Vancouver, British Columbia / ACCESSWIRE / March 3, 2014 / Goldrush Resources Ltd. (TSX-V: GOD) ("Goldrush" or the "Company") is pleased to provide an update on its Ronguen Gold Project located in central Burkina Faso, West Africa.
Goldrush's management has recently re-evaluated the Ronguen deposit with a view to developing a lower capital cost, small scale open pit, heap leach mine that would target near-surface, higher grade, oxide gold mineralization. The Company intends, subject to financing, to initiate a Preliminary Economic Assessment ("PEA") to establish the potential economic viability of a heap leach operation that would target 3 to 4 million tonnes of mineralization at a range of head grades from 1.5 to 2 g/t Au over a 3 to 4 year mine life (These potential quantities and grades are conceptual in nature and do not reflect a current mineral resource or an economic analysis.). As detailed below in separated categories, the Ronguen deposit has current Measured and Indicated mineral resources of 8.487 million tonnes at a grade of 1.22 g/t Au. Management anticipates that a combination of a focus on higher grade mineralization with accompanying reductions in the capacity and cost of processing and operating equipment, and mine footprint, along with the proximity of the deposit to established infrastructure and paved roads will help to provide an attractive development project.
Discussions are underway with an established engineering firm that specializes in the design of heap leach mines with the goal of engaging this firm to produce a PEA of the Ronguen deposit within a four month time frame, subject to financing. If the results of the PEA are positive and financing is available, the Company would endeavor to complete further feasibility documents as soon as practical.
Commented Len Brownlie, President and CEO of Goldrush: "Our internal review of the economics of developing the Ronguen deposit suggest that the best way to increase shareholder value in the current economic climate is to develop a smaller scale, lower capital cost open pit mine that targets the higher grade oxide mineralization of the deposit. We are hopeful that a PEA will demonstrate robust economics for this approach."
Current Ronguen Mineral Resource
In July 2012, with an effective date of May 18, 2012, Goldrush announced the filing on SEDAR of a technical report entitled "Mineral Resource Technical Report Ronguen Gold Project, Burkina Faso" by SRK Consulting (Canada) Inc. which was prepared for the Ronguen gold deposit in accordance with Canadian Securities Administrators' National Instrument 43-101. The report discloses that the deposit contains a 155,000 ounce Measured mineral resource (4.281 million tonnes at a grade of 1.12 g/t Au), 177,000 ounce Indicated mineral resource (4.206 million tonnes at a grade of 1.31 g/t Au), and 52,000 ounce Inferred mineral resource (890,000 tonnes at a grade of 1.85 g/t Au). The total Measured and Indicated mineral resources contains 332,000 ounces of gold (8,487,000 tonnes at a grade of 1.22 g/t Au).
Ronguen is located on Goldrush's Kongoussi 1 and Tikare permits, 100 kilometres north of Burkina Faso's capital city of Ouagadougou, 45 kilometres east of Amara Mining Plc's Kalsaka heap leach gold mine and 10 kilometres northwest of Nord Gold's Bissa gold mine. Ronguen enjoys proximity and easy access to the main north-south paved highway from Ouagadougou and to the Lac Bam water supply, and is within three kilometres of the southern boundary of the regional centre of Kongoussi, (the capital of Bam province), which has an approximate population of 45,000 that could provide a source of employees for a mining operation.
Goldrush personnel continue to collect baseline environmental data from the Ronguen gold deposit area in order to support the planned Environmental and Social Impact Assessment Study.
Burkina Faso has had nine new gold mines commence production since 2007, and fourteen recent significant gold discoveries have been made during that time, with several of these now progressing through the mine development process. Burkina Faso, which is one of Africa's most stable democracies, is the continent's third largest state for gold exploration and the fourth largest for gold production.
Attendance at the Prospector and Developers Association of Canada "(PDAC") Investors Exchange
Goldrush will be exhibiting at booth #2600A at the PDAC Investors Exchange in Toronto, Ontario on March 2 and 3, 2014. Shareholders and interested investors are encouraged to visit the booth to meet with management and to learn more about the Company's plans for 2014.
Mr. Driffield Cameron, P.Geo., a director of Goldrush, is a Qualified Person, as defined in National Instrument 43-101 Standards of Disclosure of Mineral Projects, and has reviewed the technical information contained herein.
For further information on Goldrush Resources Ltd., shareholders and other interested parties are invited to visit the Company's website at www.goldrushresources.ca.
ON BEHALF OF THE BOARD OF DIRECTORS,
GOLDRUSH RESOURCES LTD.
Len Brownlie - President and Chief Executive Officer
Len Brownlie, President and CEO: [email protected]
About Goldrush: Goldrush is a Canadian mineral exploration company which has been focused on gold exploration in Burkina Faso, West Africa since 2006 and which has a land position of 1,534 square kilometers, including the Ronguen gold deposit and eight additional exploration permits in various stages of advancement.
FORWARD-LOOKING STATEMENTS: This news release contains certain "forward-looking statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended. Except for statements of historical fact relating to the company, certain information contained herein constitutes forward-looking statements. Forward-looking statements are frequently characterized by words such as "plan," "expect," "project," "intend," "believe," "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur, and include, without limitation, statements regarding the Company's plans with respect to exploration and development of its properties, including the development of the Ronguen deposit into an open pit heap leach operation, a proposed preliminary economic assessment on the Ronguen deposit, future financings, the sale or joint venture of some of the Company's exploration permits, the planned environmental and social impact assessment study, and the consolidation of the Company's share capital. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drilling results and other geological data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future and other factors. The Company undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking statements. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.