Belo Sun Mining Corp.
TSX : BSX

Belo Sun Mining Corp.

June 26, 2014 09:00 ET

Belo Sun Releases Initial Results for the 2014 Drill Campaign at its Volta Grande Project and Provides Update

TORONTO, ONTARIO--(Marketwired - June 26, 2014) -

Editor's Note - A map is associated with this press release.

Belo Sun Mining Corp. (TSX:BSX) (the "Company" or "Belo Sun") announces assay results for five additional drill holes (corresponding to 561 meters) at its Volta Grande Project as part of its 2014 drilling program.

Belo Sun has completed 203,796 meters drilling (772 drill holes) since April 2010.

The assay results are from five additional drill holes from the Grota Seca deposit. The complete results are presented below. Highlights from the holes reported in this release include:

  • Hole VVGD-701 (Grota Seca Cross Section 887.5W) intersected 14.65 meters grading 9.19 g/t Au (from 26.80 meters) and Hole VVGD-704 (Grota Seca Cross Section G2_000 NE) intersected 8.10 meters grading 5.39 g/t Au (from 78.90 meters).

Helio Diniz, the Vice President of Exploration for Belo Sun, stated, "These results confirm our expectations on both continuity and grade of the Grota Seca mineralization system. It is important to continue increasing the level of confidence in the high grade portions of the deposit."

At present Volta Grande "Pit constrained" mineral resources are estimated at 5.1 million ounces in the Measured and Indicated category grading 1.68 g/t and 2.4 million ounces grading 1.69 g/t in the Inferred category (see the Company's press release dated May 8, 2014). Mineral resources that are not mineral reserves do not have demonstrated economic viability. The focus of this campaign has been to increase mine plan confidence of known high grade areas within the three year pit shell and to expand the overall size of the mineral resource estimate.

TABLE 1 - DIAMOND DRILLING ASSAY RESULTS

The widths reported below represent the core width of the intercepts; true widths are expected to range between 85-95% of the core width.

Grota Seca Deposit
Hole # From (m) To (m) Width (m) Au g/t
VVGD-700 76.25 90.70 14.45 2.19
and 113.52 116.55 3.03 1.48
VVGD-701 0.00 4.80 4.80 0.62
and 26.80 41.45 14.65 9.19
and 55.00 65.30 10.30 1.30
VVGD-702 68.80 77.00 8.20 1.63
and 88.61 100.16 11.55 0.92
VVGD-704 9.10 15.00 5.90 1.42
and 78.90 87.00 8.10 5.39
VVGD-706 22.00 25.15 3.15 0.65
and 71.20 83.50 12.30 2.34
and 96.00 99.70 3.70 0.80

Licensing

Belo Sun also reports that the Federal Judge of First Level in Altamira has ruled that for Belo Sun's LP (Preliminary License) to be valid, Belo Sun must complete an indigenous study in accordance with the reference terms of FUNAI, the Brazilian indigenous authority.

Belo Sun engaged Brandt Meio Ambiente Ltda. in January to conduct the indigenous study and anticipates receiving the authorization from FUNAI to access the indigenous lands shortly. Upon receipt of such authorization, Belo Sun anticipates the study will take five months. Belo Sun filed the field work plan at FUNAI in March and in April the Company had two meetings with FUNAI, at which the parties agreed that the field studies should begin in June this year. Brandt Meio Ambiente has prepared the EIA (Environmental Impact Assessment) of the Volta Grande Project that has been approved by SEMA, the Secretary of Environment for Pará State (see the Company's press release dated December 2, 2013) and has an outstanding background in the preparation of indigenous studies in Brazil.

The LP that Belo Sun was awarded in February this year included the requirement of an indigenous study be completed before Belo Sun can be issued an LI (Installation License). Belo Sun continues to work with SEMA to advance the Project and its licensing requirements.

