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High River Gold Mines Ltd. ("High River" or the
"Company") (TSX:HRG) today reported the results of the
recently completed mineral reserve and resource estimates prepared for
most of High River's assets located in Russia and Burkina Faso.
Technical reports compliant with National Instrument 43-101 - Standards
of Disclosure for Mineral Projects ("NI 43-101") in respect
of such estimates are being currently prepared by Wardell Armstrong
International ("WAI"). The company expects to file the
completed reports by the end of February, 2011. The "qualified
person" in charge of the preparation of the technical reports is
Dr. Phil Newall, BSc (ARSM), PhD (ACSM), CEng, FIMMM, Director with WAI. Dr. Newall also supervised the
preparation of this press release.
Highlights
The company announced the updated reserves and resources estimates as
of November 1, 2010 for:
-- Berezitovy mine in Russia -- 1,035 kOz of proven and probable reserves -- 1,238 kOz of measured + indicated resources -- 132 kOz of inferred resources -- Taparko-Bouroum mine in Burkina Faso -- 627 kOz of proven and probable reserves -- 758 kOz of measured + indicated resources -- 186 kOz of inferred resources -- Bissa advanced exploration project in Burkina Faso -- 1,653 kOz of proven and probable reserves -- 2,649 kOz of measured + indicated resources -- 218 kOz of inferred resources
Note: Mineral resources are
reported inclusive of any reserves.
Also, High River announced the first time resource estimates for
greenfield exploration targets in Burkina Faso:
-- Yeou: 82 kOz of inferred resources -- Ankouma: 74 kOz of inferred resources -- Bouly: 253 kOz of inferred resources -- Gougre: 225 kOz of inferred resources -- Zinigma: 139 kOz of inferred resources
Background information about
assets
Berezitovy mine
The gold mineralisation at the Berezitovy mine, located in the Amur
Region of Russia, is related to explosive breccia within granitic
gneisses which is present within a north-northwest trending and steeply
southwest dipping zone of brecciated and hydrothermally altered
granodiorite. In addition, gold mineralisation is associated with
metasomatic alteration and quartz flooding in granitic and
granodioritic rocks. The near surface oxidation zone is very shallow
(5-7m deep) and mineralisation throughout is predominantly sulphides.
Modern mining operations began in December 2007. The deposit is mined
by conventional open pit techniques with drill and blast, and haulage
utilising CAT and Belaz trucks. The mine has a throughput of
approximately 1.2Mtpa, with 184t/hr through the CIP plant to a dry
paste plant at a nominal average grade of 2.4g/t Au.
Taparko-Bouroum mine
The Taparko and Bouroum gold deposits, in Burkina Faso, comprise
sulphide-poor quartz veins hosted by shear zones of various attitudes.
Mining at Taparko mine commenced in late 2007 and currently extracts
gold ore from the 3/5 open pit by conventional drill & blast with
truck haulage to a comminution-gravity-CIL processing circuit. Ore has
also been produced from the GT pit at Taparko and from the Bouroum
project to the west. The current daily rate of excavation is
approximately 4,400tpd of ore with an average of 17,000t of waste,
whilst the mill feed rate is approximately 190t/hr.
Bissa deposit
The Bissa deposit in Burkina Faso represents a late stage development
project with a Feasibility Study completed in 2010. This project, which
comprises typical Birimian greenstone shear-hosted gold mineralization,
is scheduled for open pit production, with gold recovery by CIL. Over
and above the main deposit, the Bissa licence and adjacent exploration
properties contain significant additional resources, and it is likely
that in due course, these will be incorporated into the operation.
Presently, the planned mining method for this project is open pit. The zone
of mining extraction consists of several open pits dispersed along
approximately 5.5km of the southwest/northeast oriented mineralised
zone.
Other exploration assets in Burkina Faso
The Burkina Faso assets also include several exploration sites such as
Bouly, Gougre, Zinigma, Guibare, Yeou, Ankouma, Yargo, Sakou,
Yimiougou, Mane, Nounagou and Tyegana. Of those, the exploration in
Yeou, Ankouma, Bouly, Gougre and Zinigma is advanced enough to generate
resources.
Mineral Resource/Reserve Estimates
Mineral resources and reserves have been estimated and classified
according to the CIM Standards on Mineral Resources and Reserves -
Definitions and Guidelines (December 2005) (the "CIM
Guidelines").
