TORONTO, Jan. 24, 2012 /CNW/ - Guyana Goldfields Inc. (TSX: GUY) ("GGI" or the Company") is pleased to provide details on its 2012 exploration program for the Aurora and Aranka projects located in Guyana, South America.
Six target areas have been selected for follow-up work and diamond drilling. These areas were defined by baseline exploration work over the past three years including geophysics, stream and soil sampling.
At the Aurora Property, the exploration has identified a new target known as Sand Creek, located approximately 4kms northwest across the Cuyuni River and along strike of the Aurora Gold Project, where the Company currently has a measured & indicated resource of 5.71 million ounces of gold at an average grade of 3.83 g/t (see press release September 9, 2011). This target was discovered through prospective soil sampling and trenching results in 2011 and drilling will commence on this target by the end of the first quarter of 2012. (See Exhibit 1).
Exhibit 1: http://files.newswire.ca/826/Exhibit_1.pdf
Continued reconnaissance and mapping work around the Aranka concessions has identified several zones of anomalous gold mineralization within a 5km radius of the Company's Sulphur Rose deposit, where a total resource of 566,830 ounces (277,580 indicated and 289,250 inferred) was discovered in 2010 (see press release dated December 14, 2011). Of particular note is the N-1 target area (see Exhibit 2). This area is defined by a 400m by 300m soil anomaly located approximately 5kms northeast of Sulphur Rose. Initial soil samples have returned grades up to 25 g/t Au (see Exhibit 3) and drilling on this target will commence by the end of January.
In addition, approximately 35kms north from Sulphur Rose, soil sampling programs followed up the previously completed stream sediment sampling at the Wynamu prospect that identified a very broad alteration zone measuring approximately 3km by 2km. A thirty man camp has been established and the company plans to commit additional resources to this area as drill targets are further defined.
Dan Noone, VP Exploration stated, "We have confidence in our exploration models and in the work that has identified and developed this pipeline of exploration targets. We are excited to be able to drill test these prospects and hope to discover additional and entirely new gold mineralization outside of the known Aurora and Sulphur Rose resources."
Up to 8 rigs will be utilized for this 2012 exploration program with a total of 11 geologists. This early exploration program detailed above is budgeted for $5 million and the Company will continuously assess the results of each program and will systematically increase funds as warranted as each target is explored.
About Guyana Goldfields Inc.
Guyana Goldfields Inc. is a Canadian based mineral exploration company, primarily focused on the exploration and development of gold deposits in Guyana, South America where the Company has operated since 1996. The Company is currently undertaking drilling and studies to advance and develop the Aurora Gold Project in Guyana with a current measured and indicated resource of 5.71 million ounces gold (47.040 million tonnes at a grade of 3.83 g/t). The completion of a Feasibility Study is expected in Q1 2012 followed by a revised resource estimate by the end of the first quarter in 2012.
At the Aranka Properties, the Company has discovered a gold deposit at Sulphur Rose and other highly prospective targets have been identified for drill testing. As at the date hereof, the Company has approximately $33 million in cash and short-term bank guaranteed investment certificates and no debt; there are approximately 83 million shares issued and outstanding.
All scientific and technical disclosure contained in this press release has been approved by Mr. Augusto Flores IV (P.Geo), a "qualified person" within the meaning of National Instrument 43-101
This news release contains "forward-looking information" which may include, but is not limited to, statements with respect to the estimation of mineral resources. Often, but not always, forward-looking statements can be identified by the use of words and phrases such as "plans," "expects," "is expected," "budget," "scheduled," "estimates," "forecasts," "intends," "anticipates," or "believes" or variations (including negative variations) of such words and phrases, or state that certain actions, events or results "may," "could," "would," "might" or "will" be taken, occur or be achieved.
Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made and are based on various assumptions.
Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of GGI to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, the final findings set forth in the Feasibility Study , general business, economic, competitive, political and social uncertainties; the actual results of exploration activities; changes in project parameters as plans continue to be refined; accidents, labour disputes and other risks of the mining industry; political instability; delays in obtaining governmental approvals or financing or in the completion of development or construction activities, as well as those factors discussed in the section entitled "Risk Factors" in GGI's annual information form. Although GGI has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. Forward-looking statements contained herein are made as of the date of this news release and GGI disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or results, except as may be required by applicable securities laws. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward looking statements.
PDF with caption: "File1". PDF available at: http://stream1.newswire.ca/media/2012/01/24/20120124_C6124_DOC_EN_9102.pdf
PDF with caption: "File2". PDF available at: http://stream1.newswire.ca/media/2012/01/24/20120124_C6124_DOC_EN_9103.pdf
PDF with caption: "File3". PDF available at: http://stream1.newswire.ca/media/2012/01/24/20120124_C6124_DOC_EN_9104.pdf
For further information:
Guyana Goldfields Inc.
Vice President, Corporate Communications
Tel: (416) 628-5936 Ext. 2295
Fax: (416) 628-5935