Bullion River Gold Corp.
OTC Bulletin Board : BLRVE

Bullion River Gold Corp.

October 08, 2007 09:40 ET

Bullion River Gold Corp. Announces the Completion of a New 43-101 Compliant Technical Report and Updates on Its French Gulch Mine

Mill grades increase to over 0.7 oz/ton

RENO, NEVADA--(Marketwire - Oct. 9, 2007) - Bullion River Gold Corp. (OTCBB:BLRV) announces that an update to the previously completed Technical Report for the French Gulch operation, which conforms to NI 43-101 guidelines, has been completed and the previously reported resource estimate has been exceeded due to newly gathered information during the mining operation. The update was completed by Mr. John Jenks, an independent Qualified Person as described in NI 43-101, in conjunction with Bullion River Gold Corp. geological personnel. The resources reflect the inclusion of newly discovered vein structures in the Washington Vein Zone and an improvement of resource categories.



Resources Calculated:

Tonnage Grade Gold
Category: (t) (oz/ton) (oz)
Measured: 13,480 0.87 11,720
Indicated: 206,730 0.88 182,730
------------------------------------------------------------------------

Total (Measured and Indicated) 220,210 0.88 194,450

Inferred 82,783 1.28 105,985


Furthermore, a calculated NPV (Net Present Value) of $38,318,764 has been established, taking into consideration the value of a 250 tons/day mill, hard assets and the value of the resources. A discount rate of 5% was used over a 5-year period.

Cost reduction measures (from an average of about $1,200,000 per month to now less than $600,000 per month), dilution control and different mining methods introduced at the French Gulch mine to control production costs have been successful in substantially improving the average grade produced. These measures include more selective mining methods, extraction of newly discovered vein structures and improved vein access. Manpower levels were reduced at the end of August in order to reduce costs and reflect the ability of the operation to produce sufficient mill feed. As more working faces are developed within the mine and people are sufficiently trained, the mining and milling schedules will be modified to allow the production and processing of additional tonnage.

The results of these measures have improved grade from 0.3 oz/ton to above 0.7 oz/ton over the last 3 weeks as shown in the net mill results below and are approaching profitability:



Recent Mill Tonnage and Grades:

Tonnage Grade Gold Recovered
(t) (oz/ton) (oz)

July 1,599 0.26 412.8
August 1,220 0.26 320.2
September (9/2 - 9/8) 160 0.23 37.3
(9/10 - 9/15) 212 0.34 73.0
(9/16 - 9/22) 117 0.86 100.5
(9/23 - 9/29) 284 0.62 176.6
October (10/1 - 10/7) 222 0.77 157.0


At present, the mill is operating 4 days per week and 5 days per week on the following week in dayshift operation only.

Further production cost reductions are expected once the paste backfill system has been implemented to allow more efficient pillar extraction.

The NI 43 - 101 Compliant Report will be available on Bullion River Gold Corp.'s website at www.bullionriver.com on Tuesday, Oct 9, 2007.

In an unrelated matter, Glenn Blachford has assumed the responsibilities of Investor Relations and Business Development in addition to his engineering responsibilities.

About Bullion River Gold Corp.

Bullion River Gold Corp. is an American-based mineral exploration company focusing on regions containing gold / silver deposits predominately located in the Western United States. The company has six properties, equally divided between California and Nevada. Of the Nevada properties, two are considered advanced projects and the third is considered grassroots. The three California properties are all past producers.

For more information, contact Glenn Blachford, Investor Relations at Bullion River Gold Corp. at (800) 540-BLRV (2578) or at glenn@bullionriver.com, the Company's website at www.bullionriver.com or the U.S. Securities and Exchange Commission's website at www.sec.gov/ to review Bullion River's latest filings.

This release contains certain statements that are "forward looking" statements (as the term is defined in the Private Securities Litigation Reform Act of 1995) including statements regarding SEC approval and the sufficiency of the funds raised. Any such forward-looking statements are inherently speculative and are based on currently available information, operating plans and projections about future expectations and trends. As such, they are subject to numerous risks and uncertainties, such as general economic and business conditions, the ability to acquire and develop specific projects, the ability to fund operations and other factors over which Bullion River Gold Corp. may have little or no control. Actual results and performance may be significantly different from expectations or trends expressed or implied by such forward-looking statements. Bullion River Gold Corp. expressly disclaims any obligation to update the statements contained in this release.

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