Mojave Gold Mining Corporation (the “Company”) is pleased to announce the Company’s initial National Instrument 43-101 Compliant Technical Report for the Telegraph Mine project, located in San Bernardino, California. David A. Hedderly-Smith, Ph.D., P.G. (“Dr. Hedderly-Smith”), of D.A. Hedderly-Smith & Associates (“DAHS&A”) of Park City, Utah, an independent qualified person, prepared and authorized the publication of the Technical Report.
Technical Report Highlights:
• Dr. Hedderly-Smith found the in-house resource estimates prepared in 2010 in conjunction with a pre-feasibility study, which showed 510,440 measured resources with a gold grade of 7.2 g/T (.21 oz/T), while not NI-43-101 compliant, was “based on sworn testimony elicited in the court proceedings before the U.S. Department of the Interior, IBLA 2012-233” and was created by “persons qualified by professional degrees and experience”. (pp. 5, 59) Referencing the measured reserve estimate he reported: “Per Mojave Gold’s analysis, total revenue at a price of $1,350 per ounce for gold and $20 per ounce for silver would be $137,435,772.”
Dr. Hedderly-Smith also states that, in his professional opinion:
• “…the Telegraph Mine is an excellent property with a well-identified gold resource and considerable potential to enlarge that resource. “ (p. 71)
• “The majority of resources that have been identified are near-surface and amenable to heap or vat leaching with a NaCN solution.” (p. 71)
• “Good recoveries have also been found in preliminary metallurgical testing for conventional milling and flotation.” (p. 71)
• “The deposit is adjacent to an interstate highway with excellent access.” (p. 71) “From a standpoint of logistics, the Telegraph Mine project should be relatively straight- forward and easy. The project is immediately adjacent to an Interstate highway with clear right-of-way to and from the mine site. The terrain at the mine site is relatively flat. Sufficient water for mining operations should be available on the property from an existing well and mine water. Power should be available from California Power which has an existing power line on the north side of I-15.” (p. 63)
• “In testimony in the claims validity case…Lange stated that he thought that the VLF-EM data had successfully traced the Telegraph vein for some 1070 meters (3500 feet).”
• “Significant sampling efforts…displays a consistence in tenor that is particularly reassuring.” (p. 71)
• “[historical] Resource estimates…display a similarly reassuring consistency in tenor and a steady increase in tonnage that would be expected.” (p. 71)
• With regards to the prior drilling at the Telegraph Mine project, “…the author believes that the data was collected under then-current industry standard procedures by competent industry professionals and is valid data. Furthermore the assay results from sampling of the drill cuttings from the 1981-1982 program are generally consistent with earlier sampling results, adding further credence to these numbers. Most importantly, this data shows relatively broad areas of significant mineralization at the Telegraph Mine which may not have been important under 1981 economics, but with the rise in the price of gold and improvement in recovery techniques over the past 30 years these areas appear to have excellent economic potential today.” (p. 41)
• “The author believes that a very good possibility exists for the development of a surface- mineable resource of up to ten or more million tons of material grading +1.0 g/T (.032 oz/T) in the immediate area of the main Telegraph vein on the three patented claims. Additional resources of similar grade may exist on the adjacent Telegraph and Gold Dyke claims…” (see page 72) “…the results of the 1981-1982 drilling program at the Telegraph Mine and at the adjacent Gold Dyke property suggest there may be excellent potential for a substantially larger, albeit lower-grade deposit on the property.” (p. 71)
• “…there is a good possibility that additional resources could be identified on the Gold Dyke claims with additional drilling in the area.” (p. 50)
• “…as part of the court proceedings involving the validity challenge over some of the unpatented claims at the Telegraph Mine almost all of the historic data on which this report has been based has been submitted as evidence, and many of the professionals who gathered the technical data have testified under oath as to the data’s validity. The author accepts this as prima facie evidence of validity and truthfulness of the data. Moreover, the Telegraph Mine property has been sampled repeatedly across several decades of time and by numerous professional experts, and the results of that sampling and other examinations have consistently led to similar tenor estimates and conclusions.” (p. 53)
• With reference to Tomo Ito’s 1969 resource estimate based upon his drilling of a measured 72,000 ton ore body with an average grade of 15.86 g/T (.51 oz/T), “It is the author’s opinion Ito’s work was done to industry standards as of 1969 and that his resource estimate is valid. Today it might be considered a “geologically inferred resource estimate.” (p. 55)
• Regarding Dr. Meade LeRoy Jensen, who evaluated in 1981 the work on the Telegraph Mine project by prior experts, “He affirmed acceptance of the resource estimates of both Ito and Owens. In testimony in court Jensen testified that he felt Ito’s resource estimate of 72,000 tons to be ‘proven reserves’…the author must note that Meade LeRoy Jensen was an icon of economic geology.” (p. 57)
• “Mojave Gold has management and personnel well versed in underground mining techniques, and the author has no reason to suspect that they are not fully capable of devising a sound plan to exploit these mineral resources with minimal effects on surface resources in the area.” (p. 62)
W. David Weston, President of Mojave Gold, said, “The identified measured, probable, inferred and potential ore reserves referenced in the Technical Report in conjunction with our Montgomery-Shoshone project, have positioned Mojave Gold to be America’s junior gold mining company. The Telegraph Mine is, upon permitting, ready for immediate development and production.”