Berezitovy
The Berezitovy resource model has been derived from geostatistical
studies. The key drillhole spacings for the allocation of measured
resources were 40m x 40m and 80m x 80m for indicated resources. The
extent of inferred resources was limited to within 60m of a diamond
drillholes intersection within the modelled mineralised zone.
The final block model was used as the basis for resource evaluation.
Summary results of the evaluation of the un-mined, in-situ resources
are shown in the table for three different cut-off grade levels:
0.3g/t, 0.5g/t and 0.7g/t Au.
---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Berezitovy Resource Estimate (WAI, November 1, 2010 (in accordance with CIM Guidelines)) ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Ore Type Sulphide Sulphide Sulphide ---------------------------------------------------------------------------- Cut Off Grade (g/t) 0.3 0.5 0.7 ---------------------------------------------------------------------------- Measured Tonnage (kt) 10,764 10,577 9,905 ---------------------------------------------------- Au (g/t) 2.00 2.02 2.12 ---------------------------------------------------- Metal kg 21,492 21,412 20,999 -------------------------------------------- oz 690,972 688,412 675,118 ---------------------------------------------------------------------------- Indicated Tonnage (kt) 10,357 10,184 9,479 ---------------------------------------------------- Au (g/t) 1.64 1.66 1.74 ---------------------------------------------------- Metal kg 17,008 16,933 16,502 -------------------------------------------- oz 546,807 544,420 530,550 ---------------------------------------------------------------------------- Measured + Indicated Tonnage (kt) 21,121 20,761 19,384 ---------------------------------------------------- Au (g/t) 1.82 1.85 1.93 ---------------------------------------------------- Metal kg 38,499 38,345 37,501 -------------------------------------------- oz 1,237,779 1,232,832 1,205,668 ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Inferred Tonnage (kt) 2,571 2,364 1,951 ---------------------------------------------------- Au (g/t) 1.59 1.70 1.93 ---------------------------------------------------- Metal kg 4,098 4,009 3,766 -------------------------------------------- oz 131,743 128,906 121,080 ---------------------------------------------------------------------------- Notes: 1. Mineral resources are not reserves until they have demonstrated economic viability based on a feasibility study or pre-feasibility study. 2. Mineral resources are reported inclusive of any reserves. 3. The contained Au represents estimated contained metal in the ground and has not been adjusted for metallurgical recovery. ---------------------------------------------------------------------------- ----------------------------------------------------------------------------
As a continuation of mineral
resource modelling of Berezitovy deposit, WAI has undertaken a pit
optimisation using the Mineral Resource Block Model prepared by WAI and
updated in November 2010. The model was depleted to contain only those
mineral resources that have not been extracted as of November 1, 2010.
WAI used NPV Scheduler(R) software for the optimisation, applying the
following conceptual financial and technical parameters:
-- Gold Price - US$900/oz; -- Selling Cost - US$56/oz; -- Production Rate - 2Mtpa; -- Discount Rate - 11.2%; -- Dilution - 5.5%; -- Mining Recovery Factor - 96.6%; -- Mining Cost (Ore & Waste) - US$1.30/t; -- Processing Cost - US$12.55/t processed; -- Gold Recovery - 90.1%, and -- Final Pit Wall Angle - 55 degrees .
The results of the WAI pit
optimisation as calculated by NPV Scheduler(R) are presented in the
table below.
-------------------------------------------------------- -------------------------------------------------------- Berezitovy Open Pit Ore Reserves (WAI, November 1, 2010 (in accordance with CIM Guidelines)) -------------------------------------------------------- -------------------------------------------------------- Ore Type Sulphide -------------------------------------------------------- Cut Off Grade (g/t) 0.51 -------------------------------------------------------- -------------------------------------------------------- Proven Tonnage (kt) 10,129 ------------------------------------ Au (g/t) 1.98 ------------------------------------ Metal kg 20,105 ------------------------- oz 646,450 -------------------------------------------------------- -------------------------------------------------------- Probable Tonnage (kt) 6,199 ------------------------------------ Au (g/t) 1.95 ------------------------------------ Metal kg 12,085 ------------------------- oz 388,597 -------------------------------------------------------- -------------------------------------------------------- Proven + Probable Tonnage (kt) 16,328 ------------------------------------ Au (g/t) 1.97 ------------------------------------ Metal kg 32,190 ------------------------- oz 1,035,047 -------------------------------------------------------- -------------------------------------------------------- Notes: 1. Mining factors of 5.5% dilution and 96.6% mining recovery applied. 2. Global density of 2.87t/m3 applied to both ore and waste. -------------------------------------------------------- --------------------------------------------------------
Taparko
The criteria for defining resource categories were derived from the
geostatistical studies. Key drillhole spacings for the allocation of
indicated resources they were 20m x 20m (along-strike x down-dip). All
of the modelled resources within the mineralised zone wireframes and
within 50m of a composite sample have been classified as inferred.
