Golden Predator Royalty & Development Corp.
TSX VENTURE : GPD

Golden Predator Royalty & Development Corp.

October 14, 2009 12:00 ET

Golden Predator Royalty & Development Corp.: Taylor Project Metallurgical Analysis to Evaluate Economic Heap Leach Potential

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 14, 2009) - Golden Predator Royalty & Development Corp. (TSX VENTURE:GPD) (the "Company") announces initial results from its metallurgical evaluation of the silver resource at the Company's Taylor Project for potential heap leach processing. The Company's Taylor Project includes 100% ownership of a mine and mill complex with water rights and 3,900 acres of mining claims located near Ely, Nevada. The Project hosts a measured resource of 1.2 million tons grading 2.5 ounces per ton silver and an indicated resource of 5.2 million tons grading 2.27 opt silver, for a total of 14.9 million ounces of contained silver at a 1.2 opt cut-off grade (Hester, 2007). The results from bench scale work completed to date yield positive results for potentially economic processing of this existing resource. Metallurgical test work is currently being scaled up for further investigation in preparation for a preliminary feasibility study.

The Company collected representative drill samples in its May 2009 drill test of the Taylor Project. A metallurgical sample was prepared by ALS Chemex using a rotary splitter on greater than 8 kg samples of reverse circulation drill material prior to any prep for analysis. Those samples shipped to the Company's metallurgical lab in June 2009. Representative drill samples from the Taylor Project were obtained for initial assaying and bench scale metallurgical test work, and carried out by the Company's metallurgical staff.

The ore samples' values ranged from 2.996 to 3.728 opt (102.7 to 127.8 grams per tonne) silver. Initial test work used bottle roll processing methods to determine if the sample ore from the Taylor Project was amenable to cyanide extraction. Based upon positive results and recoveries from those tests, cyanide leach columns were used in a more representative 21 day continuous processing method. The leach column results showed a total recovery of 54.7% silver, and a cyanide consumption of 0.084 kg per ton.

Laboratory Analysis and QA/QC

Samples for the preliminary bench scale metallurgical testing were collected from RC drilling. The RC samples averaging greater than 8 kg per sample were submitted to ALS Chemex for sample prep and analysis. Each sample was divided into two samples prior to crushing utilizing a rotary splitter, with 80% of each sample re-bagged and returned to the Company for metallurgical testing. The remaining 20% of the sample was fine crushed to 70% less than 2 mm, and then split with a riffle splitter with one split pulverized to 85% less than 75 microns. Each sample was tested for silver only by aqua regia digestion with AAS finish. For samples exceeding 100 ppm (2.92 opt) silver, were then re-analyzed for both gold and silver by fire assay using a 30g nominal sample weight with gravimetric finish. Assay results for gold and silver are reported by the lab in ppm units. In public disclosure, ounce per imperial ton (opt) and gram per metric tonne (gpt) is used, where 34.2857 ppm is equivalent to 1 opt, and 1 ppm is equivalent to 1 gpt.

QA/QC procedures followed for the reverse circulation drilling include submittal of chip samples for analysis with a duplicate sample for every twenty samples submitted and also a combination of blank and referee samples submitted for every twenty samples submitted.

The Company used the results of the analysis completed by ALS Chemex to determine samples selected for metallurgical testing. Preliminary metallurgical test work was completed at the Springer Mine and Mill testing lab under a facilities use agreement with EMC Metals Corp (TSX:EMC) under the direction of Robert Stepper BSc, the Company's Chief Metallurgist. Samples selected for metallurgical work were combined and homogenized for appropriate weights for 72 hour bottle roll tests.

McClelland Laboratories, Inc of Sparks, Nevada has been retained to verify the Company's recovery results. Eight 55 gallon drums of sample ore were collected at the historic pit floor from two sites located at drill hole collars containing ore grade silver from surface. Two column leach tests will be performed on these ore samples. Test work will consist of 630 kg of P(80) - 7.62cm feed in a 45.52 cm I.D. x 3.05 m (1,389 lbs of 3" feed in a 18" I.D. x 10 ft) column for approximately 60 days and will include daily pregnant and barren solution analyses (0-60 days) for pH, free cyanide, Au and Ag, and loaded carbon assays (Au and Ag).

Travis Schwertfeger, BSc, MAIG & Exploration Manager for Golden Predator Mines US Inc., the Company's wholly-owned Nevada subsidiary, is the Qualified Person for the Taylor Project and has reviewed the technical content of this news release.

About Golden Predator Royalty & Development Corp.

Golden Predator's corporate mandate is to establish a self-funded precious metal exploration company with an immediate focus on exploring for and developing world class gold deposits in the Tintina Gold Belt and the Rocky Mountain Alkalic Gold Province. The Company seeks internal revenue generation from early high grade precious metals production in Nevada augmented by increasing revenues from its royalty portfolio.

The Company is aggressively exploring its three Yukon properties, Gold Dome, Brewery Creek, and Antimony Mountain, in the prolific Tintina Gold Belt through its wholly owned subsidiary True North Mining Corp. Brewery Creek has a current Type A water license and a production license.

In Nevada and adjacent states, Golden Predator is drilling a number of its properties with bonanza-style gold mineralization in 2009 with the intent of identifying one or more properties for near term production of small-tonnage high grade ores. The Company intends, through strategic use of its Taylor Mill near Ely, Nevada and a facilities use agreement at EMC Metals Corp.'s Springer Facility in Pershing County, Nevada, to become a mid-tier precious metals producer.

Golden Predator is partially self-financed through its passive pre-production royalty stream from a portfolio of properties, anticipated to yield approximately $1.2 million during 2009. The Company owns royalties on several known deposits including a portion of the Barrick Bald Mountain property, the Pan deposit of Midway Gold, significant portions of US Gold's Tonkin Springs deposit and Evolving Gold's Rattlesnake project.

This press release contains projections and forward-looking information that involve various risks and uncertainties regarding future events. Such forward-looking information can include without limitation statements based on current expectations involving a number of risks and uncertainties and are not guarantees of future performance. There are numerous risks and uncertainties that could cause actual results and Golden Predator's plans and objectives to differ materially from those expressed in the forward-looking information. Actual results and future events could differ materially from those anticipated in such information. These and all subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by this notice. Except as required by law, Golden Predator assumes no obligation to update forward-looking information should circumstances or management's estimates or opinions change.

Neither TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Golden Predator Royalty & Development Corp.
    William Sheriff
    Chairman
    (867) 335-5000
    or
    Golden Predator Royalty & Development Corp.
    Robert Eadie
    President
    (604) 602-4935
    www.goldenpredator.com