VANCOUVER, Nov. 27, 2012 /PRNewswire/ - Guyana Frontier Mining Corp. ("Guyana Frontier") is pleased to announce that Mulgravian Ventures Corporation ("Mulgravian", a private Canadian exploration company) has begun a diamond drilling program on the Five Star Gold Project ("Five Star"), located in northwest Guyana, South America. The initial drilling program at Five Star is planned for a total of up to 10,000 metres over the next twelve months, with the final drilling meterage total dependent upon results.
Highlights of Five Star 2012 Exploration and 2013 Exploration Plans
- Prospecting and geological mapping, trenching, soil auger geochemical, and diamond drilling programs are underway;
- An airborne magnetic and radiometric survey is complete over all areas of Five Star;
- Construction of an airstrip and improvements to Five Star road access are planned; and
- 2013 program and budget presented by Mulgravian totals approximately US$6.7 million.
A joint venture was formed in April 2012 on Five Star with Mulgravian as operator holding a 51% interest and Guyana Frontier holding a 49% interest (see Guyana Frontier news releases dated April 17 and July 11, 2012). Guyana Frontier previously elected not to contribute to the 2012 Five Star program, and will be subject to standard dilution of its 49% interest in Five Star according to the terms of the joint venture agreement.
The technical work disclosed in this document was supervised, reviewed and approved by Robert Lunceford, M.Sc., CPG, who is a Qualified Person as defined in National Instrument 43-101 ("NI 43-101").
About Five Star
Five Star consists of 17 mining permits and 8 prospecting permits, which cover an area of approximately 25,065 acres (10,144 hectares) near the settlement of Matthew's Ridge, Guyana. Guyana Frontier acquired its 100% interest in Five Star from two separate underlying vendors, Case Development Company Ltd. and Marcel Waaldijk (the "Underlying Vendors"), with each of the Underlying Vendors currently maintaining a 3% net smelter returns royalty ("NSR") on their respective permits. Each NSR is subject to buy-down provisions. Mulgravian earned its 51% working interest in Five Star from Guyana Frontier by incurring minimum exploration expenditures and property acquisition costs of US$2.0 million, and by purchasing Guyana Frontier common shares and exercising Guyana Frontier common share purchase warrants totalling CDN$630,000.
On May 10, 2011, Guyana Frontier filed a technical report in respect of Five Star on SEDAR compliant with the standards of NI 43-101, available at www.sedar.com
About Guyana Frontier
Guyana Frontier is a TSXV-listed public mineral exploration company focused on the exploration, discovery and development of precious metals deposits in Guyana and Brazil, South America. Guyana Frontier began acquiring interests in Guyanese exploration properties in 2007, and now holds various rights to obtain working interests in approximately 209,824 acres (84,915 hectares) of prospective lands in Guyana.
Guyana Frontier's primary goal is to develop a significant gold resource at the Marudi Mountain Gold Project, and to explore its other projects with joint venture partners.
Neither the TSX Venture Exchange nor its Regulation Services Provider
(as that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
FORWARD LOOKING STATEMENTS
This release contains "forward-looking statements" within the meaning of applicable Canadian securities legislation. Forward-looking statements include, but are not limited to, statements that address activities, events or developments that Guyana Frontier expects or anticipates will or may occur in the future, including such things as planned exploration activities at the Five Star property, the operation of the joint venture between Guyana Frontier and Mulgravian, future business strategy, competitive strengths, goals, expansion, growth of Guyana Frontier's businesses, operations, plans and with respect to exploration results, the timing and success of exploration activities generally, permitting time lines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, timing and possible outcome of any pending litigation and timing and results of future resource estimates or future economic studies.
Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "planning", "planned", "expects" or "looking forward", "does not expect", "continues", "scheduled", "estimates", "forecasts", "intends", "potential", "anticipates", "does not anticipate", or "belief", or describes a "goal", or variation 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 a number of material factors and assumptions, including, the result of drilling and exploration activities, that contracted parties provide goods and/or services on the agreed timeframes, that equipment necessary for exploration is available as scheduled and does not incur unforeseen break downs, that no labour shortages or delays are incurred, that plant and equipment function as specified, that no unusual geological or technical problems occur, and that laboratory and other related services are available and perform as contracted. Forward-looking statements involve known and unknown risks, future events, conditions, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, prediction, projection, forecast, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, the interpretation and actual results of current exploration activities; changes in project parameters as plans continue to be refined; the existence of weather conditions suitable for exploration activities; future prices of minerals; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors disclosed in Guyana Frontier's publicly filed documents. Although Guyana Frontier 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 not to be as anticipated, estimated or intended. 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.
SOURCE Guyana Frontier Mining Corp.