The final block models were cut against the topographic/pit surveys
dated November 1, 2010 and used as the basis for resource evaluation.
Summary results of the evaluation of the in-situ resources for all
Zones are shown in the table below, by rock type, for four different
cut-off grade levels: 0.5, 1.0, 1.5 and 2.0g/t Au.
---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Mineral Resource Estimate - Taparko All Zones (WAI, November 1, 2010 (in accordance with CIM Guidelines)) ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Cut Off Grade 0.5 1.0 1.5 2.0 ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Measured Tonnage (kt) 0 0 0 0 -------------------------------------------------------- Au (g/t) 0 0 0 0 -------------------------------------------------------- Metal kg 0 0 0 0 ----------------------------------------------- oz 0 0 0 0 ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Indicated Tonnage (kt) 6,153 5,832 4,956 3,836 -------------------------------------------------------- Au (g/t) 2.86 2.98 3.28 3.72 -------------------------------------------------------- Metal kg 17,625 17,358 16,240 14,279 ----------------------------------------------- oz 566,663 558,065 522,138 459,076 ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Measured + Indicated Tonnage (kt) 6,153 5,832 4,956 3,836 -------------------------------------------------------- Au (g/t) 2.86 2.98 3.28 3.72 -------------------------------------------------------- Metal kg 17,625 17,358 16,240 14,279 ----------------------------------------------- oz 566,663 558,065 522,138 459,076 ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Inferred Tonnage (kt) 1,290 1,136 947 687 -------------------------------------------------------- Au (g/t) 2.30 2.50 2.75 3.13 -------------------------------------------------------- Metal kg 2,967 2,846 2,606 2,149 ----------------------------------------------- oz 95,387 91,513 83,786 69,082 ---------------------------------------------------------------------------- Notes: 1. Mineral resources are not reserves until they have demonstrated economic viability based on a feasibility study or pre-feasibility study. 2. Mineral resources are reported inclusive of any reserves. 3. The contained Au represents estimated contained metal in the ground and has not been adjusted for metallurgical recovery. ---------------------------------------------------------------------------- ----------------------------------------------------------------------------
As a continuation of mineral
resource modelling of Taparko deposit, WAI has undertaken a pit
optimisation using the Mineral Resource Block Model prepared by WAI and
updated in November 2010. The model was depleted to contain only those
mineral resources that have not been extracted as of November 1, 2010.
WAI used NPV Scheduler(R) software for the optimisation, applying the
following financial and technical parameters:
-- Gold Price - US$900/oz; -- Production Rate - 1.7Mtpa; -- Discount Rate - 11.2%; -- Dilution - 5.0%; -- Mining Recovery Factor - 97.0%; -- Mining Cost (Ore & Waste) - US$1.33/t; -- Processing Cost - US$15.30/t processed; -- Gold Recovery - 95%, and -- Final Pit Wall Angle - 45 degrees .
The results of the WAI pit
optimisation for Taparko as calculated by NPV Scheduler(R) are
presented in the table below.
---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Taparko Open Pit Ore Reserves (WAI, November 1, 2010 (in accordance with CIM Guidelines)) ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Open Pit (Area) GT 2N2K 35 Total ---------------------------------------------------------------------------- Cut Off Grade (g/t) 0.55 0.55 0.55 - ---------------------------------------------------------------------------- Proven Tonnage(kt) - - - - -------------------------------------------------------- Au(g/t) - - - - -------------------------------------------------------- Metal kg - - - - -------------------------------------------------- oz - - - - ---------------------------------------------------------------------------- Probable Tonnage(kt) 643 1,517 3,962 6,122 -------------------------------------------------------- Au(g/t) 4.33 1.85 2.84 2.75 -------------------------------------------------------- Metal kg 2,785 2,809 11,260 16,854 -------------------------------------------------- oz 89,554 90,327 362,043 541,924 ---------------------------------------------------------------------------- Proven + Probable Tonnage(kt) 643 1,517 3,962 6,122 -------------------------------------------------------- Au(g/t) 4.33 1.85 2.84 2.75 -------------------------------------------------------- Metal kg 2,785 2,809 11,260 16,854 -------------------------------------------------- oz 89,554 90,327 362,043 541,924 ---------------------------------------------------------------------------- Note: 5% dilution and 97% mining recovery applied. ---------------------------------------------------------------------------- ----------------------------------------------------------------------------
Bouroum
The resource models for F12 and Welcome Stranger have been derived from
the geostatistical studies. Key drillhole spacings for the allocation
of indicated resources at F12 were 20m x 20m (along-strike x down-dip),
inferred resources were allocated to blocks within the mineralised zone
wireframes within 50m of a composite sample. All of the modelled
resources at Welcome Stranger were classified as inferred due to high
very short scale variability between paired holes.
