VANCOUVER, BRITISH COLUMBIA (TSX: GBG)(AMEX: GBN)(JSE: GBGOLD)
announces that having successfully completed its Phase II surface
and underground drilling programs at the Hollister mine development
project, the Company plans to extend exploration programs to
confirm and expand on the good results achieved to date.
Based on a review of all the assay results received to date, the
focus of exploration and development drilling will be redirected as
follows:
- A further 29,000 ft (8,800 m) of in-fill drilling from
underground drilling is planned. Target areas are mainly within the
current delineated Gwenivere and Clementine vein structures, with
the objective to both the increase the amount and confidence in the
mineral resources. A May 2007 estimate indicated 1 million gold
equivalent ounces in Measured and Indicated resources and an
additional 930 thousand ounces in Inferred resources at Hollister.
(1)
- An additional 58,000 ft (17,700 m) underground drilling
program is also planned, designed to rapidly test the depth
extension of the known resources and to bring any new resources to
as high a confidence level as possible. Currently mineralization
has only been outlined to an average depth of approximately 200
meters below the Ordovician unconformity.
Results from the surface exploration program currently underway
are confirming the prospectivity of the entire Hollister property.
Of the seven drill holes completed thus far outside of the main
mine area at the Hatter Zone, one hole, H7-246, returned highly
anomalous intercepts of 5 ft at 1.206 oz/ton (41 g/t) in the
pre-collar and a distinctive 3.8 ft vein at 1.148 oz/ton (39 g/t)
deeper in the drill hole (results in table below), and other holes
returned very anomalous intervals indicative of a gold system at
depth. This area has not been adequately explored.
Additional surface exploration is planned, encompassing 78,000
ft (23,800 m) of drilling, mainly testing anomalous zones defined
by historical drill data within an approximate one mile (1.6 km)
radius of the current underground infrastructure. Additional areas
to be tested occur in the Hatter Zone, located to the east of the
current decline infrastructure, where a number of historical
drill-defined anomalies still remain to be tested.
Current Surface Exploration Drilling:
Ongoing surface exploration has been testing targets defined by
historical drilling as well as more recent geophysical resistivity
surveys. Gold intercepts in drill hole H7-246 are in an unexplored
area within the Hatter Zone. These results have renewed interest in
this area and resulted in the identification of additional targets
that will be tested by drilling.
(1) Measured and indicated resources of 930,000 tons grading
1.03 oz/t gold and 5.71 oz/t Ag and inferred resources of 805,000
tons grading 1.08 oz/t Au and 3.04 oz/t Ag, both at 0.25 oz/ton
cut-off (see May 23, 2007 news release). Gold equivalent was
calculated by using the following metal prices: US$550/oz Au and
US$10/oz Ag. No metal recoveries have been applied.
Surface Drilling Results
--------------------------------------------------------------------------
Sample Drill-
Interval ed Analytical Results
Drill (ft) Thick- --------------------------
Vein Hole Descrip- ------------- ness Au Au Ag Ag
System ID tion From To (ft) (oz/t) (g/t) (oz/t) (g/t)
--------------------------------------------------------------------------
Hatter H6-222 Stockwork 1077.6 1080.4 2.8 0.184 6.308 0.16 5.7
--------------------------------------------------------------------------
Hatter H6-222 Veinlets 1377.0 1384.6 7.6 0.188 6.43 0.933 33.96
--------------------------------------------------------------------------
Hatter
Graben H7-246 Pre-collar 40 45 5.0 1.206 41.348 0.13 4.3
--------------------------------------------------------------------------
Hatter
Graben H7-246 Veinlets 1898.4 1902.2 3.8 1.148 39.359 P P
--------------------------------------------------------------------------
P equals Pending
Coincidentally, several shallow resistivity highs extend west
towards the 1 oz/ton intercept in the bottom of H7-246, a distance
of about 2,500 ft (760 m) from the area where most gold intercepts
at Hatter are located, These shallow resistivity highs are very
similar to resistivity highs coincident with the eastern part of
the Clementine and Gwenivere veins. A second east-west string of
shallow resistivity highs extends east from an area where a heap
leach stack was located during previous operations at Hollister for
about 5,000 ft (1,500 m). This area has almost no drilling and
these targets will be explored in the next 12 to 18 months.
