Gold Mountain Resuming Open Pit Test at Elk Gold Project
TSX-V TRADING SYMBOL: GUM
VANCOUVER, July 2, 2014 /CNW/ - Gold Mountain Mining Corporation (the "Company" or "Gold Mountain") has resumed the open pit test on its 100% owned Elk Gold property, located near Merritt, British Columbia.
The program will confirm open pit mining parameters projected in the Preliminary Economic Assessment report. The bulk sample mine plan expects to remove up to 10,000 tonnes of material at grades similar to the sample mined in 2012 (13.8 grams per tonne Au). The bulk sample is projected to be completed by this fall and the material will be shipped off-site for processing to gold bullion.
The bulk sample program was initiated in the fall of 2012. Less than 5% of the gold bearing vein was removed and 500 tons were sent for trial processing in 2013. The test processing run proved to be very successful with an average grade of 13.8 grams of gold per tonne and a gold recovery of 97.99%. Based on metallurgical tests performed the gold recovery for the balance of the bulk sample is expected to remain in the 98% range.
The mining of the bulk sample will provide invaluable information for the planning and production phase of the Elk Gold project. Several mining techniques for the efficient removal of the mineralized vein will be tested to optimize the mining process and establish meaningful benchmarks for the next stage of development of the Elk Gold deposit.
The 2014 bulk sample program is expected to produce about 4,000 ounces of gold to yield a positive cash flow for the company based on the current gold price of US$1298/ounce.
The Company's Senior Geologist, Robert Wilson, P.Geo., acts as the Company's Qualified Person for technical disclosure per National Instrument 43-101, and has reviewed and approved the technical content of this press release.
About Gold Mountain Mining
Gold Mountain is a public resource company managed by an experienced team of professionals with a solid track record of exploration and development success. The Company owns 100% of the 16,700 hectare Elk Gold property, which the Company intends to develop into a precious metal producer within the next two years, and is also seeking additional near-term production assets to further build shareholder value. Additional information is available on Sedar.com or on the Company's website at www.aumtn.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has reviewed or accepts responsibility for the adequacy or accuracy of this Release.
ON BEHALF OF THE BOARD
"Chris McLeod" (signed)
Chris McLeod, President & CEO
Forward-Looking Statements: This news release contains forward-looking statements that are based on the Company's current expectations and estimates. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "suggest", "indicate" and other similar words or statements that certain events or conditions "may" or "will" occur, and include, without limitation, statements regarding the closing of further tranches of the Offering, the use of proceeds from the Offering and the Company's plans with respect to the exploration and development of its projects. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from estimated or anticipated events or results implied or expressed in such forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.
SOURCE Gold Mountain Mining CorporationFor further information: contact Chris McLeod, President & CEO or Rod Shier, Chief Financial Officer at 604 558-4653