| Thu 30 Oct 2008, 14:30 | | GBG - Great Basin - Announces the granting of the mining right for its burnstone |
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GBG
GBG
GBG - Great Basin - Announces the granting of the mining right for its burnstone
mine in South Africa
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")
GREAT BASIN GOLD ANNOUNCES THE GRANTING OF THE MINING RIGHT FOR ITS BURNSTONE
MINE IN SOUTH AFRICA
October 30, 2008, Vancouver BC - Great Basin Gold Ltd. ("Great Basin or the
"Company") (TSX: GBG; AMEX: GBN; JSE: GBG) today announced the granting of the
Mining Right for its Burnstone Mine in South Africa by the Department of
Minerals and Energy. The Mining Right was granted on 28 October 2008 to the
Company`s wholly owned subsidiary, Southgold Exploration (Pty) Ltd ("Southgold")
and authorizes Southgold to mine for gold, silver and aggregate in the Burnstone
Project area. The Burnstone property is located in the Witwatersrand Goldfield
of South Africa.
In terms of the requirements of the Mineral and Petroleum Resources Development
Act, Tranter Gold (Proprietary) Limited ("Tranter Gold"), a Black Economic
Empowerment ("BEE") company, acquired 26% of the Burnstone Project using the
then Feasibility Study as a basis for valuation. To enable Tranter Gold to gain
full exposure to the international asset base of Great Basin Gold, approval was
given to convert the 26% see-through value of their holding in the Burnstone
Project to shares in the listed entity.
Ferdi Dippenaar, President and CEO commented: "Great Basin Gold and Tranter
Gold, our BEE partner, view this as a significant milestone which paves the way
to deliver the project as planned. What is just as important is that Tranter
Gold, which is Great Basin Gold`s largest shareholder with some 9.3% interest in
the listed entity, is making good progress in becoming a black-owned operating
mining company in its own right.
Development of the Company`s Burnstone Project is progressing well. The cross-
cut to the mineralized reef is expected to be completed in the first quarter of
2009, at which time trial stoping to extract a bulk sample of approximately
26,000 tons will commence, and simultaneously development of the vertical shaft
and decline shaft will continue. The Company plans to mine approximately 40,000
oz of gold at Burnstone in 2009."
Ferdi Dippenaar
President and CEO
For additional details on Great Basin and its gold properties, please visit the
Company`s website at www.grtbasin.com or contact Investor Services at:
Tsholo Serunye in South Africa 27 (0) 11 301 1800
Michael Curlook 1 888 633-9332
Barbara Cano at Breakstone Group in the USA (646) 452-2334
No regulatory authority has approved or disapproved the information contained in
this news release.
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 Gold 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, continuity of mineralization, uncertainties related to
the ability to obtain necessary permits, licenses and title and delays due to
third party opposition, geopolitical uncertainty, changes in government policies
regarding mining and natural resource exploration and exploitation, and
continued availability of capital and financing, 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 40-F filing with the United States Securities and Exchange Commission and
its home jurisdiction filings that are available at www.sedar.com.
Date: 30/10/2008 14:30:01 Produced by the JSE SENS Department.
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