Gold-Ore Resources Ltd.
TSX VENTURE : GOZ

Gold-Ore Resources Ltd.

May 06, 2008 13:02 ET

Gold-Ore Resources Reports Operational Results for the First Quarter of 2008

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 6, 2008) - Gold-Ore Resources Ltd. (the "Company") (TSX VENTURE:GOZ) is pleased to report operational results for its first quarter, which ended February 29, 2008. The Company's First Quarter Financial Statements and MD&A are filed on www.sedar.com and are posted on the Company's website www.goldoreresources.com.

The First Quarter 2008 was significant for the Company since, as a result of the acquisition of the Bjorkdal Gold Mine in Sweden, it marked the first time in its history that the Company has been able to report gold production from operations. The results reflect 2 months of operations from Bjorkdal as the purchase of Bjorkdalsgruvan AB, the Swedish operating company, was not formally completed until December 31, 2007. The operational highlights are as follows:

- Tonnes processed: 198,417 - averaging 3,307 tonnes per day

- Gold recovered: 4,038 ounces

- Gold sales: 4,318 ounces (includes gold from inventory)

- Average plant recovery: 87.0%

Gold was produced at the mine by processing gold mineralized material from three sources: existing surface stockpiles, open pit, and from underground development operations. The Company's objective is to source 1,500 tonnes/day from underground, and supplement that production with material sourced primarily from the open pits, as well as some stockpiled material, to sustain production of the Bjorkdal plant at 3,400 tonnes/day.

In addition to the gold production, the following key development activities were also completed during the quarter:

- 380 metres of 5 metres by 5 metres underground access development

- 200 metres of 3 metres by 4 metres on vein-drives completed

- Two stopes fully developed and actively being mined

- One 3 metres by 3 metres ventilation raise completed

For accounting purposes, the Company has elected to maintain its status as a mineral exploration and development company during the First Quarter 2008, as the underground development is not substantively complete and the feasibility study for the underground operation is still in progress. As a result, the net revenues and expenses associated with the mining activities and the operation of the plant at Bjorkdal have been credited to the Bjorkdal mineral property acquisition and exploration costs. For the two month period between the date of the acquisition of Bjorkdalsgruvan AB and the end of the First Quarter 2008, a total of $476,269 was credited to the mineral property acquisition and exploration costs. The Company is targeting the Third Quarter 2008 to reach a consistent production rate from underground of 1,500 tonnes/day and achieve commercial production.

Gold production for the month of April was 2,350 ounces which equates to an annualized production rate of approximately 28,000 ounces. This represents a 50% increase from the level of production attained in 2007. The Company is on track to achieve its goal of 70,000 ounces per year.

Gold-Ore Resources is a mineral exploration development company with operations currently focussed in the country of Sweden. In addition to the recently purchased Bjorkdal gold mine, the Company also has two other exploration properties in the country, the Ronnberget Property (adjacent to Bjorkdal) and the Vallberget Property. The Company is actively seeking to add other quality projects to its portfolio in Sweden.

Robert S. Wasylyshyn; P. Geo. is the Company's Qualified Person for the Bjorkdal Project.

On Behalf of Board

Glen Dickson, Chairman & CEO

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.

The TSX Venture Exchange has not reviewed 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
    or
    Gold-Ore Resources Ltd.
    Ron Ewing
    (604) 687-8884
    Website: www.goldoreresources.com