Gold-Ore Resources Ltd.
TSX VENTURE : GOZ

Gold-Ore Resources Ltd.

June 12, 2006 09:30 ET

Gold-Ore Resources Ltd.: 5,000 Metre Underground Drill Campaign, Engineering Studies Commenced

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - June 12, 2006) - Gold-Ore Resources Ltd. (TSX VENTURE:GOZ) is pleased to report that an underground diamond drill program and engineering studies have started at the Bjorkdal Gold Mine in Sweden. Bjorkdal gold production figures for May are also reported.

Exploration work completed clearly demonstrates that the mineralization at Bjorkdal extends north from the open pit and remains open to further expansion. Our objective in this current program is to complete a feasibility study to evaluate gold production at the rate of 75,000 to 100,000 ounces per annum at Bjorkdal.

Drill Program

A minimum 5,000 metre underground drill program has recently started in the new tunnel network excavated during April and May. Drillcon Core AB of Stockholm has mobilized two underground drills to the site that are capable of drilling NQ core to lengths of 200 metres. Drill stations have been established on 30 metre spacing and holes will be drilled in radial-fan fashion in 360 degree arcs. Patterns of five to seven holes per site will be drilled.

The drill pattern was designed to elevate current inferred resources into measured and indicated categories. A portion of the drilling will be devoted to expansion of the previously reported (Nov. 21, 2005) NI 43-101 compliant resource tabled below.



Bjorkdal Gold Mine Resources - November 2005 (1.0 g/t cutoff)
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Resource Category Tonnes Gold Grade (g/t) Ounces Gold
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Measured and indicated 2,175,000 2.53 176,940
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Inferred 7,841,000 2.53 637,870
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Engineering Studies

Gold-Ore has engaged a lead mining engineer to initiate engineering studies that will deal with all aspects of re-activating full scale production at the Bjorkdal Mine. The consultant engineer has completed an initial site visit and will return to Bjorkdal later in June. The current studies will compile the required information for a feasibility study to be commissioned upon completion of the exploration program later this year. The feasibility study will address various scenarios including; mining methods, capital cost estimates, operating cost estimates and cash flow models.

Gold Production in May

During May the Bjorkdal concentrating plant processed a total of 104,603 tonnes of material and produced 72.2 kg of gold or 2,322 ounces of gold. Of the gold produced in May, a total of 25.5 kg or 821 ounces came from the underground excavation - the remainder from stockpiles. During April and May 30.9 kg or 992 ounces of gold was recovered from the underground program and all of this will be sold at spot prices to offset exploration costs. Strategically, this provides for extremely cost effective advanced-stage exploration.

The rock excavated from the exploration tunnel is processed in the plant in campaigns. When sufficient material is available to feed the plant for two or three days, a campaign is run, and allows for an accurate gold grade determination from that area of the deposit. To date, four campaigns were processed and the latest is reported below (see NR dated May 29, 2006 for previous campaigns). Thus far, 27,605 tonnes from underground were processed from 320 metres of tunnel. It is planned to process a total of 72,000 tonnes from 900 metres of tunnel.



Campaign Tonnes Gold Recovered
Number Processed Kilograms Ounces
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#4 5,127 5.6 181


Quality Control Program

A stringent Quality Control Program was implemented in February and includes the insertion of blind blanks, certified standards and duplicates into the sample stream. The drill core is sawed by qualified technicians - one half sent for assay, the other archived on site. All assays are completed by ALS Chemex of Pitea, Sweden and Vancouver, Canada.

For more information please contact Glen Dickson or Bob Wasylyshyn at (604) 687-8884. Bjorkdal property information is posted on the Company's web site at www.goldoreresources.com. Robert S. Wasylyshyn, P. Geo. is the Company's Qualified Person for the Bjorkdal Project.

ON BEHALF OF THE BOARD

Robert Wasylyshyn, President

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

Contact Information

  • Gold-Ore Resources Ltd.
    Glen Dickson
    (604) 687-8884
    or
    Gold-Ore Resources Ltd.
    Bob Wasylyshyn
    (604) 687-8884
    (604) 629-0400 (FAX)
    www.goldoreresources.com