Pre-Merger Gold-Ore News Releases
|June 26, 2007|
Surface and Underground Activities Bjorkdal Gold Mine, Sweden
|News Release 07-10|
Gold-Ore Resources Ltd. provides an update of underground development activities and surface drilling at the Bjorkdal Gold Mine in Sweden. A test mining program is underway and is part of a recently commissioned feasibility study that will address the viability of re-activating mining at Bjorkdal. Gold-Ore has an exclusive option to purchase 100% of the Bjorkdal Mine from Minmet plc of Dublin, Ireland.
The expenditures for the 2007 work program will be offset by gold sales from the underground production and subsequent processing through the Bjorkdal plant. Gold sales of between 5,000 and 10,000 ounces are anticipated based on definition diamond drilling and experience from underground mining last year.
Mining activities started at Bjorkdal in the Central Tunnel on May 3rd. The existing 140 metre-long tunnel was extended 70 metres and followed well mineralized veins. An additional 100 metres of tunneling was completed in three crosscut drill stations. This development now provides an excellent platform for drilling for resource definition over an area with dimensions of 250 by 200 metres. This area is known to be mineralized from both historic drilling and mining.
Numerous mineralized veins were encountered in the Central Tunnel, however due to the necessity for wide openings to accommodate large equipment; no attempt was made to selectively mine the higher grade zones. A total of 12,700 tonnes of development rock was processed in the Bjorkdal plant. The resulting production of 648 ounces of gold was sold at spot prices. The gold sales resulted in revenue (after refining) of US$395,000 compared to the contract mining costs for the Central Tunnel of US$315,000.
Mining started in the Main Tunnel on June 10 and will involve 500 metres of development tunnels (15% complete), 900 metres of on-vein tunnels (2% complete) and the stoping (vertical mining) of 35,000 tonnes of quartz veins. An inclined ramp will provide access from the 205 to the 185 level (20 metre vertical separation). Stoping using long-hole methods will mine the veins between these two levels.
These excavations will provide a total of over 100,000 tonnes of rock for processing and will be composed of a blend of low-grade development material and higher grade vein material. The rock is segregated into samples based on type of material and source and will be batch processed by the plant in campaigns of 3,000 to 7,000 tonnes. The gold grade reported by the plant will be reconciled or compared with the predicted grade from the drilling and underground sampling. This information will assist the conversion of resources into reserves during the feasibility study.
Last week a surface diamond drill started testing targets at the Storheden Zone (located 1,000 metres north of the pit) and will move towards the open pit to attempt to link these two large areas into one mineralized body. Historical drilling at Storheden intersected similar styles and grades of mineralization as seen in the pit area. An initial 4,000 metres (20 to 30 holes) of drilling is allocated to this area. Two 100 metre-long holes have now been completed and both have intersected Bjorkdal-style veins.
Underground drilling in the Main Tunnel was terminated on June 6 after a total of 14,200 metres in 161 core holes was completed. All of the core has been processed and assayed at the ALS Chemex facility in Pitea, Sweden. Additional drill results will be released shortly. Underground drilling will commence in the Central Tunnel immediately.
For more information please contact Glen Dickson or Bob Wasylyshyn at (604) 687-8884. Bjorkdal property information is posted on the Company's web site at www.goldoreresources.com Robert S. Wasylyshyn; P. Geo. is the Company's Qualified Person for the Bjorkdal Project.
ON BEHALF OF THE BOARD
Robert S. Wasylyshyn, President
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.
You can view the Next Pre-Merger Gold-Ore News Releases item: Thu Jun 28, 2007, Bjorkdal Gold Mine - Additional Drill Results
You can view the Previous Pre-Merger Gold-Ore News Releases item: Mon Jun 18, 2007, Independent Feasibility Study at Bjorkdal Gold Mine Underway
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