Masuparia Gold Corp Provides Update on Bulk Sample at Greywacke by 24hgold

Keywords : Canada | Gold | Recovery | Report |

Re: News - Tuesday, January 08, 2013
Title: Masuparia Provides Update on Bulk Sample at Greywacke

NR: 13-01

Masuparia Gold Corporation (TSX.V: MAS) ("the Company" or "Masuparia") is pleased to report on progress made regarding the Greywacke North deposit evaluation program. The Greywacke project is part of the LRSG JV between Masuparia and Golden Band Resources Inc. (TSX.V: GBN; OTCQX: GBRIF) ("Golden Band") with MAS acting as the operator during the exploration phase.

On December 20, 2012, the JV received the necessary approvals to collect a surface bulk sample from the Greywacke North deposit. The objective of the bulk sample program is to gather an understanding of how the Greywacke ore will process and recover through the nearby Jolu mill which is owned and operated by Golden Band and located 50 kilometres north of the deposit.

In preparation of this bulk sample, the road access to site was improved, a detailed fall program of channel sampling, verification of historic core and drill hole locations and sampling of existing core and preservation of historical drill core was completed (see news release of December 5, 2012). Under the direction of Golden Band, Taiga Consultants Ltd. collected mineralized core specimens and delivered them to Michael Yakimchuk, metallurgist for Golden Band, for advanced metallurgical testing by Saskatchewan Resource Council (SRC) prior to the bulk sample program. In addition to assaying, the material was subject to total digestion ICP analysis.

Selected analytical results are presented below:

Sample Name	Hole ID	Sample	From (m)	To (m)	Original Samples	Original Composite (g/t)	Jolu Fire Assay Lab (g/t)	SRC Fire Analysis Au (ppb)	SRC ICP Analysis S (ppm)
GBR-GW-01	GW01-045	52352	52.33	54.33	760113 - 760116	14.19	11.67	9,040	99
GBR-GW-02	GW01-045	53000	56.48	59.75	760293 - 760299	1.61	0.67	461	463
GBR-GW-03	GW01-052	52354	72.75	74.25	760260 - 760262	3.21	1.80	2,790	2,370
GBR-GW-04	GW01-052	52363	86.50	88.00	760287 - 760289	10.63	8.50	2,680	3,360
GBR-GW-05	GW01-050	52702	68.12	68.75	760219	0.15	0.07	44	443
GBR-GW-06	GW01-050	52703	68.75	73.75	760220 - 760229	10.60	14.37	32,600	8,200
GBR-GW-07	GW05-082	53011	64.00	65.00	mixed original intervals		10.50	5,970	817
GBR-GW-08	GW05-082	53021	54.00	55.00	mixed original intervals		16.03	9,280	11,900
GBR-GW-09	Head Feed of the Composite Sample 1 from the 4 Drill Holes					7.40	4.43	3,320	6,150
GBR-GW-10	Head Feed of the Composite Sample 2 from the 4 Drill Holes					8.00	4.67	5,990	5,910

Selected ICP Analysis:

Sample Name	Ag ppm	AI203 wt %	Ba ppm	CaO wt %	Cu ppm	Fe wt %	K2O wt %	MgO wt %	MnO wt %	Na2O wt %	Pb ppm	S ppm	Sr ppm	V ppm	Zn Ppm	Zr ppm	Au Fire Assay ppb
Description	Sample Type
GBR-GW-01	7.2	14.7	1060	0.4	72	3.61	3.7	1.3	0.03	3.31	33	99	108	218	347	166	9,040
GBR-GW-02	1	15.3	1030	1.22	106	5.8	3.4	1.55	0.06	3.08	16	463	257	105	96	155	461
GBR-GW-03	0.9	17.4	672	2.51	144	8.06	3.2	1.66	0.06	4.67	14	2,370	243	172	87	191	2,790
GBR-GW-04	1.2	15.4	901	1.38	23	3.18	3.3	0.99	0.03	3.83	68	3,360	210	83	296	189	2,680
GBR-GW-05	0.5	16	363	1.8	12	0.94	4.2	0.3	0.02	4.43	29	443	137	16	33	16	44
GBR-GW-06	1.4	15.7	1160	1.48	46	4.81	3.8	1.34	0.03	3.02	14	8,200	150	110	92	195	32,600
GBR-GW-07	3.6	14.4	449	0.56	49	3.78	2.9	1.18	0.03	3.82	348	817	144	97	694	128	5,970
GBR-GW-08	3.8	15.9	761	1.41	42	6.51	2.9	1.89	0.06	4.3	368	11,900	266	221	284	179	9,280
GBR-GW-09	1.5	16.7	861	2.04	31	5.44	3.8	2.38	0.06	3.85	86	6,150	227	146	236	164	3,320
GBR-GW-10	1.6	16.6	910	2.12	32	5.84	3.9	2.36	0.07	3.58	182	5,910	229	147	375	166	5,990

This work confirms a low sulphide content and a weak positive correlation of gold to elevated Pb, Zn, S and Ag.

