Irokonda News High River's Irokinda at 692,900 t of 9.68 g/t Au M+I
Ticker Symbol: C:HRG
High River's Irokinda at 692,900 t of 9.68 g/t Au M+I
High River Gold Mines Ltd (C:HRG)
Shares Issued 840,218,962
Last Close 9/26/2012 $1.41
Thursday September 27 2012 - News Release
Mr. Yury Lopukhin reports
HIGH RIVER ANNOUNCES UPDATED RESERVE AND RESOURCE ESTIMATE AND FILES TECHNICAL REPORTS FOR IROKINDA AND ZUN-HOLBA
High River Gold Mines Ltd. has filed on SEDAR a technical report on the Irokinda project, entitled "NI 43-101 Technical Report and Audit of the Resource and Reserve Estimates for the Irokinda Gold Mine, Republic of Buryatia, Russian Federation," dated Aug. 30, 2012, effective date April 1, 2012, and a technical report on the Zun-Holba project, entitled "NI 43-101 Technical Report and Audit of the Resource and Reserve Estimates for the Zun-Holba Gold Mine, Republic of Buryatia, Russian Federation," dated Sept. 10, 2012, effective date April 1, 2012, which were prepared by Micon International Ltd.
The Technical Reports audit and convert the results of the exploration work of High River for both projects into mineral resources and mineral reserves that comply with both the Australasian Joint Ore Reserves Committee and the Canadian Institute of Mining, Metallurgy and Petroleum. The Technical Reports are compliant with National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101").
Highlights
The updated reserves and resources estimates as of April 1, 2012 for:
-- The Irokinda mine -- 226,000 tonnes of ore with 11.34 g/t gold grade resulting in 2,570 kg of proven and probable gold reserves -- 692,900 tonnes of ore with 9.68 g/t gold grade resulting in 6,700 kg of measured and indicated gold resources -- 203,600 tonnes of ore with 10.23 g/t gold grade resulting in 2,100 kg of inferred gold resources-- The Zun-Holba mine -- 889,000 tonnes of ore with 8.54 g/t gold grade resulting in 7,600 kg of proven and probable gold reserves -- 712,900 tonnes of ore with 11.03 g/t gold grade resulting in 7,800 kg of measured and indicated gold resources -- 91,900 tonnes of ore with 10.73 g/t gold grade resulting in 1,000 kg of inferred gold resources
Mineral Resource/Reserve Estimates
Mineral resources and reserves have been estimated and classified according to the Australian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (2004) (the "JORC Code") and the CIM Standards on Mineral Resources and Reserves - Definitions and Guidelines (November 2010) (the "CIM Guidelines"). Wherever in this press release the term reserves appears in quotations ("reserves" or "operational reserves") it refers to reserve estimates conducted according to the Russian classification system or terminology. The Technical Reports convert the Russian "reserves" into JORC and CIM compliant mineral resources and reserves.
Irokinda
A summary of the current mineral reserve and resource estimates for the Irokinda mine are shown in the tables below.
---------------------------------------------------------------------------- Mineral Reserve Estimate (April 1, 2012) ---------------------------------------------------------------------------- Tonnes Au g/t Au, kg----------------------------------------------------------------------------Proven 225,000 11.36 2,560----------------------------------------------------------------------------Probable 1,000 6.59 10----------------------------------------------------------------------------Proven + Probable 226,000 11.34 2,570---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Mineral Resource Estimate (April 1, 2012) ---------------------------------------------------------------------------- Tonnes Au g/t Au, kg----------------------------------------------------------------------------Measured 319,600 12.67 4,050----------------------------------------------------------------------------Indicated 373,300 7.12 2,650----------------------------------------------------------------------------Inferred 203,600 10.23 2,100----------------------------------------------------------------------------Measured + Indicated 692,900 9.68 6,700----------------------------------------------------------------------------
The current exploration-mining parameters used at the Irokinda mine are:-- The minimum (cut-off) gold grade in marginal intersections to delineate the mineralized zones along strike and dip, as well as in the samples taken to outline the width of the mineralization or vein, is 3 g/t gold. -- The minimum gold grade in an estimated block is 6.8 g/t gold. -- The minimum mining width included in a "reserve" estimate is 1 m and, in the case of smaller widths, corresponding grade x thickness values (3.0 m and 6.8 g/t gold) are to be applied to determine if the areas with smaller widths can be included. -- The maximum low grade mineralized vein (zone) strike extension included in an estimated "reserve" outline is 12 m. -- The cut-off gold grade necessary to delineate off-balance "reserves" is 1 g/t gold. -- The minimum mineralized vein width needed to estimate off-balance "reserves" is 1 m.
