GBS Gold International Inc.
TSX : GBS

GBS Gold International Inc.

June 14, 2007 10:56 ET

GBS Gold International Inc.: Filing of NI 43-101 Report on Tom's Gully Gold Mine

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 14, 2007) - GBS Gold International Inc. (TSX:GBS) ("GBS Gold" or the "Company") advises that it has today filed an independent technical report on the mineral resource estimate of the Tom's Gully underground gold mine ("Tom's Gully") in the Northern Territory of Australia. The resource estimate for Tom's Gully comprises an Indicated Resource of 1,413,000 tonnes at 8.1g/t for 368,000 ounces of gold and an Inferred Resource of 563,000 tonnes at 7.6g/t for 137,000 ounces of gold.

As reported on May 24, 2007, GBS Gold has executed a sale and purchase agreement to acquire Tom's Gully from Renison Consolidated Mines NL ("Renison") of Australia. The transaction is conditional upon Renison obtaining approval of its shareholders in accordance with the Listing Rules of the Australian Stock Exchange, which is expected by the end of July.

Acquisition of Tom's Gully would give the Company total Measured and Indicated Resources of 2.6 million ounces of contained gold and Inferred Resources of 1.6 million ounces of contained gold.

About GBS Gold International Inc.

GBS Gold is an emerging gold producer with 2.3Moz of Measured and Indicated Resources and 1.5Moz of Inferred Resources of gold at its Union Reefs Operations Centre located in historically productive goldfields in the Northern Territory of Australia. GBS Gold produces gold through its modern dual-mill 2.5Mtpa Union Reefs processing plant and plans to ramp up production from free milling ores during 2007 to a targeted annualized rate of 150,000 ounces. The Company expects to construct a flotation plant and bio-oxidation heap leach facility using the GEOCOAT® technology at the Union Reefs plant to process refractory ores and increase gold production from all sources to a targeted annualized rate of 300,000 ounces in 2009. Management has extensive experience in bringing mineral projects into production, operating open pit and underground gold mines and has assembled a team with valuable mining experience in the Northern Territory of Australia. The Union Reefs plant is adjacent to the main Stuart Highway and the trans-continental Adelaide-Darwin railway line, and is on the Northern Territory power grid. Within 125km trucking distance of the Union Reefs plant, GBS Gold has consolidated over 2,500km2 of prospective tenements and gold deposits and also holds gold exploration properties in Western Australia and Canada. GBS Gold trades on the Toronto Stock Exchange under the symbol "GBS".

On behalf of the Board of Directors,

Gilbert Playford, Chairman and CEO

The technical disclosure in this news release regarding the Tom's Gully mine resource was approved by William Mackenzie of Independent Engineers (Australia) Pty Ltd and a qualified person under National Instrument 43-101.

The technical disclosure in this news release regarding GBS Gold's properties was approved by John Vinar, an employee of GBS Gold and a qualified person under NI 43-101. The Company's mineral resources comprise Measured Resources of 84,800 tonnes at 20.6g/t for 56,100 ounces of contained gold, Indicated Resources of 23.2 million tonnes at 2.9g/t for 2.2 million ounces of contained gold and Inferred Resources of 20.6 million tonnes at 2.3g/t for 1.5 million ounces of contained gold. The resource estimates are reported at a range of cut-off grades as set out in the technical report entitled "Independent Technical Review of the Burnside, Union Reefs, Pine Creek and Maud Creek Gold Projects, Northern Territory, Australia", dated effective October, 2005 and filed on January 5, 2006, an addendum technical report entitled "Addendum to the Technical Review of the Burnside Gold Project, Union Reefs Gold Project, Pine Creek Gold Project and Maud Creek Gold Project, Northern Territory, Australia - Resource Update, Maud Creek Gold Project" dated February 2006 and filed on February 8, 2006 (collectively, the "Technical Reports"), and news releases filed on January 20, July 10, September 14, October 26, November 27 and December 13, 2006 and January 9 and May 10, 2007, all of which may be viewed on the SEDAR website, www.sedar.com. The Company has not completed a feasibility study and there is no certainty that the project will be economically successful. Mineral resources that are not mineral reserves do not have demonstrated economic viability.

Certain disclosures in this release, including management's assessment of GBS Gold's plans and projects, constitute forward-looking statements that are subject to numerous risks, uncertainties and other factors relating to GBS Gold's operation as a mineral development company that may cause future results to differ materially from those expressed or implied in such forward-looking statements. The following are important factors that could cause the Company's actual results to differ materially from those expressed or implied by such forward looking statements: fluctuations in gold prices and currency exchange rates; uncertainties relating to interpretation of drill results and the geology, continuity and grade of mineral deposits; uncertainty of estimates of capital and operating costs, recovery rates, production estimates and estimated economic return; general market conditions; the uncertainty of future profitability; and the uncertainty of access to additional capital. Full descriptions of these risks can be found in the Company's Annual Information Form available on the SEDAR website, www.sedar.com. Readers are cautioned not to place undue reliance on forward-looking statements. GBS Gold expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

The TSX does not accept responsibility for the adequacy or accuracy of the information contained herein.

Contact Information

  • GBS Gold International Inc
    Samuel Yik
    Vice President, Corporate Finance and Investor Relations
    (778) 328-9801
    Email: gbs@gbsgold.ca
    Website: www.gbsgold.com