Two composite samples were delivered to the facilities of SRC in Saskatoon for bench scale metallurgical work as designed by Golden Band and the SRC. We are pleased to report the results of this test work as applicable to utilizing the Jolu mill for processing:

Gold recovery of over 93% was achieved when simulating Golden Band's current processing circuit.
An average of ~80% of the gold was recovered using gravity concentration techniques, based on the processing of multiple samples.
It was observed that Golden Band's current grinding and leaching circuit is suitable for achieving high gold recoveries.
Calculated feed grade of the samples delivered to the bench scale circuit ranged from 7.4 g/t to 8.0 g/t

The summary excerpt from the "Final Report Lab Scale Test for Gold Recovery Prepared by Saskatchewan Research Council SRC Publication No. 13455-1C12" is quoted below:

Metallurgical testing sample #1 was made from the samples in pail #1 and pail #2. Metallurgical testing sample #2 was made from the samples in pail #3 and pail #4.
Direct head assays indicated 5.4 ppm gold in sample #1 and 6.0 ppm of gold in sample #2 while the calculated head grades were 7.4 ppm for sample #1 and 8.0 ppm for sample #2. The discrepancy between the assayed and calculated head feed gold content indicates the existence of gold nuggets in the samples. It is difficult to get representative samples for direct head assays when gold nuggets in the samples.
There were 17.8% and 17.4% over 150 mesh samples produced when the sample #1 and #2 were primary milled to 70% passing 200 mesh, respectively.
The gravity separation using a MD-3 Knelson Concentrator was effective for the Golden Band samples. Of the total gold in the gravity separation feed, 93.4-93.6% gold was recovered.
Cyanidation recovery was 77.2% for sample #1 and 91.1% for sample #2. The discrepancy was likely caused by the errors of gold analysis.
The overall gravity recovery was 83.1% for sample #1 and 76.5% for sample #2 based on the direct feed assay.
The bond ball mill work index was 17.28. The sample was moderately hard rock.

These bench scale results were very favourable to the processing of this material through the Jolu mill. The poor correlation between repeat assays and the high percentage recovery of gold by gravity points to a nuggety nature of the gold distribution in the La Ronge Gold belt. To confirm and to better assess the mineralized material, a bulk sample in the order of 15,000 tonnes will be toll milled this winter.

Upon completion of the bulk sample a winter drill program is scheduled for the Greywacke North deposit to increase the confidence in the potential open pit portion of the deposit and test deeper extensions. This work will support the completion of a preliminary economic assessment (PEA) of the deposit.

In preparation of future production from the Greywacke deposit, the JV is completing baseline environmental studies necessary for full environmental permitting. The fall study has been completed through the services of Canada North Environmental Services Limited Partnership; the winter study has been authorized and is scheduled for January 2013 and the spring and summer studies are planned for later in the 2013 calendar year.

Mike Jamieson, P.Geol., of Taiga Consultants Ltd., has acted as the Qualified Person as defined in National Instrument 43-101 for this disclosure and has approved the technical information contained in this release.

About Masuparia
Masuparia Gold Corporation is a Canadian mineral exploration company focused on grassroots exploration projects with world class potential. Masuparia currently is the Operator of a joint venture (LRSG JV) in the La Ronge Gold Belt of Saskatchewan with Golden Band Resources on three properties: Greywacke Lake, Preview Lake and North Lake. The Greywacke Lake gold project, which the Company believes to have bulk mineable potential, is at an advanced stage with several known high-grade gold-bearing zones and a resource estimate on the Greywacke North Zone of 184,000 tonnes at 8.4 g/t Au plus an Inferred Resource of 58,000 tonnes at 7.29 g/t (at a cut-off of 5 g/t) (NI 43-101, Wardrop 2008).

On Behalf of the Board of Directors
Masuparia Gold Corporation

Ron Netolitzky, President & CEO

Neither TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.

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