Progress Update on Goldfields – Drilling and Exploration
(GLR Resources Inc – GRS:TSX, GKF:Frankfurt) (“GLR” or the “Company”) today announced an update on the Goldfields Project, located in the Uranium City region of Northern Saskatchewan, Canada.
Wardrop Engineering and Feasibility Study
As previously reported it was decided to bring the Athona Gold deposit into the Feasibility Study. This has required a program of in-fill and confirmation drilling to bring the deposit resource to NI43-101 compliance. This phase of drilling has now been completed, with the holes having been logged, sampled and submitted for analysis to TSL Laboratories (Saskatoon). Assays are pending and will be released to the market in a timely manner as they are received.
Wardrop personnel visited the Goldfields property during the week of 14-18 August as part of their due diligence in writing the NI43-101 report. Wardrop expressed their satisfaction with the quality control being done by GLR geologists and technical staff. The feasibility work is progressing, with the required information needed by Wardrop being obtained.
Bob Kasner, CEO of GLR recently commented, “The extension of the feasibility’s delivery date is warranted, given the expanded focus of the study and the potential improvements of the project’s economics.”
Exploration at Athona
Based on this summer’s exploration campaign at Athona, GLR plans to conduct additional exploration drilling in the near future. Planned exploration drilling is designed to test higher-grade veins (H, K, L, F and M) which are located east of the proposed Athona pit (please see GLR press release of 26-July-06).
This additional exploration drill is warranted, given that an historic drill hole “F” returned 97′ of approximately 0.131 oz/t (converted from $ per ton Au) in drill core sludge from the lower “acidic” granite which was previously considered non gold bearing.(1)
The “H”, “J”, “K”, “L” and “M” veins are a series of veins consisting of quartz, galena, sphalerite and minor pyrite which carries considerable amounts of visible gold. The most developed vein to date is the “H” vein, which has an historic resource of 31,926 t @0.248 oz/t Au over a width of 5 feet.(2)
The present goal of GLR is to outline in excess of 200,000 tons of similar grade with the intent of mining these veins from a ramp within the proposed Athona pit.
(1) and (2) “Report on Development of the Lucky-Willy Group, Athona Mines”. Norman W. Byrne, B.A.Sc., Resident Engineer, 30-Jun-39.
(1), (2) and (3) This work was completed prior to NI 43-101 being implemented. GLR has not verified the historical resource/reserve values, and is not treating it as a current mineral reserve/resource estimate and should not be unduly relied upon.
Mr. John Cook, P.Eng is the qualified person for the technical aspects of this news release.
About GLR Resources:
GLR is a Canadian based junior mining and exploration company with projects in Ontario, Quebec and Saskatchewan. The most advanced asset is the Goldfields Project, which is located near Uranium City in Northern Saskatchewan. The Goldfields Project consists of two open pittable gold deposits, the Box and the Athona. The Box Gold Mine is a past producing mine and is currently moving towards production status. An existing feasibility study is being updated to NI43-101 compliance. GLR is well financed and has in excess of $2.0 million in the treasury.
Forward looking statements:
This news release contains certain forward-looking statements. These forward-looking statements are subject to a variety of risks and uncertainties beyond GLR’s ability to control or predict, which could cause actual events or results to differ materially from those anticipated in such forward-looking statements. Although GLR believes that the assumptions inherent in the forward-looking statements are reasonable, undue reliance should not be placed on these forward-looking statements.
For further information: GLR Resources Inc – Head Office, T: (705) 567-5351, E: kasner1@ntl.aibn.com; David Leng, VP Corporate Affairs & Investor Relations, T: (905) 537-5377, E: david.leng@geologist.com; Andreas Curkovic, Equicom Group, T: (416) 815-0700 ext 262, E: acurkovic@equicomgroup.com, http://www.glrresources.com