Granada Gold Mine Advances Plans for On-Site Mill, Bolstering Economics and Grade Control
2875 Ave Granada
Rouyn Noranda, Québec J9Y 1Y1
Tel : 819-797-4144 / Fax: 819-792-2306
Granada Gold Mine Advances Plans for On-Site Mill, Bolstering
Economics and Grade Control
Rouyn Noranda, Q.C., April 29, 2024 - Granada Gold Mine Inc. (TSXV: GGM) (OTC: GBBFF) (Frankfurt: B6D)
(the “Company” or “Granada”) is following up on the recent announcement regarding the development
of a high-grade flow sheet. Granada Gold Mine is pleased to provide further details on its plans to establish
a mill at the Granada property. After productive discussions with our preferred vendor, the company is
moving forward with a comprehensive study to build a mill on site at Granada. This strategic decision
reflects our belief that on-site processing offers the most favorable economics and provides enhanced
grade control for the company.
Despite the 43-101 open pit resource being calculated at 2 grams per tonne, the results from two bulk
samples of 500 tonnes each have both returned grades averaging 4 grams per tonne gold (Press Release
Nov 28 th 2023 and May 10 th 2022). These findings are in line with historically mined open pit grades
ranging from 3.5 to 5 grams per tonne gold, further validating the potential of the Granada property.
CEO Frank Basa expressed confidence in the robustness of the resource calculation, stating, "Our
continued exploration and sampling efforts have consistently demonstrated the high-grade nature of the
mineralization at Granada. These recent findings reinforce our belief in the economic viability of the
project and our commitment to maximizing shareholder value."
Establishing an on-site mill aligns with Granada Gold Mine's strategic vision of optimizing operations and
minimizing logistical challenges associated with off-site processing. By bringing processing capabilities
closer to the source of mineralization, the company aims to streamline production and capitalize on
operational efficiencies.
The upcoming study will evaluate various factors, including infrastructure requirements, environmental
considerations, and economic feasibility, to inform the design and implementation of the on-site mill.
Granada Gold Mine remains committed to transparent and responsible stewardship of its resources,
adhering to industry best practices and regulatory standards throughout the development process.
Granada Gold Mine remains steadfast in its mission to deliver value to stakeholders while upholding the
highest standards of environmental responsibility and community engagement. With these recent
advancements, the company is poised to unlock new opportunities for growth and prosperity.
Qualified person
The technical information in this news release has been reviewed and approved by Claude Duplessis,
P.Eng., GoldMinds Geoservices Inc., who is a member of the Québec Order of Engineers and a qualified
person in accordance with the National Instrument 43-101 standards.
About Granada Gold Mine Inc.
Granada Gold Mine Inc. continues to develop and explore its 100% owned Granada Gold Property near
Rouyn-Noranda, Quebec, which is adjacent to the prolific Cadillac Break. The Company owns 14.73 square
kilometers of land in a combination of mining leases and claims. The Company is undergoing a large drill
program with 30,000m out of 120,000m complete. The drills are currently paused to provide the technical
team with the necessary time to evaluate and assimilate existing data.
The Granada Shear Zone and the South Shear Zone contain, based on historical detailed mapping as well
as from current and historical drilling, up to twenty-two mineralized structures trending east-west over
five and a half kilometers. Three of these structures were mined historically from four shafts and three
open pits. Historical underground grades were 8 to 10 grams per tonne gold from two shafts down to 236
m and 498 m with open pit grades from 3.5 to 5 grams per tonne gold.
Mineral Resource Estimate
On August 20, 2022 the Company released an updated NI 43-101 technical report supporting the resource
estimate update for the Granada Gold project (Please see July 6, 2022 news release) reporting that the
Granada deposit contains an updated mineral resource, at a base case cut-off grade of 0.55 g/t Au for pit
constrained mineral resources within a conceptual pit shell and at a base case cut-off grade of 2.5 g/t for
underground mineral resources within reasonably mineable volumes, of 543,000 ounces of gold
(8,220,000 tonnes at an average grade of 2.05 g/t Au) in the Measured and Indicated category, and
456,000 ounces of gold (3,010,000 tonnes at an average grade of 4.71 g/t Au) in the Inferred category.