The final block models were used as a basis for resource evaluation. A
summary of the results for the evaluations of in-situ resources is
shown in the table below for various cut-off grade levels.
---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Mineral Resource Estimate - in-situ Resources - Bouroum All Zones (WAI, November 1, 2010 (in accordance with CIM Guidelines)) ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Cut Off Grade 0.5 1.0 1.5 2.0 ---------------------------------------------------------------------------- Tonnage Measured (kt) 0 0 0 0 ------------------------------------------------------ Au (g/t) 0 0 0 0 ------------------------------------------------------ Metal kg 0 0 0 0 ------------------------------------------------- oz 0 0 0 0 ---------------------------------------------------------------------------- Tonnage Indicated (kt) 2,364 2,217 1,836 1,326 ------------------------------------------------------ Au (g/t) 2.52 2.63 2.91 3.36 ------------------------------------------------------ Metal kg 5,948 5,829 5,345 4,449 ------------------------------------------------- oz 191,240 187,416 171,845 143,031 ---------------------------------------------------------------------------- Tonnage Measured + Indicated (kt) 2,364 2,217 1,836 1,326 ------------------------------------------------------ Au (g/t) 2.52 2.63 2.91 3.36 ------------------------------------------------------ Metal kg 5,948 5,829 5,345 4,449 ------------------------------------------------- oz 191,240 187,416 171,845 143,031 ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Tonnage Inferred (kt) 856 803 731 604 ------------------------------------------------------ Au (g/t) 3.3 3.47 3.68 4.08 ------------------------------------------------------ Metal kg 2,826 2,783 2,692 2,466 ------------------------------------------------- oz 90,831 89,490 86,565 79,289 ---------------------------------------------------------------------------- Notes: 1. Mineral resources are not reserves until they have demonstrated economic viability based on a feasibility study or pre-feasibility study. 2. Mineral resources are reported inclusive of any reserves. 3. The contained Au represents estimated contained metal in the ground and has not been adjusted for metallurgical recovery. ---------------------------------------------------------------------------- ----------------------------------------------------------------------------
The results of the WAI pit
optimisation for F12 only was calculated by NPV Scheduler(R), using the
same parameters as Taparko, are presented in the table below.
---------------------------------------------------- ---------------------------------------------------- Open Pit Mineral Reserves for F12 (WAI, November 1, 2010 (in accordance with CIM Guidelines)) ---------------------------------------------------- ---------------------------------------------------- Open Pit (Area) F12 ---------------------------------------------------- Cut Off Grade (g/t) 0.9 ---------------------------------------------------- Proven Tonnage(kt) - --------------------------- Au(g/t) - --------------------------- Metal kg - ------------------- oz - ---------------------------------------------------- Probable Tonnage(kt) 999 --------------------------- Au(g/t) 2.64 --------------------------- Metal kg 2,639 ------------------- oz 84,855 ---------------------------------------------------- Proven + Probable Tonnage(kt) 999 --------------------------- Au(g/t) 2.64 --------------------------- Metal kg 2,639 ------------------- oz 84,855 ---------------------------------------------------- Notes: 1. The contained Au represents estimated contained metal in the ground and has not been adjusted for metallurgical recovery. ---------------------------------------------------- ----------------------------------------------------
Bissa
The resources were defined using the categories that were derived from
the geostatistical studies. Key drillhole spacings for the allocation
of measured resources were 20m x 20m, for indicated resources they were
40m x 40m (along-strike x down-dip). All of the modelled resources,
covered by 80m x 80m drillings grids, have been classified as inferred.
The final block model was used as the basis for resource evaluation. A
summary of the results of the evaluation of the in-situ resources are
shown in the table below, for three different cut-off grade levels:
0.5g/t, 0.8g/t and 1.1g/t.
