Preliminary Open Pit Gold Mine PlanWebBroker Alert
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Preliminary Open Pit Gold Mine Plan Announced for Burns Basin at Jerritt Canyon, Nevada
cnw
VANCOUVER, Sept. 21, 2011 /CNW/ - Yukon-Nevada Gold Corp. (TSX: YNG) (Frankfurt Xetra Exchange: NG6) is pleased to announce that the Board of Directors has approved
commencement of preliminary engineering work towards advancement of
open-pit mining at Burns Basin which is located at its wholly-owned
gold production Jerritt Canyon property in Nevada, USA. Burns Basin is
located in the center of the Jerritt Canyon Mining district only 0.9
miles west from the active SSX-Steer underground mine and has existing
haul road access. Anticipated startup for the Burns Basin open pit
mining operation is in Q4 2012 with daily production of 2,000 ore tons
per day. Jerritt Canyon is operated by Queenstake Resources USA Ltd.,
("Queenstake") a wholly owned subsidiary of Yukon-Nevada Gold Corp.
("YNG" or the "Company").
A preliminary mine plan has recently been completed for the Burns Basin
resource totaling 241,320 of contained ounces of gold in the Measured
and Indicated category and is listed in Table 1. Burns Basin now has a
Measured resource of 27,828 ounces at an average grade of 0.163 opt
gold and an Indicated resource of 213,492 ounces at an average grade of
0.104 opt gold.
Table 1. Burns Basin Open-Pit Resource at a Gold Price of $1,400
Measured
Indicated
Measured + Indicated
Au
Grade Cutoff
(opt)
Ktons
Au
Grade
(opt)
Contained
Au (oz)
Ktons
Au
Grade
(opt)
Contained
Au (oz)
KTons
Au
Grade
(opt)
Contained
Au (oz)
0.036
0.052
0.054
2,815
1.080
0.151
163,168
1.133
0.147
165,983
0.07
0.118
0.212
25,013
0.982
0.051
50,324
1.100
0.068
75,337
Total
0.170
0.163
27,828
2.062
0.104
213,492
2.233
0.108
241,320
Notes: The Burns Basin resource is based on a Lerchs-Grossman pit
determination using a new 20 x 20 x 20 block model, current mining
costs, a 2,000 ore ton per day production schedule, and a $1,400 Au
price which is a three-year trailing average price + 10 percent. The
stripping ratio for this Burns Basin resource is 10.8: 1 (waste:ore).
The preliminary mine plan at Burns Basin is based on work carried out
subsequent to the completion of the most recent National Instrument
(NI) 43-101 Technical Report on the Jerritt Canyon Property and was
conducted by Mining Consultants Mark Odell and Karl Swanson under the
supervision of Todd Johnson, Vice President of Exploration for YNG, all
of whom are Qualified Persons under NI 43-101. The most recent
Technical Report can be found in its entirety on the Company website
here:
https://www.yukon-nevadagold.com/s/JerrittCanyon.asp?ReportID=195388. Historical mining from Burns Basin from 1988 to 1998 extracted 412,328
ounces from 2.4 million short tons averaging 0.169 opt gold based on
internal mine records.
In addition, the Company has allocated the required moneys from its
existing exploration budget for further drilling at Burns Basin to
confirm and expand the resource and enable detailed mine planning.
Similar open-pit mine preliminary plans are currently in progress for
Steer and Saval Canyon, Mill Creek, West Generator, and Wright Window.
Drilling has already been authorized and is currently in progress for
some of these areas.
President and CEO Mr. Robert Baldock stated, "The startup of open pit
mining at Burns Basin is very exciting news for Queenstake Resources as
this will allow us to maximize the throughput of our existing on-site
ore processing facilities. This is a part of our long term objective of
completely overhauling the Jerritt Canyon facilities and creating a new
and re-vitalized long term gold producing asset. The recent increase of
the gold price has allowed us to reevaluate Burns Basin and other
historic open pits for additional mining opportunities. The last
significant open-pit mining at Jerritt Canyon occurred at the Dash open
pit in 1999."
This news release was reviewed and approved by the Company's Vice
President of Exploration, Todd Johnson, M.Sc., the Qualified Person
under NI 43-101 for purposes of this release.
Yukon-Nevada Gold Corp. is a North American gold producer in the
business of discovering, developing and operating gold deposits. The
Company holds a diverse portfolio of gold, silver, zinc and copper
properties in the Yukon Territory and British Columbia in Canada and in
Nevada in the United States. The Company's focus has been on the
acquisition and development of late stage development and operating
properties with gold as the primary target. Continued growth will occur
by increasing or initiating production from the Company's existing
properties.
If you would like to receive press releases via email please contact nicole@yngc.ca and specify "Yukon-Nevada Gold Corp. releases" in the subject line.
The TSX has not reviewed and does not accept responsibility for the
adequacy or accuracy of this release.
WARNING: The Company relies upon litigation protection for
"forward-looking" statements.
This news release does not constitute an offer to sell or a solicitation
of an offer to buy any of the securities in the United States. The
securities have not been and will not be registered under the United
States Securities Act of 1933, as amended (the "U.S. Securities Act")
or any state securities laws and may not be offered or sold within the
United States or to U.S. Persons unless registered under the U.S.
Securities Act and applicable state securities laws or an exemption
from such registration is available.
For further information:
Yukon-Nevada Gold Corp. Richard Moritz Senior Director, Institutional Investor Relations Tel: (604) 688-9427 Email: rmoritz@yngc.ca
Nicole Sanches Investor Relations Manager Tel: (604) 688-9427 ext 224 Email: nicole@yngc.ca
www.yukon-nevadagold.com CHF Investor Relations Jeanny So Director of Operations Tel: (416) 868-1079 ext. 225 Email: jeanny@chfir.com
www.chfir.com
AXINO AG Wolfgang Seybold Chairman Tel: +49 711 25 35 92 40 Email: wolfgang.seybold@axino.de
www.axino.de/
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