Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
NEWS RELEASE Desert Gold Ventures Inc.
Suite 800 – 1199 West Hastings Street Vancouver, B.C. V6E 3T5 Tel.: (604) 687-2038 Fax.: (604) 687-3141
April 23, 2010 TSX Venture Symbol: DAU
CORPORATE UPDATE - RESTATEMENT OF HISTORICAL RESOURCE ESTIMATE AT GOLDBANKS
Vancouver, B.C. – Desert Gold Ventures Inc. (“Desert Gold” or the “Company”) announces that as a result of a review by the British Columbia Securities Commission (the “BCSC”), it is issuing the following news release to clarify its disclosure. The Company issued a Technical Report of the Goldbanks property prepared by Tim Percival and dated February 27, 2006 in support of the first-time disclosure of a mineral resource as described in the Company’s news release of March 28, 2006 (the “2006 Technical Report”); the mineral resources were estimated by Michael Gustin of Mine Development Associates Inc. The Company is filing an amended Technical Report dated April 20, 2010 and with an Effective Date of February 27, 2006 (the “2010 Technical Report”). The 2010 Technical Report restates a 1998 historical mineral resource estimate, and corrects other NI 43-101 deficiencies. The current inferred mineral resources reported in the 2006 Technical Report remain unchanged in the 2010 Technical Report, and consist of 28,310,000 tons grading 0.020 oz Au/ton, for a total of 556,700 ounces of gold, at cutoff grades of 0.010 oz Au/ton for oxidized material and 0.030 oz Au/ton for unoxidized material.
The Company’s website under the heading “Goldbanks Summary 2008” reported that Kinross Gold Corporation and its predecessor defined a large, low grade resource containing 166Mt @0.0154oz/t Au and 0.045oz/t Ag. This disclosure did not properly discuss the historical nature of the estimate or provide details about its classification and other information required by NI 43-101; in addition, the website disclosure wrongly classified the current inferred resource as an “updated ore model”.
The following is a summary of the historical estimate in the 2010 Technical Report. In March 1998, KGC estimated a historical “drill indicated and inferred” geologic resource of 183,193,000 tons at a gold grade of 0.0141 oz Au/ton and a silver grade of 0.0408 oz Ag/ton, using a cut-off of 0.005 oz Au/ton. This is equivalent to 166 million tonnes @ 0.48 g Au/t and 1.40 g Ag/t. The historical classification used is not comparable to CIM classes.
A qualified person has not done sufficient work to classify this historical estimate as current mineral resource as defined by NI 43-101. Accordingly, this historical estimate should not be relied upon and Desert Gold is not treating this historical estimate as a current mineral resource.
Although the historical estimate should not be relied upon, it may be relevant with respect to exploration targets at Goldbanks. The KGC historical estimate includes areas outside of the current inferred mineral resources discussed above. However, the historical estimates are tabulated at a lower cutoff grade (0.005 oz Au/ton), which may not have reasonable prospects of economic extraction.
On Behalf of the Board of Directors,
"Eugene Beukman"
Eugene Beukman, President
Desert Gold Ventures Inc.
News Release – April 23, 2010
For further information on Desert Gold Ventures Inc. please visit our website at: www.desertgold.ca
This release includes certain statements that may be deemed to be "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration and development activities and events or developments that the Company expects, are forward-looking statements. Although management believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploration and development successes, continued availability of capital and financing, and general economic, market or business conditions. Please see our public filings at www.sedar.com for further information.