Gold Road takes Gruyere over 5 million ounce mark

THE DRILL SERGEANT: Gold Road Resources (ASX: GOR) has released an updated JORC Code 2012-compliant Mineral Resource estimate for the Gruyere deposit on the Dorothy Hills Trend at Yamarna, Western Australia.

The new Mineral Resource has come in at 137.81 million tonnes at 1.24 grams per tonne gold for a total of 5.51 million ounces of gold.

Gold Road said the new Resource represents a 42 per cent increase in tonnes and a 44 per cent increase in metal from the Gruyere maiden Resource.

The updated Resource also includes 87.54 million tonnes at 1.21g/t gold for 3.4 million ounces in the Measured and Indicated resource categories, representing 62 per cent of the total Resource.

Over all the new estimate has provide respective increases of 118 per cent and 116 per cent of tonnes and metal compared to the maiden Resource.

“Gruyere now has a scale of real significance,” Gold Road Resources executive chairman Ian Murray said in the company’s announcement to the Australian Securities Exchange.

“This substantial 44 per cent increase in the Gruyere Mineral Resource to 5.51 million ounces reflects the quality of the deposit and the exceptional exploration and geological work our team has undertaken.

“Even when a more conservative $1,400 per ounce pit shell is applied, contained gold increases by 92 per cent to five million ounces compared to the same price constraint applied last year.

“We have spent approximately $10.9 million on Gruyere since the discovery in October 2013, which equates to $1.98 per ounce of Mineral Resource, well below the international average cost per discovery ounce.

“This updated Mineral Resource will feed into the ongoing Pre‐Feasibility Study.

“We look forward to settling on the scale and power source at the end of Phase 1 next quarter.

“The entire Pre ‐ Feasibility Study will be completed by the end of the calendar year and reported to the market in early 2016.”

Email: perth@goldroad.com.au

Website: www.goldroad.com.au