Please see Table 1 below for full details. Report reference: Granada Gold Project Mineral Resource
Estimate Update, Rouyn-Noranda, Quebec, Canada authored by Yann Camus, P.Eng. and Maxime
Dupéré, B.Sc, P.Geo., SGS Canada Inc. dated August 20th, 2022 and with an effective date of June 23rd,
2022.
Table 1: Mineral Resource Estimate Showing Tonnes, Average Grade, and Gold Ounces
Cut-Off
(g/t Au) Classification Type Tonnes Au (g/t) Gold Ounces
0.55 / 2.5 Measured1 InPit+UG 4,900,000 1.70 269,000
Indicated InPit+UG 3,320,000 2.57 274,000
Measured & Indicated InPit+UG 8,220,000 2.05 543,000
Inferred InPit+UG 3,010,000 4.71 456,000
(1) The 1930-1935 production was removed from these numbers (164,816 tonnes at 9.7 g/t Au / 51,400
ounces Au).
(2) The Independent QP for this resources statement is Yann Camus, P.Eng., SGS Canada Inc.
(3) The effective date is June 23rd, 2022.
(4) CIM (2014) definitions were followed for Mineral Resources.
(5) Mineral resources which are not mineral reserves do not have demonstrated economic viability. An
Inferred Mineral Resource has a lower level of confidence than that applying to a Measured and Indicated
Mineral Resource and must not be converted to a Mineral Reserve. It is reasonably expected that the
majority of Inferred Mineral Resources could be upgraded to Indicated Mineral Resources with continued
exploration.
(6) No economic evaluation of the resources has been produced.
(7) All figures are rounded to reflect the relative accuracy of the estimate. Totals may not add due to
rounding
(8) Composites have been capped where appropriate. The 2.5 m composites were capped at 21 g/t Au in the
thin rich veins and at 7 g/t Au in the low-grade volumes.
(9) Cut-off grades are based on a gold price of US$1,700 per ounce, a foreign exchange rate of US$0.78 for
CA$1, a processing gold recovery of 93%.
(10) Pit constrained mineral resources are reported at a cut-off grade of 0.55 g/t Au within a conceptual pit
shell
(11) Underground mineral resources are reported at a cut-off grade of 2.5 g/t Au within reasonably
mineable volumes.
(12) A fixed specific gravity value of 2.78 g/cm3 was used to estimate the tonnage from block model volumes
(13) There are no mineral reserves on the Property.
(14) The deepest resources reported are at a depth of 990 m.
(15) SGS is not aware of any known environmental, permitting, legal, title-related, taxation, socio-political,
marketing or other relevant issues that could materially affect the mineral resource estimate.
(16) The results from the pit optimization are used solely for the purpose of testing the “reasonable prospects
for economic extraction” by an open pit and do not represent an attempt to estimate mineral reserves. There
are no mineral reserves on the Property. The results are used as a guide to assist in the preparation of a
mineral resource statement and to select an appropriate resource reporting cut-off grade.
The property includes the former Granada Gold underground mine which produced more than 50,000
ounces of gold at 10 grams per tonne gold in the 1930’s from two shafts before a fire destroyed the surface
buildings. In the 1990s, Granada Resources extracted a bulk sample (Pit #1) of 87,311 tonnes grading 5.17
g/t Au. They also extracted a bulk sample (Pit # 2) of 22,095 tonnes grading 3.46 g/t Au.
“Frank J. Basa”
Frank J. Basa, P. Eng. member of Professional Engineers Ontario
Chief Executive Officer
For further information, Contact:
Frank J. Basa
Chief Executive Officer
P: 416-625-2342
Or:
Wayne Cheveldayoff,
Corporate Communications
P: 416-710-2410
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the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This news release
may contain forward-looking statements which include, but are not limited to, comments that involve future
events and conditions, which are subject to various risks and uncertainties. Except for statements of historical
facts, comments that address resource potential, upcoming work programs, geological interpretations, receipt and
security of mineral property titles, availability of funds, and others are forward-looking. Forward-looking
statements are not guarantees of future performance and actual results may vary materially from those
statements. General business conditions are factors that could cause actual results to vary materially from
forward-looking statements.