Gold Standard Ventures achieves key milestones
VANCOUVER, British Columbia, November 10, 2021 (GLOBE NEWSWIRE) – Gold Standard Ventures Corp. (NYSE AMERICAN: GSV) (TSX: GSV) (“Gold Standard” or the “Company”) today announced updates on its progress in permitting, Feasibility study and construction capital funding process .
Jason Attew, President and CEO, said, “A tremendous amount of work has been done by the Gold Standard team to advance the key drivers of value for our business. We plan to release the final 2021 exploration holes drilled in the Pinion SB area in the coming weeks and look forward to a catalyst-rich 2022, which will begin with the publication of the South Railroad Project Feasibility Study at the first. trimester. “
The Company is currently in the Environmental Impact Assessment (“EIA”) process under the National Environmental Policy Act. SWCA Environmental Consultants (“SWCA”) was engaged to manage the EIA process on behalf of the Bureau of Land Management (“BLM”).
Preparation of the Notice of Intent has begun and is expected to be submitted to the BLM in Washington, DC, in the fourth quarter of 2021. Once the Notice of Intent is published in the Federal Register, public scoping meetings can begin.
Based on the EIA schedule developed between the company, SWCA, and BLM, the decision recording permit schedule is expected to be in the first quarter of 2023. Along with the licensing process, work is progressing to secure the decision-making process. ‘access to the site and rights to use the water.
Development of the Feasibility Study (“FS”), led by M3 Engineering, continues to progress.
As previously indicated, the Company has worked to convert certain inferred mineral resources to mineral reserves in order to extend the life of the mine. Pinion infill drilling results indicate the potential to convert approximately 350,000 ounces of contained gold for inclusion in the FS Mine Plan (“Pinion Phases 4 and 5”).
The results of the mining plan optimization work indicate that transport trucks with a capacity of 200 tons will probably offer more economic advantages than the transport trucks with a capacity of 150 tons considered in the pre-feasibility study of 2020 (“PFS”). Larger transport trucks offer the potential benefit of lower mining unit costs through increased efficiency and lower labor costs.
Metallurgical and processing studies are underway and focus on leach kinetics, leach platform design and metallurgical recovery models. Although it is expected that the FS will include the construction of a High Pressure Grinding Roller Crushing Plant (“HPGR”) in the coming years, metallurgical studies indicate the possibility of processing all of Dark Star’s ore. and Pinion like a bunch of run-of-the-mill leaching operation. This scenario has the potential to unlock significant savings on expansion capital expenditures, sustaining capital expenditures and processing unit costs than was envisioned in the PFS, with an offsetting impact of estimated gold recoveries. slightly lower. The Company will continue to explore this option with its consultants.
Although the toll processing of approximately 32,000 ounces of gold in transition and sulphide materials at Dark Star was considered in the PFS, it is not expected to be included in the upcoming FS. The Company believes that there remains an attractive opportunity to extract value from this material, in addition to the potential for new mineralization directly below the Dark Star North PFS pit boundary, as described in the Company’s press release. dated September 13, 2021. However, the economic analysis needed to support processing of this material will not be completed to a feasibility level for the upcoming study.
Some changes to the initial capital expenditure estimates of direct costs, indirect costs and contingencies are anticipated in the next FS, as expected from the planned increased scope and scale of the project compared to the PFS. Gold Standard is committed to responsible mining and focuses on building and operating in the most environmentally friendly way possible.
Based on the schedule of the ongoing metallurgical column testing of the drill core that represents Pinion Phases 4 and 5, it is expected that the feasibility study will be published in the first quarter of 2022.
Construction capital financing process
Preparatory work continues to advance on Gold Standard’s construction capital funding process, with our advisor Cutfield Freeman & Co. Lending capacity for the South Railroad Project (“SRP”) is expected to be strong, due to the strong Expected free cash flow in the first five years during the operation of the Dark Star deposit, as reported in the PFS.
As announced in the company’s press release dated July 16, 2020, Orion Mine Finance has committed to provide Gold Standard with a term sheet to provide up to US $ 200 million in construction finance support. In addition, the Company has received interest from the following capital providers to participate in the SRP construction capital funding process: mining-focused alternative lenders, commercial banks, streaming and royalty companies, and multinational producers of precious metals.
Gold Standard plans to begin the construction capital financing process in conjunction with the publication of the SRP feasibility study in the first quarter of 2022. The Company will prioritize a construction financing package that offers the most long-term benefits. attractive to Gold Standard shareholders.
About the gold standard
Gold Standard is developing the South Railroad Project, an open pit, heap leach gold project located in Elko County, Nevada. The project is part of a plot of +21,000 hectares on the Carlin Trend and is 100% owned or controlled by Gold Standard. The Company’s goal is to become the low-cost junior producer of choice in Nevada, one of the world’s leading mining jurisdictions.
Caution Regarding Forward-Looking Statements
This press release contains forward-looking statements relating to future events or future performance. All statements, other than statements of historical fact, included in this document are forward-looking statements. Forward-looking statements herein include, without limitation, statements regarding the timing of the Company’s submission of the Notice of Intent and the Company’s receipt of the Permit to Record the Decision; the Company’s ability to add contained ounces of gold to the mine plan; FE content and results, including the ability to use larger transport trucks and process all Dark Star and Pinion ore as an all-run heap leach operation and expected benefits of it; the timing of the publication of the MSDS; the Company’s ability to extract value from transition materials and sulphides at Dark Star; the nature and extent of mineralization at the Dark Star deposit; the financial profile and benefits of the PRS, including expected cash flows from the PRS; the expected size and dimensions of the planned pit and the area of demonstrated SRP mineral resources; and the potential financing and construction of the SRP, including the expected timing and nature of the financing package for the construction of the SRP. These forward-looking statements reflect the current beliefs of management and are based on assumptions made by and on information currently available to the Company, including that the Company will complete its submission of the Notice of Intent to the BLM and that the BLM will provide. its Record of Decision permitted on the currently scheduled schedule, that the Company will successfully convert certain Inferred Mineral Resources at Pinion into Mineral Reserves for inclusion in the FS in order to support a longer mine life, content and the results of the FE will be materially in line with the Company’s current expectations, that the Company will publish the FSs according to the currently planned schedule, that the Company will realize the expected economic benefits of the SRP and that the Company will successfully finance and construct the SRP in the manner currently contemplated by the Company. By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements, or other future events, to be materially different from results, performance. or future achievements expressed or implied by these forward-looking statements. These risks, uncertainties and other factors include, among others: the fact that the Company does not or not at all submit its notice of intention to the BLM within the time limits currently foreseen; that the BLM will not issue a decision recording permit, within the current time frame or not at all; that the Company will not be successful in converting certain Inferred Mineral Resources at Pinion to Mineral Reserves; that the content or results of the FS will differ from those currently expected; that the Company may not be able to complete the scientific and technical work necessary for the publication of the MSDS; that the pit and mineral resource area demonstrated at SRP will be different from that defined in the preliminary feasibility study for SRP, due to the FE or otherwise; that the Company may not be successful in financing and building the SRP; that the SRP can never be put into production; global financial conditions and volatility in capital markets, uncertainty over the availability of additional capital, fluctuations in commodity prices; title matters; and additional risks identified in our filings with Canadian securities regulators on SEDAR in Canada (available at www.sedar.com) and with the SEC on EDGAR (available at www.sec.gov/edgar.shtml). These forward-looking statements are made as of the date hereof and, except as required by applicable securities legislation, the Company assumes no obligation to update or revise them to reflect new events or circumstances.
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Vice-President, Corporate Development and Investor Relations