VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 30, 2012) - Gold Standard Ventures Corp. (GSV.V)(GSV)(GSV.V) ("Gold Standard" or the "Company") (www.goldstandardv.com) today released additional information on the leases (the "Leases") entered into with various land holders encompassing approximately 4,128 net mineral acres of land adjacent to the Company's flagship Railroad gold project in Elko County, Nevada. Acquisition of these Leases was originally announced by Gold Standard in its news release of March 28, 2012.
The Leases grant Gold Standard the exclusive right to explore, mine and develop varying percentage holdings in portions of what the company calls the 'South Railroad Project' which includes the Pinon District immediately south of the Railroad District. The Leases grant Gold Standard control of approximately 32% of strategic sections in the Pinon district which the Company estimates give it control of approximately 32% of the historic South Bullion and Trout Creek deposits. Together, these occurrences are known as the Pinon deposit and considerable geologic and exploration data exist for them in recognized peer-reviewed publications. The remaining interests in these lands are held by others including Manhattan Mining Company ("MMC") on behalf of Royal Standard Minerals Inc. ("RSM").
For the Trout Creek Deposit, a paper entitled "Geology of the Trout Creek Disseminated Gold Deposit, Elko Co. Nevada" authored by Phillip Jackson and Joseph Ruetz and published in Geology and Ore Deposits of the Great Basin (GSN, 1991. pp.729-734) states that "preliminary geologic reserves are estimated at 150,000 contained ounces of gold and mineralization is open-ended. Gold and silver ratio is about 1:8." Another paper from the same volume entitled "Geology and Mineralization at the South Bullion Deposit, Pinion Range, Elko Co., Nevada: Implications for Western United States Cenozoic Tectonics" authored by Borden Putnam and Edmund Henriques (pp.713-728) states that "Newmont Exploration Ltd has identified a drill inferred geologic resource exceeding 20 million tons at an average grade of 0.026 oz/st Au, based on 0.01oz/st cutoff, 20 foot minimum bench, and a density of 13 cubic feet per short ton, for a total of 520,000 contained ounces."
Gold Standard cautions that these historic resource and reserve estimates were derived from data assembled prior to the introduction of National Instrument 43-101. The Company notes that, to its knowledge, a Qualified Person has not completed sufficient work to classify the historical estimate as mineral resources or reserves under National Instrument 43-101 and the available data may not meet the standards required to support such a classification. Gold Standard Ventures is therefore not reporting these historical estimates as current mineral resources or reserves.
Dave Mathewson, Gold Standard`s Vice-President of Exploration, noted that "almost all the mineralized material is oxidized. The alteration and character of the gold mineralization is similar to the Emigrant sediment-hosted gold deposit that Newmont is currently putting into production. In our view, there is potential to expand the known mineralization."
Gold Standard President and CEO Jonathan Awde stated that "as matters now stand, development of Pinon will have to be undertaken jointly by its owners. We look forward to achieving a mutually beneficial arrangement for all parties to advance the Pinon deposit."
As previously reported the provisions for all of the Leases are substantially the same and provide for a primary term of 10 years but will continue thereafter as long as commercial mining operations are being conducted on the lands. Each Lease is subject to a small upfront signing bonus and annual advance minimum royalty ("AMR") payments of US$17.50 per acre in the first and second years, increasing to US$28.00 per acre in the seventh year and thereafter, of which approximately US$125,235.71 has been paid to date. The Leases are also subject to a production royalty of 5% of net smelter returns (payable in proportion to the interest held), against which the AMR payments shall be credited and recouped up to 80%.
GSV now controls approximately 19,764 net mineral acres associated with its Railroad Project.
The scientific and technical content and interpretations contained in this news release have been reviewed, verified and approved by Steven R. Koehler, Gold Standard's Manager of Projects, BSc. Geology and CPG-10216, a Qualified Person as defined by NI 43-101, Standards of Disclosure for Mineral Projects.
ABOUT GOLD STANDARD VENTURES - Gold Standard is a Canadian-based company focused on the acquisition and exploration of district-scale and other gold-bearing mineral properties exclusively in the State of Nevada, United States. The Company's flagship property is the Railroad Project, located in Elko County, Nevada. The Railroad Project is a prospective gold exploration target comprising approximately 19,764 acres (30.8 square miles) within the Carlin Trend of north-central Nevada.
On behalf of the Board of Directors of Gold Standard,
Jonathan Awde, President and Director
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
This news release contains forward-looking statements, which relate to future events or future performance and reflect management's current expectations and assumptions. Such forward-looking statements reflect management's current beliefs and are based on assumptions made by and information currently available to the Company. All statements, other than statements of historical fact, included herein including, without limitation, statements about the intended use of proceeds from the Offering are forward looking statements. By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, the following risks: operational risks associated with mineral exploration; fluctuations in commodity prices; title matters; and the additional risks identified in our filings with Canadian securities regulators on SEDAR in Canada (available at www.sedar.com) and with the SEC on EDGAR (available at www.sec.gov/edgar.shtml). These forward-looking statements are made as of the date hereof and, except as required under applicable securities legislation, the Company does not assume any obligation to update or revise them to reflect new events or circumstances.
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) nor the NYSE MKT accepts responsibility for the adequacy or accuracy of this news release.
- Gold Standard