---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Bissa Mineral Resource Estimate - Total in-situ Resources - Whole Deposit (WAI, November 1, 2010 (in accordance with CIM Guidelines)) ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Cut Off Grade 0.5 0.8 1.1 ---------------------------------------------------------------------------- Measured Tonnage (kt) 497 493 484 --------------------------------------------------- Au (g/t) 3.33 3.35 3.40 --------------------------------------------------- Metal kg 1,657 1,652 1,643 ------------------------------------------ oz 53,262 53,117 52,807 ---------------------------------------------------------------------------- Indicated Tonnage (kt) 57,570 41,878 27,079 --------------------------------------------------- Au (g/t) 1.40 1.68 2.09 --------------------------------------------------- Metal kg 80,730 70,348 56,535 ------------------------------------------ oz 2,595,518 2,261,707 1,817,606 ---------------------------------------------------------------------------- Measured + Indicated Tonnage (kt) 58,068 42,371 27,561 --------------------------------------------------- Au (g/t) 1.42 1.70 2.11 --------------------------------------------------- Metal kg 82,386 71,999 58,176 ------------------------------------------ oz 2,648,780 2,314,824 1,870,414 ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Inferred Tonnage (kt) 5,657 3,821 2,262 --------------------------------------------------- Au (g/t) 1.2 1.46 1.82 --------------------------------------------------- Metal kg 6,768 5,577 4,118 ------------------------------------------ oz 217,609 179,264 132,385 ---------------------------------------------------------------------------- Notes: 1. Mineral resources are not reserves until they have demonstrated economic viability based on a feasibility study or pre-feasibility study. 2. Mineral resources are reported inclusive of any reserves. 3. The contained Au represents estimated contained metal in the ground and has not been adjusted for metallurgical recovery. ---------------------------------------------------------------------------- ----------------------------------------------------------------------------
The metal price used for the
pit optimisation was US$900/oz Au. The following technical and
economical parameters were used:
-- Gold Price - US$900/oz; -- Production Rate - 3.0Mtpa; -- Discount Rate - 11.2%; -- Dilution - 6.0%; -- Mining Recovery Factor - 97.0%; -- Mining Cost (Weathered Ore) - US$2.43/t; -- Mining Cost (Fresh Ore) - US$3.23/t; -- Mining Cost (Waste) - US$1.90/t; -- Processing Cost (Weathered Ore) - US$13.79/t processed; -- Processing Cost (Fresh Ore) - US$21.22/t processed; -- Gold Recovery (Weathered and Fresh Ore) - 91.5%/86.5%, and -- Final Pit Wall Angle - Various.
Based on the described above
open pit optimisation, WAI estimated Bissa open pit mineral reserves.
Detailed results of this estimation are given in the table below.
----------------------------------------------------------------- ----------------------------------------------------------------- Bissa Open Pit Mineral Reserves (WAI, November 1, 2010 (in accordance with CIM Guidelines)) (COG = 0.62g/t Au) ----------------------------------------------------------------- ----------------------------------------------------------------- Ore/Rock Type Ore (kt) Au (kg) Au (g/t) ----------------------------------------------------------------- Total Proven 487 1,572 3.23 ----------------------------------------------------------------- Total Probable 28,676 49,846 1.74 ----------------------------------------------------------------- Total Proven and Probable 29,163 51,417 1.76 ----------------------------------------------------------------- ----------------------------------------------------------------- Weathered Proven - - - ----------------------------------------------------------------- Weathered Probable 22,729 35,896 1.58 ----------------------------------------------------------------- Fresh Proven 487 1,572 3.23 ----------------------------------------------------------------- Fresh Probable 5,947 13,950 2.35 ----------------------------------------------------------------- ----------------------------------------------------------------- Weathered Proven and Probable 22,729 35,896 1.58 ----------------------------------------------------------------- Fresh Proven and Probable 6,434 15,521 2.41 ----------------------------------------------------------------- Waste 106,621 ----------------------------------------------------------------- Notes 1. Mining Factors of 6% dilution and 97% mining recovery applied. Waste is given inclusive of inferred material, which is also treated as waste. 2. The contained Au represents estimated contained metal in the ground and has not been adjusted for metallurgical recovery. -----------------------------------------------------------------
Other Burkina Faso Resources
Yeou
The Yeou property is located 30km north of Bouroum deposit and has the
same type of geological properties as the better-explored F12, Bissinga
and Welcome Stranger. Gold mineralisation is associated with quartz
veining hosted in granodiorite close to a major sheared contact (to the
south) with mafic metavolcanic to gabbroic rocks. Most of the veining
is parallel to the shear zone although some extensional and/or tension
gash veining more or less perpendicular to the main trend, are present.