Although outside the Hollister Development Block, these targets are
in close proximity to the existing underground mining
infrastructure.
Current Underground Drilling:
Underground drilling has been focussed on further delineating
the known resources. It has successfully confirmed high grades as
well as vein continuity. Highlights are:
Gwenivere Vein
HDB-191 The objective of this hole was to delineate the
Gwenivere vein system at depth and two significant intercepts were
encountered, intersected at 81.0-82.2 ft (24.7-25.1 m) and
312.2-314.7 ft (95.2-96.0 m), respectively. The shallower intercept
tested a 0.9 ft (0.27 m) zone of mineralization grading 0.541 oz/t
(18.38 g/t) Au and 6.09 oz/t (208.7 g/t) Ag. The deeper intercept
encountered a 1.1 ft (0.33 m) zone grading 0.171 oz/t (5.83 g/t) Au
and 1.21 oz/t (41.5 g/t) Ag.
HDB-192 Intersected 5.7 ft (1.7 m) of mineralized rock grading
1.08 oz/t (37.106 g/t) Au and 3.67 oz/t (125.9 g/t) Ag from
276.0-284.0 ft. Included in the intersection was 1.1 ft (0.33 m)
interval grading 5.19 oz/t (177.9 g/t) Au and 17.69 oz/t (606.6
g/t) Ag from 276.0 - 277.5 ft.
HDB-194 Encountered numerous zones of mineralization associated
with the Gwenivere vein system. A 3.5 ft (1.1 m) interval from
167.0-170.5 ft (50.94-52.00 m) graded 3.190 oz/t (109.37 g/t) Au
and 0.724 oz/t (24.8 g/t) Ag. Additional significant intersections
in HDB-194 include: a 2.7 ft (0.82 m) mineralized intercept at
311.3-314.0 ft (94.95-95.77 m) grading 1.742 oz/t (59.72 g/t) Au
and 4.20 oz/t (144.0 g/t) Ag, 1.5 ft (0.46 m) of mineralization
extending from 338.0-339.5 ft (103.10-103.55 m) grading 1.764 oz/t
(60.48 g/t) Au and 5.425 oz/t (186.0 g/t) Ag, and a 2.6 ft (0.79 m)
mineralized zone from 553.5-556.1 ft (168.82-169.61 m) grading
0.766 oz/t (26.26 g/t) Au and 0.423 oz/t (14.50 g/t) Ag.
Clementine Vein
HDB-196 Designed as an infill hole to assist in delineating the
structure and grade of the Clementine vein system, was drilled from
the 3800N drill station. The hole intersected 0.4 ft (0.12 m)
grading 1.196 oz/t (41.01 g/t) Au and 4.58 oz/t (157.03 g/t) Ag
from 107.9-108.4 ft (32.91-33.06 m). A second 3.3 ft (1.01 m)
mineralized intercept from 221.0-225.0 ft (67.41-68.63 m) was
encountered, grading 0.458 oz/t (15.70 g/t) Au and 1.24 oz/t (42.52
g/t) Ag. A third 5.9 ft (1.80 m) mineralized intercepted was
encountered from 252.0-259.2 ft (76.86-79.06 m) grading 0.71 oz/t
(24.43 g/t) Au and 9.17 oz/t (314.4 g/t) Ag.
Exploration Drilling
HDB-195A was drilled from Muck Bay #3 targeting a historic
high-grade intercept in a surface drill hole drilled about 500 ft
(150 m) to the east of the decline. The hole intersected 1.1 ft
(0.34 m) grading 0.176 oz/t (6.034 g/t) Au and 1.575 oz/t (54.0
g/t) Ag from 347.5-348.6 ft. (106.0-106.32 m).
Underground Drilling Results
New assay results received to October 2007 are tabulated
below.
