- No Preliminary Significant
enti 200A Intercepts: Awaiting Assay Reruns.
ne
President and CEO Ferdi Dippenaar commented:
"We are extremely pleased with the progress made at our Hollister Development
Block Project. Drilling on the Gwenivere vein system to date has indicated
robust mineralization continuing to the east and that mineralisation is open at
depth. The same can be said for the Clementine vein system, providing ample
opportunity to increase the resource at Hollister. Sufficient progress has been
made to review the resource statement last published in May 2007. The intention
in the near future is to retain our focus on expanding the mineral resources to
depth and to test surface anomalies within the Hollister Development Block area.
The success we have had with the drilling in the nearby Hatter Zone shows the
diverse potential on the property. Indications are that more mineralization
exists in close proximity of the current decline infrastructure, which could
result in a larger mine being developed on the Hollister Property. In an effort
to fast track the exploration of the Hollister Property and more rapidly
increase our understanding of its true potential, an amount of CDN$15 million
was approved by the Board for expenditure in the 2008 financial year."
Gernot Wober, P.Geo., a qualified person, has reviewed the contents of this
release on behalf of the Company. For additional details on Great Basin and its
gold properties, please visit the Company`s website at www.grtbasin.com or
contact Investor Services:
Tsholo Serunye in South Africa 27 11 301 1800
Melanee Henderson in North America 1 800 667-2114
Barbara Cano at Breakstone Group in the USA (646) 452-2334
Ferdi Dippenaar
President and CEO
Samples collected from the Hollister Project are stored in a secure facility
until picked up by Inspectorate America Corporation (Inspectorate) of Sparks,
Nevada. Vein samples are analyzed by either metallic screen or standard fire
assay procedures. For metallic screen analyses, vein sample preparation
consists of drying and jaw-crushing the entire sample to 90% passing 10-mesh,
taking a 500 g sub-sample using a rotary splitter, and then pulverizing the 500
g sub-sample to 90% passing 150-mesh using a large capacity ring and puck
pulverizer. Gold and silver determinations are by metallic screen analysis,
with two 1 assay-ton (30 g) fire assays completed on the fine fraction; the
coarse fraction is fire assayed in its entirety. For standard fire assay, vein
sample preparation consists of drying and jaw-crushing the entire sample to 90%
passing 10-mesh, taking a 300 g sub-sample using a Jones splitter, and then
pulverizing the 300 g sub-sample to 90% passing 150-mesh using a large capacity
ring and puck pulverizer. A 30 g charge is fire assayed. All metal
determinations are by gravimetric finish. Vein samples analyzed by standard
fire assay will be re-assayed using metallic screen procedures. Laboratory
Quality Assurance/Quality Control (QA/QC) is monitored using coarse reject
blanks and assay standards, duplicate fire assays, and Inspectorate`s internal
standards and blanks. Coarse blanks (barren rhyolite or landscape marble) and
assay standards are inserted into the sample sequence as blind samples prior to
submitting the samples to the laboratory. Inspectorate also inserts assay
standards and blanks into the sample stream. QA/QC results are within
acceptable limits.
No regulatory authority has approved or disapproved the information contained in
this news release.
Cautionary and Forward Looking Statement Information
This release includes certain statements that may be deemed "forward-looking
statements". All statements in this release, other than statements of historical
facts, that address possible future commercial production, reserve potential,
exploration drilling results, development, feasibility or exploitation
activities and events or developments that Great Basin expects to occur are
forward-looking statements. Although the Company believes the expectations
expressed in such forward-looking statements are based on reasonable
assumptions, such statements are not guarantees of future performance and actual
results or developments may differ materially from those in the forward-looking
statements. Factors that could cause actual results to differ materially from
those in forward-looking statements include market prices, exploitation and
exploration successes, effect of and changes to government policies regarding
mining and natural resource exploration and exploitation, availability of
capital and financing, geopolitical uncertainty and political and economic
instability, and general economic, market or business conditions. Investors are
cautioned that any such statements are not guarantees of future performance and
those actual results or developments may differ materially from those projected
in the forward-looking statements. For more information on the Company,
Investors should review the Company`s annual Form 20-F filing with the United
States Securities and Exchange Commission and its home jurisdiction filings that
are available at www.sedar.com.
Information Concerning Estimates of Measured, Indicated and Inferred Resources
This news release also uses the terms "measured resources", "indicated
resources" and "inferred resources". The Company advises investors that although
these terms are recognized and required by Canadian regulations (under National
Instrument 43-101 Standards of Disclosure for Mineral Projects), the U.S.
Securities and Exchange Commission does not recognize them. Investors are
cautioned not to assume that any part or all of the mineral deposits in these
categories will ever be converted into reserves. In addition, `inferred
resources` have a great amount of uncertainty as to their existence, and
economic and legal feasibility. It cannot be assumed that all or any part of an
Inferred Mineral Resource will ever be upgraded to a higher category. Under
Canadian rules, estimates of Inferred Mineral Resources may not form the basis
of feasibility or pre-feasibility studies, or economic studies except for
Preliminary Assessment as defined under 43-101. Investors are cautioned not to
assume that part or all of an inferred resource exists, or is economically or
legally mineable.
Date: 13/11/2007 15:30:01 Produced by the JSE SENS Department.
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