A block model was used as the basis for resource evaluation. The key
drillhole spacings for the allocation of inferred resources were 40m x
50m (along-strike x down-dip). A summary of the evaluation of the
in-situ resources are shown in the table below, for four different
cut-off grade levels: 0.4g/t, 1.0g/t, 1.5g/t and 2.0g/t Au.
---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Yeou Mineral Resource Estimate (WAI, November 1, 2010 (in accordance with CIM Guidelines)) ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Density Au COG Classification Volume (m3) Tonnes (t) (t/m3) (g/t) Contained Metal ---------------- (kg) (troy oz) ---------------------------------------------------------------------------- 0.4 Inferred 426,790 1,066,052 2.50 2.39 2,550 81,980 ---------------------------------------------------------------------------- 1.0 Inferred 333,567 821,087 2.46 2.87 2,357 75,765 ---------------------------------------------------------------------------- 1.5 Inferred 211,808 523,880 2.47 3.76 1,968 63,286 ---------------------------------------------------------------------------- 2.0 Inferred 144,568 359,517 2.48 4.62 1,663 54,459 ---------------------------------------------------------------------------- Notes: 1. Mineral resources are not reserves until they have demonstrated economic viability based on a feasibility study or pre-feasibility study. 2. Mineral resources are reported inclusive of any reserves. 3. The contained Au represents estimated contained metal in the ground and has not been adjusted for metallurgical recovery. ---------------------------------------------------------------------------- ----------------------------------------------------------------------------
Ankouma
The Ankouma prospect, which lies some 23km north of Bouroum, comprises
a suite of mafic volcanics which have been cut by a north-northwest
trending main shear zone some 800m long, as well as other sub-parallel
smaller shears.
The main zone is well delineated by gold geochemistry, the sub-parallel
units less so. The mineralisation also appears to be well defined by
Resistivity which shows an anomalous zone larger than the known
mineralised outcrop. Other trenches show variable amounts of
mineralisation with some good individual assays, a similar trend to
that seen in the drillholes.
A final block model was used as the basis for resource evaluation. The
key drillhole spacings for the allocation of inferred resources were
40m x 40m (along-strike x down-dip). Summary results of the evaluation
of the in-situ resources are shown in the table below, for four
different cut-off grade levels: 0.5g/t, 1.0g/t, 1.5g/t and 2.0g/t Au.
---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Ankouma Mineral Resource Estimate - Total in-situ Resources (WAI, November 1, 2010 (in accordance with CIM Guidelines)) ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Density Au COG Classification Volume (m3) Tonnes (t) (t/m3) (g/t) Contained Metal ---------------- (kg) (troy oz) ---------------------------------------------------------------------------- 0.5 Inferred 708,507 1,815,679 2.56 1.26 2,296 73,825 ---------------------------------------------------------------------------- 1.0 Inferred 352,915 896,641 2.54 1.78 1,599 51,417 ---------------------------------------------------------------------------- 1.5 Inferred 161,162 396,308 2.46 2.37 941 30,254 ---------------------------------------------------------------------------- 2.0 Inferred 63,619 159,579 2.51 3.27 522 16,792 ---------------------------------------------------------------------------- Notes: 1. Mineral resources are not reserves until they have demonstrated economic viability based on a feasibility study or pre-feasibility study. 2. Mineral resources are reported inclusive of any reserves. 3. The contained Au represents estimated contained metal in the ground and has not been adjusted for metallurgical recovery. ---------------------------------------------------------------------------- ----------------------------------------------------------------------------
Bouly
Bouly is located in the 68.56km2 Namtenga Permit to the southeast of
Bissa. The bedrock comprises massive non-foliated porphyritic mafic
metavolcanics, brecciated by younger porphyritic intrusive dykes and
gold is associated with quartz-pyrite-chalcopyrite veinlets with
potassic alteration along the vein walls.
The criteria for defining resource categories were derived from the
geostatistical studies. Key drillhole spacings for the allocation of
inferred resources were 80m x 80m (along-strike x down-dip).
The final block model was used as the basis for resource evaluation. A
summary of the results of the Bouly evaluation of the in-situ resources
are shown in the table below, for four different cut-off grade levels:
0.3g/t, 0.6g/t, 0.8g/t and 1.0g/t Au.
