J-Pacific Gold Inc.
TSX VENTURE : JPN

J-Pacific Gold Inc.

June 08, 2009 09:15 ET

J-Pacific Releases Initial Resource Estimate for the Elizabeth Gold Property

Plans under way for comprehensive surface and underground exploration programs

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 8, 2009) - J-Pacific Gold Inc. ("J-Pacific") (TSX VENTURE:JPN) today announced that it has received an initial inferred gold mineral resource estimate for the Elizabeth Gold Property of 522,900 tonnes, grading an average of 12.3g Au/t using a cut-off grade of 5.0g Au/t, for a total of 206,100 oz Au. The Elizabeth Gold Property is located in the Lillooet Mining District of British Columbia, approximately 220 kilometres north of Vancouver. The resource estimate was prepared by SRK Consulting (Canada) Inc. ("SRK").

J-Pacific has initiated plans for extensive surface and underground exploration programs, along with infrastructure upgrades, in an effort to further expand the resource.

In making the announcement today, J-Pacific CEO Nick Ferris said, "We're encouraged by this initial resource estimate. Since acquiring the Elizabeth Gold Property in 2002, J-Pacific has incurred exploration and discovery expenses of approximately $2.4 million, a very cost-effective endeavour. Moving forward, J-Pacific plans to increase this resource substantially and improve the property's overall economics."



Mineral Resource Statement
Elizabeth Gold Property British Columbia
Prepared by SRK Consulting, June 4, 2009
---------------------------------------------------------
Grade Metal
Quantity Gold Gold
Domain (tonnes) (g Au/t) (ounces)
---------------------------------------------------------
Inferred mineral resources
Southwest Vein 328,300 13.63 143,900
West Vein 194,600 9.95 62,200
Main Vein(ii) - - -
Northwest Vein(ii) - - -
Total inferred 522,900 12.26 206,100
---------------------------------------------------------
(i) Mineral resources are not mineral reserves and have
demonstrated no economic viability. All figures are
rounded to reflect the relative accuracy of the
estimate. Reported at a cut-off grade of 5.0 grams
of gold per tonne, assuming an underground mining
scenario, a gold price of US$1,000 per ounce, and
100 percent metallurgical recovery.
(ii) At the cut-off grade of 5.0g Au/t, the Main and
Northwest veins host no significant mineral
resources.
---------------------------------------------------------


The Mineral Resource Statement was prepared by SRK using a geostatistical block modelling approach constrained by gold mineralization wireframes. Four auriferous quartz vein wireframes were modelled from 68 core boreholes, surface and underground mapping, and underground chip samples collected on the property between 2002 and 2005. After reviewing the exploration database, SRK estimated gold grades into a block model (measuring 5 by 10 by 10 metres) using ordinary kriging and capped composite gold data. In the absence of specific gravity data, SRK used an average specific gravity of 2.70 for converting quartz vein volumes into tonnages. SRK is of the opinion that the mineral resources for the Elizabeth Gold Property are appropriately classified as an inferred mineral resource within the meaning of CIM Definition Standards for Mineral Resources and Mineral Reserves (December 2005). The Mineral Resource Statement for the Elizabeth Gold Property is reported a cut-off grade of 5.0g Au/t, considering an underground mining scenario, a gold price of US$1,000 per ounce of gold, and without considering metallurgical recovery, as no metallurgical data is available for this project.

In preparing the Mineral Resource Statement, SRK noted that the mineral resources are sensitive to the selection of cut-off grade. The global quantities and grade estimates for the Elizabeth Gold Property are summarized at selected cut-off grades in the following table. The reader is cautioned that these figures should not be construed as representing a mineral resource. The reported quantities and grades are only presented as a sensitivity of the resource model to the selection of cut-off grade.



