Dutch Gold Commences Bulk Sampling Program in Nicaragua Joint Venture, Updates Progress
June 06 2012 - 1:00PM
Marketwired
Dutch Gold Resources, Inc. (OTCQB: DGRI) (PINKSHEETS: DGRI) (the
"Company") is pleased to announce that it has begun analyzing bulk
samples with its joint venture partner in Nicaragua. Completion of
this testing will provide the data needed to determine the optimum
gold and silver recovery methods for the ore currently being
processed from the concession. The data will be used to determine
the type of equipment that will be most effective to increase
production and optimize gold recovery from the RadarNica property.
Gold recovery from the bulk samples will be tested by gravity
separation, floatation and leaching methods. The test results will
be used to select what recovery method or series of methods will
work best for expanding, improving and modernizing gold and silver
recoveries. The Company plans to increase the current production
substantially, and to eliminate the use of mercury amalgamation,
which is currently used for gold recovery, but creates the risk of
mercury release into the environment. Mercury contamination in
historic mining districts is a serious environmental problem
throughout Latin America because amalgamation continues to be the
primary gold recovery method used by artisanal miners. With its
partner RadarNica, SA, the Company plans to expand and modernize
the gold recovery at the existing test production facilities, while
improving the safety of the workers.
The data produced from the tests will allow the Company to begin
shipping equipment to the project, consistent with the timelines
set forth in earlier guidance. The Company expects to have the new
equipment and processes in place beginning July and August
2012.
"We are on schedule with the project and are pleased to take
this next step, following the previously reported assay results. We
had not expected to see the silver content and look to the bulk
sample to give us insight into the potential silver recovery as
well as the potential to enhance current gold processing," said Dan
Hollis, CEO.
About Dutch Gold Resources
Dutch Gold Resources, Inc. is engaged in the acquisition and
development of gold properties in North America. The company's
strategy is to focus on overlooked resources that have the
potential to have a value creation event within 24 months of
acquisition. The Company criteria call for a property to reach
either near term production, or be a candidate for development
through joint venture financing during the two years subsequent to
acquisition. The Basin Gulch project Montana, the Jungo property in
Nevada, and the Gold Bug Mine in Oregon comprise the Company's
current portfolio, along with its previously announced joint
venture in Nicaragua. The DGRI management team is composed of
seasoned professionals with decades of experience in geology, and
in mergers and acquisitions, as well as corporate finance. For
further information, please see www.DutchGold.com.
Forward-Looking Statements
This press release contains forward-looking statements that
reflect the Company's current expectation regarding future events.
Actual events could differ materially and substantially from those
projected herein and depend on a number of factors. Certain
statements in this release, and other written or oral statements
made by Dutch Gold Resources, Inc. are "forward-looking statements"
within the meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934. You should not
place undue reliance on forward-looking statements since they
involve known and unknown risks, uncertainties and other factors,
which are, in some cases, beyond the Company's control and which
could, and likely will, materially affect actual results, levels of
activity, performance or achievements. The Company assumes no
obligation to publicly update or revise these forward-looking
statements for any reason, or to update the reasons actual results
could differ materially from those anticipated in these
forward-looking statements, even if new information becomes
available in the future. Important factors that could cause actual
results to differ materially from the company's expectations
include, but are not limited to, those factors that are disclosed
under the heading "Risk Factors" and elsewhere in documents filed
by the company from time to time with the United States Securities
and Exchange Commission ("SEC") and other regulatory
authorities.
For further information, please sign up at
www.DutchGold.com/alerts.
Cautionary Note to U.S. Investors
Dutch Gold Resources, Inc. is subject to the reporting
requirements of the Securities Exchange Act of 1934, as amended
("Exchange Act"), and applicable Canadian securities laws, and as a
result we report our mineral reserves according to two different
standards. Canadian reporting requirements for disclosure of
mineral properties are governed by National Instrument 43-101
Standards of Disclosure for Mineral Projects ("NI 43-101"). The
definitions of NI 43-101 are adopted from those given by the
Canadian Institute of Mining, Metallurgy and Petroleum. U.S.
reporting requirements are governed by the SEC Industry Guide 7
("Guide 7"). These reporting standards have similar goals in terms
of conveying an appropriate level of confidence in the disclosures
being reported, but embody different approaches and definitions.
Under Guide 7, mineralization may not be classified as a "reserve"
unless the determination has been made that the mineralization
could be economically and legally produced or extracted at the time
the reserve determination is made.
We disclose mineral reserves and mineral resources according to
the definitions set forth in NI 43-101 and modify them as
appropriate to confirm to Guide 7 for reporting in the U.S. In our
Form 10-K, filed with the SEC, we use the term "mineralized
material" to describe the amount of mineralization in mineral
deposits that do not constitute "reserves" by United States
standards. This is substantially equivalent to the total measured
mineral resources and indicated mineral resources (disclosed as
inclusive of reserves), which we disclose for reporting purposes in
Canada. U.S. investors are cautioned that, while the terms
"measured mineral resources," "indicated mineral resources" and
"inferred mineral resources" are recognized and required by
Canadian securities laws; rules adopted by the SEC do not recognize
them. U.S. investors are also cautioned not to assume that any
measured or indicated resources will ever be converted into Guide 7
compliant reserves.
The United States Securities and Exchange Commission limits
disclosure for U.S. reporting purposes to mineral deposits that a
company can economically and legally extract or produce. We use
certain terms on this web site, such as "reserves," "resources,"
"geologic resources," "proven," "probable," "measured,"
"indicated," or "inferred," which may not be consistent with the
reserve definitions established by the SEC. U.S. investors are
urged to consider closely the disclosure in our most recent Form
10-K filed with SEC. You can also review and obtain copies of these
filings from the SEC's website.
Contact: Tom Leahey CFO Dutch Gold Resources, Inc. (404)
419-2440