Gold-Ore Resources Ltd.
TSX : GOZ

Gold-Ore Resources Ltd.

June 17, 2010 09:30 ET

Gold-Ore Reports Record Gold Production in Second Quarter

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 17, 2010) - Gold–Ore Resources Ltd. (TSX:GOZ) today announced operational highlights for the Second Quarter, 2010 (three month period ending May 31, 2010) from the 100%-owned Bjorkdal Gold Mine in Sweden. During the quarter the mine produced a record 11,427 ounces of gold, or 45,708 ounces annualized. This represents a 41% increase over the Second Quarter, 2009. Financial results from the Second Quarter will be released within 30 days.

Second Quarter – 3 Months ending May 31, 2010
Tonnes processed 299,243
Daily throughput – tonnes 3,253
Gold recovered – ounces 11,427
                       – kilograms 355.4
Average plant recovery 89.4%
Average grade – grams/tonne 1.33

Bob Wasylyshyn, President and COO, stated, "The Bjorkdal mine continues to set new production records while we meet our goal of producing greater than 40,000 ounces of gold. We now have three consecutive quarters with production exceeding 10,000 ounces per quarter and continue to implement measures to increase production and take advantage of these unprecedented gold prices. Mine life also continues to be extended through drilling."

Grade Increase and Cost Reduction Initiatives

The Bjorkdal mine staff has examined all aspects of the underground mining and has identified several areas to reduce mining costs and have recommended a transition to partial owner-operator status from higher cost contract mining. Tenders for reduced contract mining services have been sent to several qualified firms in Sweden. Results from this positive action will be seen over the coming quarters.

To reduce dilution and improve grade, one of the stopes was selected for a test based on practices common in Canadian gold mines. Cable bolts up to seven metres long were inserted in the walls and roof of the mining block for reinforcement prior to blasting to prevent waste from collapsing into the ore. Initial observations indicate that a reduction in dilution has occurred. If successful, this method will be expanded to other stopes in the mine thereby potentially improving grade while increasing gold production.

To view the Quarterly Gold Production Chart accompanying this press release, please click on the following link: http://media3.marketwire.com/docs/goz617.jpg

About Gold-Ore

Gold-Ore Resources is a gold mining and exploration company currently focused in the Skelleftea mining district in northern Sweden. The Company's primary asset is the Bjorkdal Mine, which is cash flow positive, debt-free and unhedged. In addition to Bjorkdal, the Company also has other assets in the district including the mineral rights to 57 square kilometres around the mine site, as well as the Norrliden Polymetallic Deposit.

Bjorkdal property information is posted on the Company's web site at www.goldore.ca.

ON BEHALF OF THE BOARD

Robert Wasylyshyn, President

This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.

News Release 10-11

The TSX has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Gold-Ore Resources Ltd.
    (604) 687-8884
    www.goldore.ca
    or
    Troy Winsor
    1-800-663-8072