Educational and Training Programs

Belo Sun signed agreements with FIEPA (State of Pará Industry Federation), FAEPA (State of Pará Agricultural Federation), SEBRAE (Small and Medium Business National Supporting Program) and SENAI (National Service of Industrial Education) whereby these institutions will provide educational and training programs to further develop the qualifications of the workforce in the local community where the Project is situated.

As announced in the Company's press release dated May 8, 2014, Belo Sun opened a training center for the community. Located in the Vila Ressaca, the center has been providing courses to train the community workforce since opening.

Hiring All Service Providers and Contractors Necessary to Fulfill the LP conditions

Belo Sun has hired the service providers and contractors necessary to fulfill all the conditions of the LP, including for the completion of technical, environmental, social and communications programs and indigenous studies.

Opening of Office in Senador José Porfírio

Belo Sun has opened a new office in the city of Senador José Porfírio, the Municipality that hosts the Volta Grande Project, in order to improve communication and opportunities between Company and the local community of the city.

The office is located in the downtown core, near the City Hall where City Council and other public institutions are located.

Access to Health and Education Public Services

Belo Sun is contributing to the improved accessibility of public services such as health care and education to the local population near the Volta Grande Project by helping to transport doctors, nurses, dentists and teachers to the area. These efforts are on the Company's behalf to promote the eradication of malaria in the Volta Grande area. Belo Sun also provides transportation on the weekends to 20 local area residents who take a four hour round trip boat ride to attend mining-oriented technical courses in the city of Altamira.

Mark Eaton, President and CEO of Belo Sun, said "We are very proud of the efforts the team at Belo Sun has made to foster and build relationships with all the stakeholders involved in the Project, while our geological team has continues the regional exploration program."

Quality Assurance and Quality Control

The scientific and technical information in this press release has been reviewed and approved by David Gower, P. Geo., an advisor to Belo Sun and a Qualified Person as defined by National Instrument 43-101. The exploration program is directly supervised by Mr. Carlos Cravo, P. Geo., Belo Sun's exploration manager.

Belo Sun's procedures for handling drill core comprise initial description and logging into a Microsoft Access database. Mineralized, suspected mineralized or not intervals in the drill holes are described in detail and marked for sampling. Core is then cut in half with the right- hand portion of the core put into plastic sample bags and sealed. The left-hand portion is returned to the core box and is stored for future reference or study. Assay standard and "Blank" samples are inserted every 20th sample. These samples are then delivered to ACME Labs sample preparation facility at the Project site. The assay samples are then fine-crushed to better than 80% passing 10 mesh screens, with an assay pulp split of up to 1000 grams pulverized to better than 85% passing 200 mesh screen. Samples are assayed at ACME Labs in Santiago, Chile, using a 50 gram fire assay with AAS finish. These QA/QC procedures provide several measures of data quality and assure the Company that the assay data is representative of the original sample.

About the Company

Belo Sun Mining Corp. is a Canadian-based mineral exploration company with a portfolio of properties focused on gold in Brazil. Belo Sun's primary focus is on advancing and expanding its 100% owned Volta Grande Gold Project, located in Para State. Belo Sun trades on the TSX under the symbol "BSX". For more information about Belo Sun please visit www.belosun.com.

Cautionary Statement on Forward Looking Information

This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, without limitation, statements regarding the impact of these drill results on the Company and its understanding of the project; statements with respect to the development potential and timetable of the project; the completion of the indigenous study and receipt of all necessary licenses to advance the project, relationships with stakeholders, the estimation of mineral resources; realization of mineral resource estimates; the timing and amount of estimated future exploration; costs of future activities; capital and operating expenditures; success of exploration activities; currency exchange rates; government regulation of mining operations; and environmental risks. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including risks inherent in the mining industry and risks described in the public disclosure of the Company which is available under the profile of the Company on SEDAR at www.sedar.com and on the Company's website at www.belosun.com. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward- looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

A map is available at the following address: http://media3.marketwire.com/docs/954302_map.pdf

Contact Information

  • Belo Sun Mining Corp.
    Mark Eaton
    President and CEO
    (416) 309-2137
    www.belosun.com