---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Bouly Mineral Resource Estimate - Total in-situ Resources (WAI, November 1, 2010 (in accordance CIM Guidelines)) ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Cut Off Grade 0.3 0.6 0.8 1.0 ---------------------------------------------------------------------------- Inferred Tonnage (kt) 16,571 9,607 3,680 1,143 -------------------------------------------------------------- Au (g/t) 0.68 0.82 1.02 1.35 -------------------------------------------------------------- Metal kg 11,315 7,877 3,762 1,544 ----------------------------------------------------- oz 363,793 253,261 120,966 49,653 ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Notes: 1. Mineral resources are not reserves until they have demonstrated economic viability based on a feasibility study or pre-feasibility study. 2. Mineral resources are reported inclusive of any reserves. 3. The contained Au represents estimated contained metal in the ground and has not been adjusted for metallurgical recovery. ---------------------------------------------------------------------------- ----------------------------------------------------------------------------
Gougre
The Gougre deposit lies in the Gargo permit area which is west of the
Bissa project, is coincident with a resistivity and chargeability
gradient and appears to lie on the contact with a mafic volcanic. Gold
mineralisation is associated with a strongly magnetic silicified unit
cut by limonite-filled fractures and occurs in a zone constrained by
two narrow intervals of intense fracturing.
The final block model was used as the basis for resource evaluation.
Summary results of the evaluation of the in-situ resources are shown in
the table below for four different cut-off grade levels: 0.5g/t,
1.0g/t, 1.5g/t and 2.0g/t Au.
---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Gougre Mineral Resource Estimate - Total in-situ Resources (WAI, November 1, 2010 (in accordance CIM Guidelines)) ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Cut Off Grade 0.5 1.0 1.5 2.0 ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Inferred Tonnage (kt) 2,930 2,726 2,223 1,538 -------------------------------------------------------------- Au (g/t) 2.39 2.52 2.82 3.33 -------------------------------------------------------------- Metal kg 7,002 6,869 6,269 5,122 ----------------------------------------------------- oz 225,123 220,844 201,544 164,680 ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Notes: 1. Mineral resources are not reserves until they have demonstrated economic viability based on a feasibility study or pre-feasibility study. 2. Mineral resources are reported inclusive of any reserves. 3. The contained Au represents estimated contained metal in the ground and has not been adjusted for metallurgical recovery. ---------------------------------------------------------------------------- ----------------------------------------------------------------------------
Zinigma
Zinigma is located in the Yargo Permit, northwest of Bissa, where an
800 x 300m zone of disturbance was noted, trending approximately
east-west. Individual pits are from 10 to 60m deep chasing generally
narrow (less than 50cm) white quartz stringers.
The deformation zone which contains the mineralisation is hosted within
felsic volcanics (schists) which are strongly weathered and show
extensive kaolin, hematite and limonite in the altered zones.
The final block model was used as the basis for resource evaluation.
The key drillhole spacings for the allocation of inferred resources
were 66m x 55m (along-strike x down-dip). Summary results of the
evaluation of the in-situ resources are shown in the table below, for
four different cut-off grade levels: 0.5g/t, 1.0g/t, 1.5g/t and 2.0g/t
Au.
---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Zinigma Mineral Resource Estimate - Total in-situ Resources (WAI, November 1, 2010 (in accordance CIM Guidelines)) ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Cut Off Grade 0.5 1.0 1.5 2.0 ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Inferred Tonnage (kt) 3,687 1,854 839 361 -------------------------------------------------------------- Au (g/t) 1.17 1.60 2.06 2.51 -------------------------------------------------------------- Metal kg 4,317 2,959 1,725 904 ----------------------------------------------------- oz 138,792 95,150 55,465 29,071 ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- Notes: 1. Mineral resources are not reserves until they have demonstrated economic viability based on a feasibility study or pre-feasibility study. 2. Mineral resources are reported inclusive of any reserves. 3. The contained Au represents estimated contained metal in the ground and has not been adjusted for metallurgical recovery. ---------------------------------------------------------------------------- ----------------------------------------------------------------------------
Data Verification
Dr. Phil Newall is a "qualified person" as defined by
National Instrument 43-101 and as a qualified person completed the
verification of data on which the above mineral reserve and resource
estimates were based. This verification included an assessment of QA/QC
data, sample preparation and assay methodologies, core recoveries,
density data, data inputs, survey data and validation of historic
exploration data used in the estimate. Data were validated by using
field checks, statistical methods and evaluating written protocols.