--------------------------------------------------------------------------
Significant Intercepts
------------- -----------------------------------------------
Est.
Vein Sample Drill- Tr-
Intersection Interval ed ue Analytical Results
Drill (ft) (ft) Thick- Wid- -------------------------
Vein Hole ------------- ---------- ness th Au Au Ag Ag
System ID From To From To (ft) (ft)(oz/t) (g/t) (oz/t) (g/t)
--------------------------------------------------------------------------
Gweni- HDB- 81 82.2 1.2 0.9 0.541 18.38 6.087 208.7
vere 191 312.2 314.7 1.5 1.1 0.171 5.83 1.21 41.5
--------------------------------------------------------------------------
Gweni- 8.0 5.7 1.08 37.11 3.67 125.9
vere HDB- 276 284 276 277.5 1.5 1.1 5.19 177.94 17.69 606.6
192 277.5 284 6.5 4.6 0.1 3.429 0.32 10.9
--------------------------------------------------------------------------
Gweni- HDB- 181 182.5 1.5 1.4 0.392 13.44 11.273 386.5
vere 193 424 424.7 0.7 0.6 0.3 10.286 0.752 25.8
--------------------------------------------------------------------------
Gweni- HDB- 114.2 115.1 0.9 0.9 0.446 15.29 2.479 85.0
vere 194 167 170.5 3.5 3.5 3.19 109.37 66.262 2271.9
196.5 197.6 1.1 1.1 0.263 9 0.724 24.8
207.4 208.6 0.2 0.2 0.526 18.03 1.662 57.0
208.6 211.1 0.9 0.9 0.204 6.99 0.516 17.7
272 273.2 1.2 1.2 0.178 6.99 0.723 24.8
284.7 285.5 0.8 0.8 0.104 3.57 0.052 1.8
311.3 314 2.7 2.7 1.742 59.72 4.2 144.0
338 339.5 1.5 1.5 1.764 60.48 5.425 186.0
367.2 367.8 0.6 0.6 0.638 21.87 3.383 116.0
410 411.2 1.2 1.2 0.218 7.47 0.277 9.5
553.5 556.1 2.6 2.6 0.766 26.26 0.423 14.5
--------------------------------------------------------------------------
Explor- HDB- 347.5 348.6 1.1 1.1 0.176 6.034 1.575 54
ation 195A
--------------------------------------------------------------------------
Clemen- HDB- 107.9 108.4 0.5 0.4 1.196 41.01 4.58 157.0
tine 196 221 225 4 3.3 0.458 15.7 1.24 42.5
252 259.2 7.2 5.9 0.71 24.43 9.17 314.4
252 253.2 1.2 1.0 3.846 131.86 52.88 1813.1
253.2 256 2.8 2.3 0.021 0.74 0.11 3.8
256 259.2 3.2 2.6 0.142 4.87 0.70 24
--------------------------------------------------------------------------
Clemen- HDB- 188.5 189.1 0.6 0.5 0.526 18.03 0.554 19
tine 197
--------------------------------------------------------------------------
Clemen- HDB- No Significant
tine 198 Intercepts
--------------------------------------------------------------------------
Clemen- HDB- 171.7 172.5 0.8 0.7 0.188 6.446 1.954 67
tine 199 245.7 249 3.3 2.9 2.268 77.758 20.83 714.3
--------------------------------------------------------------------------
Clemen- HDB- No Preliminary Significant Intercepts: Awaiting Assay
tine 200A Reruns.
--------------------------------------------------------------------------
President and CEO Ferdi Dippenaar commented:
"We are extremely pleased with the progress made at our
Hollister Development Block Project. Drilling on the Gwenivere vein
system to date has indicated robust mineralization continuing to
the east and that mineralisation is open at depth. The same can be
said for the Clementine vein system, providing ample opportunity to
increase the resource at Hollister. Sufficient progress has been
made to review the resource statement last published in May 2007.
