| Wed 6 Oct 2010, 16:38 | | GBG - Great Basin Gold Limited - Great Basin provides update on The Burnstone |
|
GBG
GBG
GBG - Great Basin Gold Limited - Great Basin provides update on The Burnstone
Mine Project
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 PROVIDES UPDATE ON THE BURNSTONE MINE PROJECT
October 6, 2010, Vancouver, BC - Great Basin Gold Ltd. ("Great Basin" or the
"Company") (TSX: GBG; NYSE Amex: GBG; JSE: GBG) announces that it is making good
progress in the delivery of its capital projects at its Burnstone Mine in South
Africa.
The Company has reached a significant milestone in the history of the project
with the commissioning of the metallurgical plant which commenced on October 1,
2010 with the turning of electrical motors on the various appliances. Crushing
of ore commenced on October 4 to allow for the filling of the silo in
preparation to start the mills by October 8, 2010. In preparation of the hot
commissioning, a number of activities were successfully completed.
As at September 30, 2010, a total of approximately 4,200 meters of on-reef
development has been completed. Good progress continues to be made with Long
Hole Stope trials. In excess of 170,000 tons have been accumulated on the
surface ore stockpiles, which will be used to commission the Metallurgical
Plant.
The equipping of the vertical shaft to surface has been completed and the final
work in the shaft headgear is in progress. As both the man and the rock winders
have been fully commissioned, the focus has moved to the man and rock
conveyances which are currently being commissioned. This is all in preparation
for the final licensing by the Department of Mineral and Resources which is
planned for the week of October 10, 2010 where after the vertical shaft will
become available for general usage.
At a Corporate level, warrant holders have already exercised over 21.1 million
of the 57.5 million warrants expiring on October 15, 2010 to date. The Company
received CDN$28.5 million in cash from these warrants up to September 29, 2010
and expect the remaining CDN$63.5 million cash inflow in the period leading up
to October 15, 2010.
Ferdi Dippenaar, President and CEO, commented: "The Company is entering an
exciting phase in its development with the commissioning of the Burnstone
metallurgical plant, transitioning from a project into an operating mine. If all
goes well during the commissioning phase, we expect to have our first gold pour
by the end of October 2010. After having commenced with a box-cut for the
decline some four years ago in July 2006, the project is finally nearing
completion at a time when the gold price is at an historical high."
Johan Oelofse, Pr.Eng., FSAIMM, Chief Operating Officer of Great Basin and a
qualified person, as defined by Canadian regulatory policy, has reviewed and
assumed responsibility for the technical information contained in this release.
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:
Tsholo Serunye in South Africa +27 (0) 11 301 1800
Michael Curlook in North America +1 (888) 633 9332
Barbara Cano at Breakstone Group in the USA +1 (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 unexpected delays and disruption in
start-up of equipment and facilities, 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.
6 October 2010
Sponsor
Nedbank Capital
Date: 06/10/2010 16:38:01 Produced by the JSE SENS Department.
The SENS service is an information dissemination service administered by the
JSE Limited (`JSE`). The JSE does not, whether expressly, tacitly or
implicitly, represent, warrant or in any way guarantee the truth, accuracy or
completeness of the information published on SENS. The JSE, their officers,
employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature,
howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
