GRAND JUNCTION, Colo., Feb. 11, 2014 (GLOBE NEWSWIRE) -- Bullfrog Gold Corp. (OTCQB:BFGC) (Bullfrog or the Company) is pleased to announce results from a Technical Report on resources at the Newsboy Gold Project (Project or Newsboy) located 45 miles NW of Phoenix, Arizona. The final report was completed on February 4, 2014 by SRK Consulting (SRK) of Denver, Colorado and is compliant with the current Canadian National Instrument 43-101 Standards of Disclosure for Mineral Projects.
Table 1 is SRK's statement of mineral resources contained within a pit optimization shell in the Main deposit above a cutoff grade of 0.5 parts per million (ppm) gold. SRK generated 86 pit shells using Whittle ™ pit-optimization software and the inputs and assumptions shown in Table 2, which are based on SRK's experience with other projects and may not be supported by potential scoping studies. The effective date of the SRK report was November 1, 2013.
Table 1Pit-Constrained Mineral Resource Statement in the Main Deposit
|Resource||Gold||Silver||Tonnes||Gold Oz||Silver Oz|
|Meas. + Ind.||1.00||18.65||3,920||127||2,132|
- Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability. There is no certainty that all or any part of the Mineral Resources estimated will be converted into Mineral Reserves.
- Open pit resources stated as contained within a potentially economically minable pit shell, and a calculated internal cut-off grade of 0.5 ppm gold was used based on the following parameters: US$2.82/t mining cost, US$15.41/t processing cost, 88% gold and 18% silver recovery, G&A cost of US$2.67/t, 2% NSR and a US$1,500/oz value for gold and US$30/oz value for silver.
- Mineral resource tonnage and contained metal have been rounded to reflect the accuracy of the estimate, and numbers may not add due to rounding.
- Troy ounces have been calculated using the following method: tonnes (metric) x grade (ppm) / 31.1034. Tons or s. tons refer to US standard short tons.
|Mining||Overall Pit Slope||45°|
|Model Block Size||20' x 20' x 20'|
|Waste Mining Cost||$1.75/s. ton|
|Mineral Mining Cost||$2.00/s. ton|
|Sustaining Cost||$0.82/s. ton|
|Recovery & Dilution||Not Applied|
|Process||Operating Cost||$15.41/s. ton|
|Throughput Limit||900,000 tpa|
|General & Admin.||$2.67/s. ton|
|Revenue and Selling||Gold Royalties and Refining Costs||$47.64/oz|
|Silver Royalties and Refining Costs||$0.95/oz|
|Base Gold Price, 3-year Average||$1,500/oz|
|Base Silver Price, 3-year Average||$30/oz|
|Optimization (86 Pit Shells)||Range of Gold Prices at $30 Increments||$450 to $3,000|
|Estimated Initial Capital||US$50,000,000|
|Operational Scenario||Discount Rate||5%|