Galane GOLD Ltd. Reports First ORE Mined from the Princeton ORE Body at Its Galaxy Project
For immediate release
GALANE GOLD LTD. REPORTS FIRST ORE MINED FROM THE PRINCETON ORE
BODY AT ITS GALAXY PROJECT
TORONTO, ONTARIO – April 11, 2019: Galane Gold Ltd. (“Galane Gold” or the “Company”)
(TSX-V: GG; OTCQB: GGGOF) is pleased to announce that it has mined its first ore from
the Princeton ore body at its Galaxy project (“Galaxy”).
Galaxy had targeted in its original plan to produce ore from the Princeton ore body
commencing in June 2019. Upon review of its mine plan , Galaxy was able to accelerate
the mining of the ore and put itself ahead of its original production plan for 2019. Galaxy
is targeting the first production of concentrate before the end of April 2019.
Galane Gold CEO, Nick Brodie commented: “This is great news for the plan to recommence
production at Galaxy and puts us in a strong position to meet our forecast for the year.
We are still targeting at Galaxy steady state annual production to average 25,000 ounces
of gold at a n operating cash cost per ounce of less than US$800. (1)(2)(3) This represents
only the first step of our resurrection of the Galaxy mine and we will shortly commence a
study with the aim be ing to double production and lower the all -in cost as a result of
increased economies of scale.”
About Galane Gold
Galane Gold is an un -hedged gold producer and explorer with mining operations and
exploration tenements in Botswana and South Africa. Galane Gold is a public company and
its shares are quoted on the TSX Venture Exchange under the symbol “GG” and the OTCQB
under the symbol “GGGOF” . Galane Gold’s management team is comprised of senior
mining professionals with extensive experience in ma naging mining and processing
operations and large -scale exploration programmes. Galane Gold is committed to
operating at world -class standards and is focused on the safety of its employees,
respecting the environment, and contributing to the communities in which it operates.
Notes:
(1) This is forward -looking information and is based on a number of assumptions. Scheduled ounces do not
represent an estimate of mineral reserves. See “Cautionary Notes”.
(2) The deposits at the Galaxy mine are supported by a technical report entitled “A Technical Report on the
Galaxy Gold Mine, Mpumalanga Province, South Africa” which was issued January 4, 2016 with an effective
date of September 1, 2015 (the “Galaxy Technical Report”), and was prepared by Minxcon (Pty) Ltd and
approved by Daniel van Heerden, B Eng (Min.), MCom (Bus. Admin.), Pr. Eng., FSAIMM, AMMSA, a Qualified
Person as defined by National Instrument 43 -101. The Galaxy Technical Report satisfies the requirements
to be a pre-feasibility study.
(3) Operating cash cost is a non-IFRS measure. Refer to “Supplemental Information to Management’s Discussion
and Analysis” in the Company’s Management’s Discussion and Analysis for the three and nine months ended
September 30, 2018 for reconciliation to measures reported in the Company’s financial statements.
Cautionary Notes
Certain statements contained in this press release constitute “forward -looking
statements”. All statements other than statements of historical fact contained in this press
release, including, without limitation, those regarding the Company’s future financial
position and results of operations, strategy, proposed acquisitions, plans, objectives, goals
and targets, and any statements preceded by, followed by or that include the words
“believe”, “expect”, “aim”, “intend”, “plan”, “continue”, “will”, “may”, “would”,
“anticipate”, “estimate”, “forecast”, “predict”, “project”, “seek”, “should” or similar
expressions or the negative thereof, are forward -looking statements. These statements
are not historical facts but instead represent only the Company’s expectations, estimates
and projections regarding future events. These statements are not guarantees of future
performance and involve assumptions, risks and uncertainties that are difficult to predict.
Therefore, actual results may differ materially from what is expressed, implied or
forecasted in such forward-looking statements.
Additional factors that could cause actual results, performance or achievements to differ
materially include, but are not limited to : the Company’s dependence on two mineral
projects; gold price volatility; risks associated with the conduct of the Company’s mining
activities in Botswana and South Africa; regulatory, consent or permitting delays; risks
relating to the Company’s exploration, development and mining activities being situated
in Botswana and South Africa; risks relating to reliance on the Company’s management
team and outside contractors; risks regarding mineral resources and reserves; the
Company’s inability to obta in insurance to cover all risks, on a commercially reasonable
basis or at all; currency fluctuations; risks regarding the failure to generate sufficient cash
flow from operations; risks relating to project financing and equity issuances; risks arising
from the Company’s fair value estimates with respect to the carrying amount of mineral
interests; mining tax regimes; risks arising from holding derivative instruments; the
Company’s need to replace reserves depleted by production; risks and unknowns inherent
in all mining projects, including the inaccuracy of reserves and resources, metallurgical
recoveries and capital and operating costs of such projects; contests over title to
properties, particularly title to undeveloped properties; laws and regulations governing the
environment, health and safety; operating or technical difficulties in connection with
mining or development activities; lack of infrastructure; employee relations, labour unrest
or unavailability; health risks in Africa; the Company’s interact ions with surrounding
communities and artisanal miners; the Company’s ability to successfully integrate acquired
assets; risks related to restarting production; the speculative nature of exploration and
development, including the risks of diminishing quant ities or grades of reserves;
development of the Company’s exploration properties into commercially viable mines;
stock market volatility; conflicts of interest among certain directors and officers; lack of
liquidity for shareholders of the Company; risks related to the market perception of junior
gold companies; and litigation risk . Management provides forward -looking statements
because it believes they provide useful information to investors when considering their
investment objectives and cautions investors not to place undue reliance on forward -
looking information. Consequently, all of the forward -looking statements made in this
press release are qualified by these cautionary statements and other cautionary
statements or factors contained herein, and the re can be no assurance that the actual
results or developments will be realized or, even if substantially realized, that they will
have the expected consequences to, or effects on, the Company. These forward -looking
statements are made as of the date of th is press release and the Company assumes no
obligation to update or revise them to reflect subsequent information, events or
circumstances or otherwise, except as required by law.
Information of a technical and scientific nature that forms the basis of th e disclosure in
the press release has been approved by Kevin Crossling Pr. Sci. Nat., MAusIMM. and
Business Development Manager for Galane Gold, and a “qualified person” as defined by
National Instrument 43-101 – Standards of Disclosure for Mineral Projects . Mr. Crossling
has verified the technical and scientific data disclosed herein and has conducted
appropriate verification on the underlying data.
Neither the TSX Venture Exchange nor its regulation services p rovider (as that term is
defined in the policies of the TSX Venture Exchange) accepts responsibility for the
adequacy or accuracy of this release.
For further information please contact:
Nick Brodie
CEO, Galane Gold Ltd.
+ 44 7905089878
www.GalaneGold.com