Global Block Model Quantities and Grade Estimates(i)
at Various Gold Cut-off Grades
---------------------------------------------------
Gold cut-off Quantity Grade Ounces
(g Au/t) (M tonnes) (g Au/t) (000s)
---------------------------------------------------
1 1,244 6.22 248.8
2 747 9.57 230.0
3 679 10.29 224.7
4 566 11.66 212.3
5 523 12.26 206.1
6 480 12.85 198.3
7 393 14.23 179.7
8 361 14.83 171.9
9 288 16.38 151.7
10 270 16.84 146.1
---------------------------------------------------
(i) The reader is cautioned that the figures presented
in this table should not be construed as a mineral
resource statement. They are only presented to show
the sensitivity of the mineral resources to the
selection of cut-off grade.


CAUTIONARY STATEMENT

Mineral resources were estimated in conformity with generally accepted CIM "Estimation of Mineral Resource and Mineral Reserve Best Practices" Guidelines. Mineral resources are not mineral reserves and do not have demonstrated economic viability. SRK is unaware of any known environmental, permitting, legal, title, taxation, socio-economic, marketing or other relevant issues that could potentially affect this estimate of mineral resources. The mineral resources may be affected by further infill and exploration drilling that may result in increases or decreases in subsequent resource estimates. The mineral resources may also be affected by subsequent assessments of mining, environmental, processing, permitting, taxation, socio-economic and other factors. There is insufficient information in this early stage of study to assess the extent to which the resources will be affected by such factors, which are more suitably assessed in a conceptual study. Mineral reserves can only be estimated based on the results of an economic evaluation as part of a preliminary feasibility study or feasibility study. As such, no mineral reserves have been estimated by SRK as part of the present assignment. There is no certainty that all or any part of the mineral resources will be converted into a mineral reserve.

QUALITY ASSURANCE AND QUALITY CONTROL

J-Pacific follows strict sampling and QA/QC protocols. Details of this diamond drilling program are provided in the J-Pacific news release dated October 16, 2007. The results of the drilling programs have been reviewed, verified (including sampling, analytical and test data) and compiled by the J-Pacific geological staff.

The resource estimate was completed by Dorota El-Rassi, P.Geo, with the assistance of Dr. Jean-Francois Couture, P.Geo. Both Ms. El-Rassi and Dr. Couture are "independent qualified persons" as defined in NI 43-101, and have reviewed the technical information presented herein. The effective date of this resource estimate is June 4, 2009. A technical report prepared following the NI 43-101 and Form 43-101F1 guidelines will be filed on SEDAR within 45 days.

FUTURE PLANS

Permitting is under way for a three-year underground and surface exploration program designed to continue development of the Southwest and West veins. Underground exploration is planned for the Upper and Lower adits, with an exploration extension in the Lower Adit to the "D" and Southwest Veins. A new portal is also planned for the Southwest Vein, at a similar level to the Upper Adit. Additional work is planned for the West Vein, to correlate historical data with current standards.

BACKGROUND

Since acquiring the Elizabeth Gold Property in 2002, J-Pacific has drilled 67 diamond drill holes totalling 9,053 metres, of which 38 holes totalling 5,664.2 metres have targeted the Southwest Vein system. Drilling has also targeted the West and No. 7 veins. Structural interpretation of the Elizabeth vein system by SRK in 2005 was instrumental in the design of J-Pacific's 2007 drilling program on the Southwest Vein.

The Elizabeth Gold Property, 9,811 hectares of owned and optioned Crown grants and mineral claims, is centrally located in prospective terrain 30 kilometres south-southwest of the permitted mill at the J-Pacific-owned Blackdome Gold Mine, and 30 kilometres north-northeast of the historical gold mining town of Bralorne, where over four million ounces of gold have been produced. The Elizabeth Gold Property's proximity to J-Pacific's permitted gold mill at the Blackdome Gold Mine means any eventual production from Elizabeth could be accommodated at the Blackdome facility, complimentary to any future production at Blackdome. The high grades identified in several veins at the Elizabeth Gold Property and its location make it an attractive exploration target that can be rapidly advanced.

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

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