Investor Update
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Mining Completed at Devon
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RC Drilling Underway at Murrin Murrin Gold Joint Venture
Devon Gold Mine
GME Resources Limited ("GME" or "the Company") is pleased to advise that the mining program at the Devon Gold Mine is now complete and contractors have commenced demobilising from the site.
The seventh batch of high-grade ore was processed at Carosue Dam Processing Plant on Friday (19thAugust) and haulage of approximately 18,000 tonnes of low-grade stock piles is in progress. Processing of low grade ore is expected to be completed in late September. Mine volume reconciliation is in progress, however, total ore tonnes are expected to be lower than projected due mainly to a narrowing of the ore zone compared to that modelled in the bottom 15 metres of the pit and compounded by the lower than expected tonnage produced from the goodbye cut.
Final financial reconciliations from the mining operation will be completed in September once all grade and metallurgical recoveries have been received.
Mine closure plans have been implemented and rehabilitation of the site will commence once the haulage of remaining ore stocks has been completed.
Murrin Murrin Gold Project Joint Venture.
As announced on the 14 July 2016, GME has agreed a Terms Sheet to enter into a Joint Venture with Zeta Resources Ltd.'s Murrin Murrin Gold Project. The project covers the historic mining centre of Murrin Murrin that has recorded production in excess 100,000 ounces (Kumarina Resources Prospectus, December 2011)
Drilling at the Malcolm Challenger gold mines commenced on Tuesday 16thAugust 2016 and is in progress. The program is designed to test high grade mineralised lodes below and between the existing shallow open pits.
The planned drilling programme will include a total of 25 drill holes for approximately 1,500 metres of RC drilling and includes a number of holes that will test high-grade gold and copper carbonate targets to the south. The Malcolm Challenger mines host a JORC 2012 Indicated resource estimated to contain 547,000 tonnes at 3.12 grams per tonne for 54,875 ounces. (Zeta ASX announcement, 22 Jan 2014).
Further updates will be provided when results have been finalised.
JAMIE SULLIVAN MANAGING DIRECTOR
23 August 2016
Devon Gold Mine looking south
Competent Person Statement The information in this report that relates to Exploration Results is based on information compiled by Mr Mark Gunther who is a member of The Australasian Institute of Geoscientists. Mr Gunther is a Principal Consultant with Eureka Geological Services. Mr Gunther has sufficient experience, which is relevant to the style of mineralization and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Gunther consents to the inclusion in the report of the matters based on information provided in the form and context in which it appears.
Forward Looking Statement This announcement contains statements related to our future business and financial performance and future events or developments involving GME Resources (GME) that may constitute forward-looking statements. These statements may be identified by words such as "potential", "exploitable", "proposed open pit", "evaluation", "expect," "future," "further," "operation, "development, "plan," "permitting", "approvals", "processing agreement" or words of similar meaning. Such statements are based on the current expectations and certain assumptions of GME management & consultants, and are, therefore, subject to certain risks and uncertainties. A variety of factors, many of which are beyond GME's control, affect our operations, performance, business strategy and results and could cause the actual results, performance or achievements of GME to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements. GME has concluded that it has a reasonable basis for providing the forward looking statements included in this announcement.