Northgate Minerals Extends Mine Life at the Stawell Gold Mine
Increase in Both Mineral Reserves and Resources
Mineral Reserve and Resource Highlights
- An additional 93,000 ounces of gold reserves have been delineated in
the first half of 2009
- Stawell's mine-life has been extended until Q2-2012
- An additional 32,000 indicated ounces and 98,000 inferred ounces have
been added to the mineral resource base
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Proven Probable Total
-------------------------------------------------------------------------
June 30, Tonnes Grade Gold Tonnes Grade Gold Tonnes Grade Gold
2009 (000) (g/t)(000 oz) (000) (g/t)(000 oz) (000) (g/t)(000 oz)
-------------------------------------------------------------------------
Open Pit
(less
than 100m
from
surface) - - - 430 1.80 25 430 1.80 25
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Underground
(greater
than 100m
from
surface) 64 7.13 15 2,004 4.24 273 2,068 4.33 288
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Total Proven
& Probable
Reserves 15,000 ounces 298,000 ounces 313,000 ounces
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Note: Mineral reserves were estimated using a gold price of A$965/oz;
cut-off grade applied was variable for underground ore depending
upon width, mining method and ground conditions; dilution of 2m-3m
and mining; recovery of 95%-100% was applied to the underground
reserves, dependent upon mining method.
Overview of Mineral Reserve and Resource Additions
Mineral reserves and resources were increased in all areas of the mine through a combination of exploration drilling, resource definition drilling, and grade control drilling. In the first six months of 2009, a total of 870,000 tonnes containing 93,000 ounces of additional gold reserves were delineated and 48,000 ounces were depleted as a result of mining activity. The result is a net increase of 51,000 ounces of reserves compared with Northgate’s
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Indicated Inferred
-------------------------------------------------------------------------
June 30, Tonnes Grade Gold Tonnes Grade Gold
2009 (000) (g/t) (000 oz) (000) (g/t) (000 oz)
-------------------------------------------------------------------------
Open Pit
(less than
100m from
surface) 2,975 2.19 209 205 2.64 17
-------------------------------------------------------------------------
Underground
(greater
than 100m
from
surface) 388 4.68 58 843 5.57 151
-------------------------------------------------------------------------
Total Resources 267,000 indicated ounces 168,000 inferred ounces
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Note: Mineral Resources were estimated using the following parameters:
a. Gold price of A$1,071/oz for underground resources
b. Magdala surface above 130mRL and above a nominal 0.8g/t gold
cut-off
c. Wonga surface at A$1,071/oz gold price
Continuation of the 2009 Exploration Program
The balance of the 2009 exploration program at Stawell will focus on the
newly discovered GG7 (an extension to the GG5L system), Dukes Flank and North
Magdala zones, in addition to ongoing work in the Magdala Upper Levels and GG6
areas (refer to Figure 1 below) where definition and exploration drilling will
be carried out in support of resource conversion and further mine-life
extensions.
Figure 1 - Stawell Gold Mine Long Section
www.northgateminerals.com/Theme/Northgate/files/Releases/SGM_LS_J09.gif
Note to Mineral Reserves and Resources:
1. All Mineral Reserves and Resources have been estimated in accordance
with the JORC Code and have been reconciled to CIM Standards as
prescribed by National Instrument 43-101.
2. Mineral Resources are exclusive of Mineral Reserves.
3. Mineral Reserve estimates were prepared by Glenn Miller, Mine
Technical Superintendent, Northgate Minerals Corporation. Mr. Miller
is a member of the Australasian Institute of Mining and Metallurgy
and has over 16 years of relevant engineering experience and is a
Qualified Person.
4. Mineral Resource estimates were prepared by Mark Haydon, Geology
Manager, Northgate Minerals Corporation. Mr. Haydon is a member of
the Australasian Institute of Geoscientists and has over 15 years of
relevant geological experience and is a Qualified Person.
5. Mineral Reserves and Mineral Resources are rounded to 1,000 tonnes,
0.01 g/t gold and 1,000 ounces. Minor discrepancies in summations may
occur due to rounding.
The terms “Qualified Person”, “Mineral Reserve”, “Proven Mineral Reserve”, “Probable Mineral Reserve”, “Mineral Resource”, “Measured Mineral Resource”, “Indicated Mineral Resource”, and “Inferred Mineral Resource” used in this news release are defined in accordance with NI 43-101-Standards of Disclosure for Mineral Projects of the Canadian Securities Administrators.
Northgate Minerals Corporation is a gold and copper producer with mining operations, development projects and exploration properties in
Forward-Looking Statements:
This Northgate press release contains “forward-looking information”, as such term is defined in applicable Canadian securities legislation, concerning Northgate’s future financial or operating performance and other statements that express management’s expectations or estimates of future developments, circumstances or results. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “expects”, “believes”, “anticipates”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “plans” and variations of such words and phrases, or by statements that certain actions, events or results “may”, “will”, “could”, “would” or “might” “be taken”, “occur” or “be achieved”. Forward-looking information is based on a number of assumptions and estimates that, while considered reasonable by management based on the business and markets in which Northgate operates, are inherently subject to significant operational, economic and competitive uncertainties and contingencies. Northgate cautions that forward-looking information involves known and unknown risks, uncertainties and other factors that may cause Northgate’s actual results, performance or achievements to be materially different from those expressed or implied by such information, including, but not limited to gold and copper price volatility; fluctuations in foreign exchange rates and interest rates; the impact of any hedging activities; discrepancies between actual and estimated production, between actual and estimated reserves and resources or between actual and estimated metallurgical recoveries; costs of production; capital expenditure requirements; the costs and timing of construction and development of new deposits; and the success of exploration and permitting activities. In addition, the factors described or referred to in the section entitled “Risk Factors” in Northgate’s Annual Information Form for the year ended
SOURCE Northgate Minerals Corporation
