29-Feb-2012
BCGold Corp. Discovers New High-Grade Gold Zone and Plans Bulk Sampling at Engineer Mine, B.C.
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Vancouver, British Columbia, February 29, 2012 (TSX-V: BCG and PINK SHEETS: BCGOF) - BCGold Corp. (or the “Company”) is pleased to announce the discovery of a new, high-grade gold shoot (“505-3 Shoot”) at the Engineer Mine Property. This discovery was made during the Company’s 2011 bulk sampling and test milling program conducted on remnant pillars of the Engineer Vein on 5 Level of the underground workings.
New Exploration Target
On February 27, 2012, BCGold Corp. reported mining grades of 14.5 g/t Au and 44.6 g/t Au for bulk samples 505-3A and 505-3B, respectively, mined from remnant pillars of the Engineer Vein outside of the Inferred Mineral Resource and previously categorized as waste material by conventional chip sampling and drilling. These bulk samples, totaling 104.4 tonnes, comprise the top of a newly identified high-grade gold shoot within the Engineer Vein that is projected to plunge sub-vertically and is open to depth. A longitudinal section of the Engineer Vein, depicting bulk sample results and the newly discovered high-grade gold shoot, can be viewed on the Company’s website (view Engineer Vein Longitudinal Section: 2011 Bulk Sample Locations). The 505-3 Shoot is a compelling exploration target for bulk sampling and on-site test milling as it can be accessed with minimal mine development from 6 Level.
Tonnage and grade ranges for the 505-3 Shoot as an exploration target between 5 and 6 Levels are defined in Table 1.
Table 1 - Exploration Target (*)
| Exploration Target | Tonnage Range | Gold Grade Range | Contained Gold Range |
505-3 Shoot (between 5 & 6 Levels) | 1,200 to 1,800T | 30 to 60 g/t | 1,500 to 3,000 oz |
*The potential quantity and grade is conceptual in nature. There has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the target being delineated as a mineral resource.
Plans for 2012 Mine Dewatering and Bulk Sampling
BCGold Corp. plans to conduct a staged $2.5 million exploration and development program at the Engineer Mine property in 2012 that will consist of the following:
- Dewatering 6 Level of the underground mine workings to access the down-plunge extension of the 505-3 Shoot approximately 30 metres vertically below bulk samples 505-3A and 505-3B on 5 Level,
- Mining the 505-3 Shoot between 5 Level and 6 Level, to potentially source 1,200 to 1,800 tonnes of in-site bulk sample material,
- Transporting mined material to the 30 ton per day, on-site gravity separation mill for gold recovery as a gold concentrate,
- Underground diamond drilling to target four previously untested veins and the Shear Zone "A" and Shear Zone "B" bulk tonnage exploration targets (view 3D Engineer Mine: 2012 Underground Exploration Drill Targets).
The Company’s 2011 bulk sampling and test milling program produced 969.2 kg of dry concentrate estimated to contain 68.3 oz gold. The Company is in discussions to monetize the concentrate and forward sell gold concentrate produced from the upcoming 2012 program. Proceeds from both sales will be applied towards continued exploration at the Engineer Mine property and advancing the property towards sustainable, near-term, small-scale production.
Darren O’Brien, P.Geo., Vice President Exploration for BCGold Corp. and a Qualified Person as defined by National Instrument 43-101, has reviewed and approved the technical contents of this news release.
About Engineer Mine
BCGold Corp. owns a 75% interest in the Engineer Mine property, with an option to earn a 100% interest. Engineer Mine was a high-grade gold producer that came to peak production in the mid-1920s and ceased operation in the early 1930s. More than 560 kg (18,000 ozs) of gold and 278 kg (8,950 ozs) of silver were officially produced at realized grades exceeding 39 g/t Au and 20 g/t Ag, from high-grade epithermal quartz-carbonate veins on six of eight mine levels.
There are more than 25 known veins on the Property and only four have undergone limited production and exploration to date. All veins remain open at depth and little exploration has been conducted deeper than 200 metres below surface.
About BCGold Corp.
BCGold Corp. (TSX-V: BCG) is a Vancouver-based junior resource company focused on copper and gold exploration and development in under-explored historic and emerging mining districts in British Columbia and Yukon. BCGold Corp. acquires and develops conceptual, early and mid-stage exploration opportunities and advances them towards resource development by using internal expertise, engaging preferred joint venture partners, and creating strategic alliances with major exploration and mining companies. Currently, institutional investors hold 21% of the Company’s outstanding shares and Kinross Gold Corporation holds 7%.
BCGold Corp. is unique in that the Company not only exposes investors to the prospects of new discoveries, but is also positioned to offset exploration costs and minimize dilutive share issuances for capital by monetizing / forward selling gold concentrate recovered from on-site processing of bulk sample material at the Company’s high-grade gold Engineer Mine Property.
On behalf of the Board of Directors,
Brian P. Fowler, P. Geo.
President & CEO
For further information please contact:
Corporate Communications
Tel: 604-697-2403
Neither 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.
Some statements in this news release contain forward-looking information or forward-looking statements.
These statements include, but are not limited to, statements with respect to future expenditures and exploration, development and production activities. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others, the timing and completion of contemplated financings, the actual use of proceeds, receipt of regulatory approvals and the timing and success of future exploration, development and production activities. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise except as otherwise required by applicable securities legislation.