The scientific and technical information contained in this news release were prepared by or under the supervision of Ken Clifford, Ph.D, Cherie Tilley and David Ryzak, who are “Qualified Persons” under National Instrument 43-101 Standards of Disclosure for Mineral Projects (“NI 43-101″).
ON BEHALF OF THE BOARD OF DIRECTORS OF MOJAVE GOLD MINING CORPORATION.
W. David Weston
Mojave Gold Mining Corporation
For further information, or for a full copy of the 43-101 Compliant Technical Report for the Telegraph Mine Project, please contact:
About Mojave Gold:
Mojave Gold Mining Corporation is a Wyoming corporation with its principal offices located in Salt Lake City Utah. Mojave Gold owns the mining rights to the Telegraph Gold Mine, a gold and silver deposit with $150MM+ in measured ore reserves, located near Baker, CA, and the famous Montgomery-Shoshone mine, formerly operated by Barrick, near Beatty, NV. Both projects are epithermal, boiling type deposits located within the Walker Lane Gold Belt, which has been the source of over 50 million ounces of gold discovery.
About David A. Hedderly-Smith, Ph.D, P.G.:
David A. Hedderly-Smith, Ph.D, P.G., is a professional geologist, and a graduate of the Western Washington State College (now University) with a B.Sc. in Geology in 1971. He is a graduate of the University of Washington with a M.Sc in Geological Sciences in 1975, and a graduate of the University of Utah with a Ph.D. in Geology in 1997. He is a member in good standing of several technical associations or societies including the Alaska Miners Association, the Utah Geological Society, the Geological Society of Nevada, the Society of Economic Geologists (SEG, Fellow) and the Society for Geology Applied to Mineral Deposits (SAG, Full Member). He is a licensed Professional Geologist in the State of Utah, with registration number 5328528-2250. From 1971 until the present he has been actively employed in various capacities in the mineral industry.
FORWARD LOOKING STATEMENTS: Certain of the statements and information in this press release constitute “forward-looking statements” or “forward-looking information” Any statements or information that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as “expects”, “anticipates”, “believes”, “plans”, “estimates”, “intends”, “targets”, “goals”, “forecasts”, “objectives”, “potential” or variations thereof or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements or information.
Forward-looking statements or information relate to, among other things: the timing and scope of the development of the Telegraph Mine, resource estimates, grades on the Telegraph Mine project; scope of mineralization within the Telegraph Mine project; timing of receipt of permits and regulatory approvals; the sufficiency of the Company’s capital to finance the Company’s operations; geological interpretations and potential mineral recovery processes.
Forward-looking statements or information are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ from those reflected in the forward-looking statements or information, including, without limitation, risks relating to: fluctuations in the spot and forward price of gold or certain other commodities; changes in national and local government legislation, taxation, controls, regulations and political or economic developments in the United States or other countries in which the Company may carry on business in the future; the uncertainties involved in interpreting geological data; business opportunities that may be presented to, or pursued by, the Company; operating or technical difficulties in connection with mining activities; the speculative nature of gold exploration and development, including the risks of obtaining necessary licenses and permits; diminishing quantities or grades of reserves; and contests over title to properties, particularly title to undeveloped properties. In addition, there are risks and hazards associated with the business of gold exploration, development and mining, including environmental hazards, industrial accidents, unusual or unexpected formations, pressures, cave-ins, flooding and gold bullion losses (and the risk of inadequate insurance, or the inability to obtain insurance, to cover these risks).
This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information. Forward-looking statements or information are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward-looking statements or information due to a variety of risks, uncertainties and other factors. Accordingly, readers should not place undue reliance on forward-looking statements or information.
The Company’s forward-looking statements and information are based on the assumptions, beliefs, expectations and opinions of management as of the date of this press release, and other than as required by applicable securities laws, the Company does not assume any obligation to update forward-looking statements and information if circumstances or management’s assumptions, beliefs, expectations or opinions should change, or changes in any other events affecting such statements or information. For the reasons set forth above, investors should not place undue reliance on forward-looking statements and information.