VANCOUVER, BRITISH COLUMBIA–(Marketwired – June 1, 2016) – Bravada Gold Corporation (TSX VENTURE:BVA)(FRANKFURT:BRTN) (the “Company” or “Bravada”) has received notice that Baker Hughes Oilfield Operations, Inc. (“Baker Hughes”), has submitted a Plan of Operations permit to the Bureau of Land Management for the Scruffy/Oz barite mine, which will extract barite ore from Bravada’s Shoshone Pediment property (the “Property”). Baker Hughes acquired 100% of any barite ore located on the Property, although Bravada retains all other lode mineral rights, including gold, and receives a split of drill samples for its independent geologic logging and assaying. The Property is located along the Battle Mountain-Eureka Gold trend and also within Nevada’s most important region for barite production.
The submitted Plan of Operation allows for up to 300,000 tons of barite to be mined annually from three open pits on the Scruffy/Oz project for up to 5 years. Two of the open pits are located on the Shoshone Pediment property, and these pits contain a majority of the known barite mineralization. Bravada will receive a quarterly royalty payment of US$1.00 per ton on barite production greater than an initial 150,000 tons from the Shoshone Pediment portion of the mine, which was purchased when Baker Hughes exercised their option.
Barite has been produced from the Miller open pit mine, which is directly south of the Shoshone Pediment property and a similar deposit of barite is exposed at surface and appears in drill holes on the Property. The Property also lies along the northwesterly projection of a linear cluster of small gold deposits hosted in Upper Plate rocks in nearby Slaven Canyon. Extensive low-level gold anomalies have been detected in surface samples of Upper Plate rocks from the Property. These anomalies may be leakage from potentially high-grade, Carlin-type gold mineralization below the barite beds in Lower Plate carbonates, which are the host rocks to Nevada’s largest gold deposits.
President Joe Kizis commented, “Shoshone Pediment is a good example of Bravada’s ability to recognize opportunities in relatively inexpensive, early-stage exploration properties and to advance them to groups best suited to extract value for our mutual benefit. In addition to cash flow once permitting has been completed and mine production begins, Bravada retains the rights to other minerals and receives splits of drill samples. Geological logging and assaying those drill samples provides a low-cost way for Bravada to further develop gold targets that may be developed below the barite mineralization in more favorable Lower Plate carbonates.”
Bravada reports that it has entered into debt-settlement agreements with certain creditors in order to settle up to $895,000 of debt by the issuance of up to 5,265,000 common shares at a price of $0.17 per share, subject to acceptance by the TSX Venture Exchange. The securities that will be issued upon this debt settlement will be subject to a hold period of four months and one day from issuance as well as a US restrictive legend.
The Company also reports that long-time Bravada director Richard Hughes has retired from the Board of Directors, but has agreed to remain as an advisor to the Company. Bravada appreciates his many years of seasoned advice and guidance as a Board member.
The Company has added Mr. Donald Head to replace Richard on the Board. Mr. Head, a native of Arizona and a resident of Scottsdale, graduated from Arizona State University with a BA in Business and holds a law degree from the University of Arizona. He co-founded Centurion Development and Investments Inc., a company engaged in real estate development. He practiced as an Attorney in Arizona where, for many years, he represented Canadian public mineral exploration companies in property acquisitions and equity finance and has served in an advisory capacity and as a Director for a number of Canadian public companies.
He currently serves as Officer of Head Management Investments LLC. and formerly served as the Founder, Chairman, President and Chief Executive Officer of Capital Title Group Inc., a public company providing title insurance services in the USA, since inception in 1981 until it was sold in 2006 for gross proceeds of US$ 265 million.
Bravada holds a portfolio of high-quality properties in Nevada, one of the world’s best mining jurisdictions, and has attracted partners to fund exploration and development on five of its 15 Nevada properties. Bravada’s Wind Mountain project hosts a significant Indicated and Inferred resource of gold and silver, and has exciting potential for new discoveries. The five currently partner-funded projects in aggregate include earn-in work expenditures of up to $6.5 million and payments to Bravada of up to $3+ million as cash and shares, with Bravada retaining residual working or royalty interests.
On behalf of the Board of Directors of Bravada Gold Corporation
Joseph A. Kizis, Jr., Director, President, Bravada Gold Corporation
Neither 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.
This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. These statements are based on a number of assumptions, including, but not limited to, assumptions regarding general economic conditions, interest rates, commodity markets, regulatory and governmental approvals for the company’s projects, and the availability of financing for the company’s development projects on reasonable terms. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, the timing and receipt of government and regulatory approvals, and continued availability of capital and financing and general economic, market or business conditions.
Bravada Gold Corporation does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise, except to the extent required by applicable law.