High River has implemented QA/QC procedures at all projects to ensure
best industry practice in sampling and analysis of the drill core
samples.
The Berezitovy mine has its own dedicated onsite core storage shed and
preparation facility. All sample analysis at Berezitovy is undertaken
in the on-site laboratory (process plant) which is adequate for the
level of prospecting work. The laboratory uses a range of Standard
Reference standards supplied by Rocklabs. The standard ore sample
assays 1.65ppm Au (tolerance +/- 0.08ppm Au) and the tailings sample
assays 0.71ppm Au (tolerance +/- 0.03ppm Au).
At Taparko mine, core from all mineralized intersections is stored in
well-organized racks at the mine. For the Bissa project, High River has
a dedicated facility in the town of Kongoussi which includes core
storage and sample preparation.
The primary analytical laboratory used by High River for the Taparko,
Bouroum, Bissa and the other exploration projects in Burkina Faso is
Abilab in Ouagadougou. It employs an established QA/QC program which
operates a global quality management system that is ISO9001:2000
accredited.
None of the laboratories contracted by High River for sample analyses
has any relationship to, or interest in, High River or any of its
projects.
Qualified Person
Dr. Phil Newall, BSc (ARSM), PhD (ACSM), CEng, FIMMM, Director with WAI
is the qualified person responsible for supervising the preparation of
this press release and the scientific and technical information
contained in this press release. Dr. Newall is independent of High
River.
Cautionary Note
The grades presented in the above tables are not meant to imply
recoverable gold. Mineral resources and reserves have been estimated
and classified according to the CIM Guidelines. High River is not aware
of any known environmental, permitting, legal,
title, taxation, socio-economic, marketing or other relevant issues
that could potentially affect the estimate of mineral resources or
reserves. The mineral resources and reserves may be affected by
subsequent assessments of mining, environmental, processing,
permitting, taxation, socio-economic and other factors.
About High River
High River is an unhedged gold company with interests in producing
mines and advanced exploration projects in Russia and Burkina Faso. Two
underground mines, Zun-Holba and Irokinda, are situated in the Lake
Baikal region of Russia. Two open pit gold mines, Berezitovy in Russia
and Taparko-Bouroum in Burkina Faso, are also in production. Finally,
High River has two advanced exploration projects with NI 43-101
compliant resource estimates, the Bissa gold project in Burkina Faso
and 50% interest in the Prognoz silver project in Russia.
FORWARD-LOOKING INFORMATION
This release and subsequent oral statements made by and on behalf of
the Company may contain forward-looking statements. Forward-looking
information includes, but is not limited to, statements with respect to
mineral reserve and resource estimates; the ability to realize
estimated mineral reserves; recoveries, grades and annual production;
receipt of all necessary approvals; the parameters and assumptions
underlying the mineral resource and reserve estimates and the financial
analysis; and gold prices. Wherever possible, words such as
"intends", "expects", "scheduled",
"estimates", "anticipates", "believes",
and similar expressions or statements that certain actions, events or
results "may", "could", "would", "might"
or "will" be taken, occur or be achieved, have been used to
identify these forward-looking statements. Estimates regarding mineral
resources and reserves, as outlined above and in the technical report,
have been based on knowledge of company management and the knowledge
and experience of third party experts. Although the forward-looking
statements contained in this release reflect management's current
beliefs based upon information currently available to management and
based upon what management believes to be reasonable assumptions, High
River cannot be certain that actual results will be consistent with
these forward-looking statements. A number of factors could cause
events and achievements to differ materially from the results expressed
or implied in the forward-looking statements. These factors should be
considered carefully and prospective investors should not place undue
reliance on the forward-looking statements. Forward-looking statements
necessarily involve significant known and unknown risks, assumptions
and uncertainties that may cause High River's actual results, events,
prospects and opportunities to differ materially from those expressed
or implied by such forward-looking statements. Although High River has
attempted to identify important risks and factors that could cause
actual actions, events or results to differ materially from those
described in forward-looking statements, there may be other factors and
risks that cause actions, events or results not to be anticipated,
estimated or intended, including those risk factors discussed in the
Company's 2009 Annual Information Form. There can be no assurance that
the forward-looking statements will prove to be accurate, as actual
results and future events could differ materially from those anticipated
in such statements. Accordingly, prospective investors should not place
undue reliance on forward-looking statements. Any forward-looking
statements are made as of the date of this release, and High River
assumes no obligation to update or revise them to reflect new events or
circumstances, unless otherwise required by law.
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