Dear Subscriber,
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March 5, 2008
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Vancouver,
Canada - March 05, 2008 - Yukon-Nevada Gold Corp. (Toronto Stock Exchange:
YNG; Frankfurt Xetra Exchange: NG6)
announces that it has completed an updated resource estimate for its 100%
owned Ketza River property in the Yukon Territory, which significantly
increases the grade of its previously reported resource. The
currently estimated resource at Ketza River, as of year-end 2007, consists
of a measured and indicated resource of 646,400 ounces
at a grade of 4.93
grams of gold per tonne (gpt), comprised of a
measured resource of 146,500
ounces at a grade of 6.40 gpt and an indicated
resource of 499,900 at a grade of 4.61 gpt. There is an additional
inferred resource of 112,800
ounces at a grade of 3.26 gpt. These estimates
are tabulated by area in the tables below; the map showing their locations
can be accessed on the Company's web site.
Table 1. KETZA RIVER MEASURED & INDICATED RESOURCE
DECEMBER 2007
Deposit/Mine
|
MEASURED
|
INDICATED
|
MEASURED & INDICATED
|
K
Tonne
|
g/t
|
K
Oz
|
K
Tonne
|
g/t
|
K
Oz
|
K
Tonne
|
g/t
|
K
Oz
|
Pit
Resources (1 gpt cutoff)
|
|
|
|
|
|
|
|
|
|
Peel-Break
|
303.2
|
7.17
|
69.8
|
1,878.6
|
5.14
|
310.6
|
2,181.8
|
5.42
|
380.5
|
Penguin-Lab-Hoodoo
|
205.2
|
7.70
|
50.8
|
567.7
|
3.56
|
65.0
|
772.9
|
4.66
|
115.8
|
Shamrock
(Gully-QB-3m)
|
182.5
|
3.65
|
21.4
|
519.6
|
3.58
|
59.8
|
702.1
|
3.60
|
81.2
|
Tarn
|
-
|
|
-
|
54.6
|
4.26
|
7.5
|
54.6
|
4.26
|
7.5
|
Subtotal
|
690.9
|
6.39
|
142.0
|
3,020.5
|
4.56
|
442.9
|
3,711.4
|
4.90
|
584.9
|
|
|
|
|
|
|
|
|
|
|
U/G Resources (3 gpt cutoff)
|
|
|
|
|
|
|
|
|
|
Peel-Break
|
2.0
|
4.34
|
0.3
|
98.9
|
5.73
|
18.2
|
100.9
|
5.70
|
18.5
|
Penguin-Lab-Hoodoo
|
18.5
|
6.78
|
4.0
|
70.7
|
5.05
|
11.5
|
89.2
|
5.40
|
15.5
|
Shamrock (Gully-QB-3m)
|
0.8
|
3.78
|
0.1
|
175.8
|
4.74
|
26.8
|
176.6
|
4.74
|
26.9
|
Tarn
|
-
|
|
-
|
3.6
|
4.92
|
0.6
|
3.6
|
4.92
|
0.6
|
Subtotal
|
21.3
|
6.43
|
4.4
|
349.0
|
5.09
|
57.1
|
370.3
|
5.17
|
61.5
|
|
|
|
|
|
|
|
|
|
|
Total All Sources
|
712.2
|
6.40
|
146.5
|
3,369.5
|
4.61
|
499.9
|
4,081.7
|
4.93
|
646.4
|
Yukon-Nevada Gold's President
and Chief Executive Officer, Graham C. Dickson, commented, "We are
pleased to see this significant increase in the average grade of the
resource and to note that the great majority of the resource (90.5%) will
be mined by open pit. This is an important step in the transition of Ketza
River from an exploration camp to a gold producer and a testimonial to the
hard work and dedication of the exploration staff who have worked at this
site twenty four hours a day for the last thirty three months".
Ketza River is currently
transitioning from an exploration project to feasibility and, therefore,
the current resource estimate has focused on establishing higher grade
resource shapes that can form the basis for eventual mineable
reserves. As a result, mineralization that is not deemed to have a
reasonable expectation of being eventually mineable has been excluded from
the current resource. A cut-off grade of 1.0 gpt has been used for
shapes that are believed to be amenable to eventual open-pit mining (see
note) while a cut-off of 3.0 gpt has been applied to resource shapes that
would have to be mined from underground. In addition, most gold
mineralization has been tightly constrained geologically using structural
and stratigraphic features established by mining records and 3-dimensional
geologic analysis; the nature of these geologic constraints, has to a great
extent, been the result of work carried out on the property during the last
year.
Compared to the last reported
resource estimates for Ketza River (2004, 2005), the current measured and
indicated resource estimate represents a decrease of about 110,000 ounces
of gold from a previously estimated 756,700 ounces
but, more significantly, at a much higher grade (4.93 gpt compared to the
previous 2.76 gpt). The measured component of the resource is
currently at 6.40 gpt compared to a previous 3.54 gpt.
Table 2. KETZA RIVER INFERRED RESOURCE
DECEMBER 2007
Deposit/Mine
|
INFERRED
|
K
Tonne
|
g/t
|
K
Oz
|
Pit
Resources (1 g/t Cutoff)
|
|
|
|
Peel-Break
|
298.1
|
2.79
|
26.7
|
Penguin-Lab-Hoodoo
|
188.1
|
2.33
|
14.1
|
Shamrock (Gully-QB-3m)
|
229.7
|
2.83
|
20.9
|
Tarn
|
46.3
|
2.20
|
3.3
|
Subtotal
|
762.2
|
2.65
|
65.0
|
|
|
|
|
U/G Resources (3 g/t cutoff)
|
|
|
|
Peel-Break
|
27.6
|
3.72
|
3.3
|
Penguin-Lab-Hoodoo
|
59.9
|
4.14
|
8.0
|
Shamrock (Gully-QB-3m)
|
225.9
|
5.03
|
36.5
|
Tarn
|
-
|
-
|
-
|
Subtotal
|
313.4
|
4.74
|
47.8
|
|
|
|
|
Total All Sources
|
1,075.6
|
3.26
|
112.8
|
Estimated inferred resources
have declined from a previously reported 1,054,400 ounces
at 2.25 gpt to the currently estimated 112,800 ounces
at 3.26 gpt. The Company believes that this decrease in inferred
resource reflects new drilling and stricter constraints placed on the
estimation and not a decrease in exploration potential of the over-all
property. Numerous encouraging exploration targets remain untested
throughout the project area, including several which would represent
stepouts or extension from currently identified resource.
This resource estimate was
prepared by Yukon-Nevada Gold geologic staff and Russ White of SRK under
the supervision of the Company's Executive Vice President - Exploration,
Dorian L. (Dusty) Nicol, who is a qualified person under N.I. 43-101.
This estimate has been reviewed and approved by Russ White of SRK who is
the qualified person for this news release. SRK is preparing a 43-101
Technical Report incorporating these results; it is estimated that this
report will be completed and available by early April 2008.
Note: In order to establish potential surface mineability, pit shells
were created using a Lerchs-Grossmann algorithm at $1,000 USD per ounce
gold price and basic cost and recovery criteria as recommended by SRK
Consulting (US), Inc. which include $12/tonne process costs, $2.82/tonne
mining costs, 85% metallurgical recovery, and 45 degree pit slopes.
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.
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