Orezone Gold Corporation

Orezone Gold Corporation

December 08, 2009 09:33 ET

Orezone Improves on Final Bombore Metallurgical Results

Indicated gold recoveries of 82% for oxide and 80% for transition resources

OTTAWA, ONTARIO--(Marketwire - Dec. 8, 2009) - Orezone Gold Corporation (TSX:ORE) is pleased to report the final column test results on its 100% owned Bombore gold deposit located in Burkina Faso, West Africa. The final test results for the near surface oxide and mixed oxide/sulphide (transition) resources are better than the interim results announced on October 14, 2009.

Metallurgical Highlights

Column Leach Test

  • 82% weighted gold recoveries for the oxide and 80% for the transition resources after 44 days of leaching (see Table 1);
  • Cyanide consumption of 0.19 kg/t for the oxide and 0.43 kg/t for the transition resources;
  • Recent Agglomeration Optimization: 3 kg/t cement for the transition and 7 to 8 kg/t for the oxide resources, depending on rock type. Initial testing using 9 kg/t cement for the oxide resource yielded good flow rate and fair to excellent pellet condition after 44 days (see Table 2).

These results indicate that the projected processing costs could be reduced by a further 17% for the oxide and 9% for the transition material from what was estimated based on the initial results announced on October 14, 2009.

Drilling Programs

Although the Company's primary focus is the expansion of the oxide and transition resources, a six hole 3,000 m diamond drill program is underway to test the geological model to a depth of 300 m below four pit shells. The program will be completed by year-end with results expected to be announced during the first quarter of 2010.

In 2010, the Company will carry out a $3 Million delineation drill program to both increase and upgrade the oxide and transition resources. This drill program will be completed by the end of the second quarter. Updated scoping study results and a baseline study of the project foot print will be released in the first quarter. The Company is continuing to study power costs for grinding and processing of the sulphide resource using conventional milling techniques as they may provide additional upside for the development of the project beyond a heap leach operation.

Table 1 Summary of Bombore Column Test Results

Sample IDAM31AM32AM21AM22OxideTransition
DescriptionOxide material excluding metasedimentsOxide metasedimentsTransition material excluding metasedimentsTransition metasedimentsWeightedWeighted
Proportion of heap leachable resource48.6%16.6%25.9%8.8%65.2%34.7%
Expected Gold Grade (g/t)0.610.650.620.59  
Head assays (g/t)0.63, 0.74 1.52, 0.80 0.61 0.59   
Back-calculated head assays (g/t)      
 Coarse bottle-roll cyanidation0.740.760.690.60  
 Column leaching test0.690.800.610.58  
Column Leaching      
 Indicated Gold Recovery after 44 days of leaching (%)82.7%80.4%77.3%87.5%82.1%79.9%
 NaCN consumption after 44 days of leaching (kg/t)0.140.320.390.540.190.43
 Column diameter (mm)190190190190  
 Column height (mm)1,4331,3911,2441,291  
 Final slumpage (%)3.6%8.5%9.3%11.0%  
 Pellet quality after 44 daysExcellentExcellentFairFair  
 Flow rate after 44 days (litre/sq. m/hr)6,3964,5864,2664,338  
 Recovered grade (g/t)0.570.640.470.51  
 Leach tails grade (g/t)  
 Portland cement addition (kg/t)9933  
 Optimal cement addition (kg/t)78337.303.00

The Bombore gold deposit hosts 0.93 Million ounces of Indicated resources and 1.78 Million ounces of Inferred resources at an average gold grade of approximately 0.5 g/t in the near surface oxide zone and 1.0 g/t in the underlying primary sulphide resource. Approximately half of the inferred resource is oxide and transition material amenable to heap leach processing.

The Bombore property has the potential to host a large, open pit gold project with very good infrastructure in place compared to many projects in West Africa as it is located just 80km east of the capital city of Ouagadougou and adjacent to a major national highway, near a large water reservoir, and accessible to an international power grid expected to be constructed in the near future.

Dr. Pascal Marquis, Vice President of Exploration for Orezone, supervised the metallurgical sampling program. Alex Mitchell, Principal Metallurgist with GBM Minerals Engineering Consultants Limited, designed and supervised the test work program. The test work was performed by AMMTEC laboratory in Perth, Australia. The samples sent to AMMTEC were selected to be representative of the various grades and rock types for 85% of the Bombore gold resources. Mr. Mitchell and Dr. Marquis are both Qualified Persons under National Instrument 43-101 and approved the technical information in this release.

Table 2 Summary of Bombore Agglomeration Optimization Test Results

Cement addedCrush size (P100)Flow ratePellet Quality
AM21 - Mixed material
61518,360Very good
AM22 - Mixed material
61519,420Very good
AM31 - Oxide material
AM32 - Oxide material
*Results of 44-day column leach test
Optimal cement dosage

Orezone is a gold exploration and development company with more than 15 years experience in West Africa, one of the world's fastest growing gold producing regions. Orezone delineated, developed, financed and sold Burkina Faso's largest deposit (Essakane) to IAMGOLD for $350M and continues to focus on developing the rest of its pipeline of advanced projects including Bombore, one of the largest deposits in Burkina Faso. Orezone's mission is to create wealth by discovering and developing gold resources in an efficient and responsible manner for the benefit of its shareholders and other stakeholders.

FORWARD-LOOKING STATEMENTS AND FORWARD-LOOKING INFORMATION: This news release contains certain "forward-looking statements" within the meaning of applicable Canadian securities laws. Forward-looking statements and forward-looking information are frequently characterized by words such as "plan," "expect," "project," "intend," "believe," "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements and forward-looking information in this news release include statements with respect to the scope and timing of the drilling project and metallurgical testing for Bombore.

Forward-looking statements are based on certain assumptions, opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties that could cause actual events or results to differ materially from those projected in the forward-looking statements. The assumptions include that contracted parties provide goods and/or services on the agreed timeframes, that equipment necessary for the drilling program is available as scheduled, that no labour shortages or delays are incurred, that no material adverse change occurs to Orezone. Factors that could cause the forward-looking statements and forward-looking information to differ materially in actuality include the failure of contracted parties to perform as contracted and the failure of equipment. The Company undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking statements.

Readers are advised that National Instrument 43-101 of the Canadian Securities Administrators requires that each category of mineral reserves and mineral resources be reported separately. Readers should refer to the annual information form of Orezone for the year ended December 31, 2008, and other continuous disclosure documents filed by Orezone since February 25, 2009 available at www.sedar.com, for this detailed information, which is subject to the qualifications and notes set forth therein.

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