The intention in the near future is to retain our focus on
expanding the mineral resources to depth and to test surface
anomalies within the Hollister Development Block area. The success
we have had with the drilling in the nearby Hatter Zone shows the
diverse potential on the property. Indications are that more
mineralization exists in close proximity of the current decline
infrastructure, which could result in a larger mine being developed
on the Hollister Property. In an effort to fast track the
exploration of the Hollister Property and more rapidly increase our
understanding of its true potential, an amount of CDN$15 million
was approved by the Board for expenditure in the 2008 financial
year."
Gernot Wober, P.Geo., a qualified person, has reviewed the
contents of this release on behalf of the Company. 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 11 301 1800
Melanee Henderson in North America 1 800 667-2114
Barbara Cano at Breakstone Group in the USA (646) 452-2334
Ferdi Dippenaar, President and CEO
Samples collected from the Hollister Project are stored in a
secure facility until picked up by Inspectorate America Corporation
(Inspectorate) of Sparks, Nevada. Vein samples are analyzed by
either metallic screen or standard fire assay procedures. For
metallic screen analyses, vein sample preparation consists of
drying and jaw-crushing the entire sample to 90% passing 10-mesh,
taking a 500 g sub-sample using a rotary splitter, and then
pulverizing the 500 g sub-sample to 90% passing 150-mesh using a
large capacity ring and puck pulverizer. Gold and silver
determinations are by metallic screen analysis, with two 1
assay-ton (30 g) fire assays completed on the fine fraction; the
coarse fraction is fire assayed in its entirety. For standard fire
assay, vein sample preparation consists of drying and jaw-crushing
the entire sample to 90% passing 10-mesh, taking a 300 g sub-sample
using a Jones splitter, and then pulverizing the 300 g sub-sample
to 90% passing 150-mesh using a large capacity ring and puck
pulverizer. A 30 g charge is fire assayed. All metal determinations
are by gravimetric finish. Vein samples analyzed by standard fire
assay will be re-assayed using metallic screen procedures.
Laboratory Quality Assurance/Quality Control (QA/QC) is monitored
using coarse reject blanks and assay standards, duplicate fire
assays, and Inspectorate's internal standards and blanks. Coarse
blanks (barren rhyolite or landscape marble) and assay standards
are inserted into the sample sequence as blind samples prior to
submitting the samples to the laboratory. Inspectorate also inserts
assay standards and blanks into the sample stream. QA/QC results
are within acceptable limits.
Cautionary and Forward Looking Statement Information
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 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 market prices, exploitation and
exploration successes, effect of and changes to government policies
regarding mining and natural resource exploration and exploitation,
availability of capital and financing, geopolitical uncertainty and
political and economic instability, 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
20-F filing with the United States Securities and Exchange
Commission and its home jurisdiction filings that are available at
www.sedar.com.
Information Concerning Estimates of Measured, Indicated and
Inferred Resources
This news release also uses the terms "measured resources",
"indicated resources" and "inferred resources". The Company advises
investors that although these terms are recognized and required by
Canadian regulations (under National Instrument 43-101 Standards of
Disclosure for Mineral Projects), the U.S. Securities and Exchange
Commission does not recognize them. Investors are cautioned not to
assume that any part or all of the mineral deposits in these
categories will ever be converted into reserves. In addition,
'inferred resources' have a great amount of uncertainty as to their
existence, and economic and legal feasibility. It cannot be assumed
that all or any part of an Inferred Mineral Resource will ever be
upgraded to a higher category. Under Canadian rules, estimates of
Inferred Mineral Resources may not form the basis of feasibility or
pre-feasibility studies, or economic studies except for Preliminary
Assessment as defined under 43-101. Investors are cautioned not to
assume that part or all of an inferred resource exists, or is
economically or legally mineable.
No regulatory authority has approved or disapproved the
information contained in this news release.
Contacts: Great Basin Gold Ltd. - South Africa Tsholo Serunye
Investor Services 27 11 301 1800 Great Basin Gold Ltd. - North
America Melanee Henderson Investor Services 1-800-667-2114 Website:
www.grtbasin.com Breakstone Group - USA Barbara Cano Investor
Services (646) 452-2334