Zun-Holba
A summary of the current mineral reserve and resource estimates for the Zun-Holba mine are shown in the tables below.
---------------------------------------------------------------------------- Mineral Reserve Estimate (April 1, 2012) ---------------------------------------------------------------------------- Tonnes Au g/t Au, kg----------------------------------------------------------------------------Proven 505,300 9.06 4,600----------------------------------------------------------------------------Probable 383,700 7.85 3,000----------------------------------------------------------------------------Proven + Probable 889,000 8.54 7,600---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Mineral Resource Estimate (April 1, 2012) ---------------------------------------------------------------------------- Tonnes Au g/t Au, kg----------------------------------------------------------------------------Measured 451,600 11.36 5,100----------------------------------------------------------------------------Indicated 261,300 10.45 2,700----------------------------------------------------------------------------Inferred 91,900 10.73 1,000----------------------------------------------------------------------------Measured + Indicated 712,900 11.03 7,800----------------------------------------------------------------------------
The current exploration-mining parameters used at the Zun-Holba mine are:-- Cut-off grade of 3 g/t gold to outline the boundaries of the mineralized zones. -- Minimum gold grade of 7 g/t over a mineralized zone composite intercept. -- Minimum mining thickness of 0.8 m. When thickness is less, but the gold grade is higher it is recommended to use the metrogram. -- Maximum thickness of 3.0 m for waste rock and low grade mineralization being included in the "reserve" estimation.
Data Verification
William J. Lewis, B.Sc., P.Geo., Tania Ilieva, P. Geo., and Barnard Foo, P.Eng., employed by Micon, are "qualified persons" as defined by 43-101 and, as qualified persons, completed the verification of data on which the above mineral reserve and resource estimates were based. This verification included a site visit to both Irokinda and Zun-Holba and a review of the resource block model, including a review of the cut-off grade, estimation procedures, capping of high grade assays and block estimation protocols. In addition, a review of the spreadsheets of tabulated Russian "reserves" for each vein and by polygon block was undertaken to verify the following:
-- The appropriate methodology and parameters had been used to estimate the in-situ geological resources. -- The methodology and parameters for the quantities of dilution and recovery of the broken material within the stoping areas were appropriate and had been applied correctly. -- The estimates had been recorded correctly. -- The summary tables had correctly listed total tonnages, grades and contained metal within the "reserve" categories. -- The classification of the "reserves" had been applied in a consistent manner throughout the estimation process. -- The reconciliation between the "reserves" and the mine and mill production provided support for the validity of the reserve estimate.
A detailed block-by-block review of the Russian classified "reserves" was conducted, along with a review of the parameters by which these were converted to "operational reserves." Discussions were also held as to the appropriate category in which to place the individual blocks according to the JORC and CIM classification system.
Micon concluded that the Russian estimate, as audited by Micon, had been reasonably prepared and could be used as the basis for the conversion of the Russian "reserves" into mineral resources and the Russian "operational reserves" into mineral reserves which conform to both the current JORC code and CIM standards and definitions
Qualified Person
William J. Lewis, B.Sc., P.Geo., Tania Ilieva, P. Geo., and Barnard Foo, P.Eng., employed by Micon, are the qualified persons responsible for supervising the preparation of the Technical Reports and have reviewed and approved the scientific and technical information included in this press release. Each qualified person is independent of High River.
Cautionary Note
The grades presented in the above tables are not meant to imply recoverable gold. Mineral resources and reserves have been estimated and classified according to the JORC Code and the CIM Guidelines. High River is not aware of any known environmental, permitting, legal, title, taxation, socio-economic, marketing or other relevant issues that could potentially affect the estimate of mineral resources or reserves. The mineral resources and reserves may be affected by subsequent assessments of mining, environmental, processing, permitting, taxation, socio-economic and other factors.
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© 2012 Canjex Publishing Ltd.