PANAMA, Aug. 5 /PRNewswire/ -- Further to the release of January 23, 2008, Bellhaven Copper and Gold, Inc. (TSX-Venture: BHV) ("Bellhaven or the Company") is pleased to announce the completion of the following corporate goals for the first semester of 2008.
1. Cerro Quema Gold Project:
In our release of May 1, 2008, Bellhaven listed the goals completed during Q1/08. Following are goals completed during Q2/08.
a. Metallurgical Testing: SGS Labs (at Lakefield) has completed Jig-Column tests on three 20Kg representative ore samples crushed to 6.5 mm, operating for 48 hours. The results successfully confirmed the high gold recoveries of the bottle roll tests. The three tests yielded the following results: Test no. PC-1 PC-2 PC-3 Recovery 96.1% 82.5% 94.7% Bellhaven will be releasing these results in more detail in a separate announcement. b. Completion of the Pilot Plant: Under the supervision of Innovat Ltd., a 15 tpd Continuous Vat Leach Pilot Plant was completed in Burlington, Ontario and transported to SGS Labs at Lakefield, Ontario for its erection and operation. After its erection a trial test will be done using water and gravel to check the plant mechanically before it is commissioned to run with an ore sample. c. Ore sample collection. A 70 ton representative ore sample was collected at Cerro Quema, crushed 6.5 mm size and shipped from Quema to Lakefield. d. Field Construction Activities: Construction of the main sediment control structure was initiated and is expected to be completed during Q3/08. Construction of a fourth housing unit (with eight complete rooms designed to accommodate guests and visiting technical personnel) as well as a unit for meeting facilities were initiated. Both units are expected to be completed during Q3/08. e. EPCM: Several crushing plant proposal have been received and are being evaluated. The final Design of the Crushing System has been completed. Design of the Continuous Vat Leach Plant is 80% completed, pending final confirmation by the Pilot Plant Tests. f. Studies: Environmental monitoring and updating are being performed on a continuous basis. g. Financing: Bellhaven completed a private placement financing for $2.08 million. Of this funding US$1.0 million was paid to Central Sun Mining in compliance with the terms of the Cerro Quema purchase agreement. 2. Cerro Chorcha Project:
While waiting for JV Partner Dominion Minerals Corp. to raise adequate funding to continue with the exploration program, Bellhaven completed a very important aerial photo survey. The details of this survey were the subject of the announcement of May 13, 2008.
Interpretation of the drill results and geological data from the last drilling campaign was compiled into the new topographic data base in order to relay all the information required for preparation the NI-43-101 complaint update report due for completion in August.
A second phase drilling program was prepared to prove out a high grade zone within the Chorcha copper porphyry, as well as new drill targets in surrounding anomalous areas. Drill platforms and new camps were advanced in preparation for the new drill program.
3. Colombia Projects:
During the first semester of 2008, a Definitive Agreement was signed for the Santa Maria Gold Mine; Bellhaven is currently in the process of refurbishing the mine plant in order to get the mine back in production by Q3/08. Bellhaven is also evaluating other mining opportunities in Colombia and has submitted applications for three new explorations areas in the southern part of the Bolivar Department. Reconnaissance sampling and mapping are currently underway in these properties.
4. Pitaloza, Azuero Package:
An eight (8) line km dipole-dipole IP survey covering three prospects was completed in the Pitaloza Concession. The IP results were analyzed and an evaluation report was prepared that defined and located several priority drill targets. At the Bejucosa target the IP survey identified an oxidized zone of Au mineralization overlying a conductive zone of possible supergene and primary Cu-Au mineralization that may extend to at least 140 meters depth. At the Caracucho target a similar near surface oxidized "cap" from the surface to 40 meters was identified, that overlies a supergene Cu-Au enrichment zone of about 30 meters thick and then possible primary Au-Cu sulfide mineralization to at least 170 meters depth. The Cementerio target shows a similar model as the two previous targets but at depth the sulfide mineralization appears associated with intense stockwork quartz veining and/or silicified breccias.
5. Rio Liri:
No exploration work was done in this property during the first semester of 2008. Other priorities took precedent.
6. Joint Venture Properties:
In addition to the JV with Dominion Minerals at Chorcha, Bellhaven has signed two additional JV Agreements.
a. Los Hatillos/Higui Concession: During the first semester of 2008, Golden Cross Resources Ltd, carried out an IP Survey and a 1,033 meter and 8 diamond drill program at the Los Hatillos Property. Details were announced in the news releases of May 13 and July 30, 2008 respectively. b. Viento Frio Concession: A 4 Km. IP survey covering the Viento Frio I prospect was completed by Bellhaven over the property. The IP results were analyzed and an evaluation report was prepared. The IP results failed to confirm sufficient depth continuity to the gold mineralization that is exposed at the surface. On June 10 ,2008 Bellhaven announced the signing of a Letter of Intent with Global Min Metal Holdings ("GMM") to option the Manganese potential of the Concession. GMM has started a field program in order to explore and evaluate the Manganese mineralization in the property. The goals for the next sixth months will be the following: 1. Cerro Quema Gold Project: a. Complete the Pilot Plant Tests b. Complete construction of the Sediment Control Structure c. Complete the following tasks: - Design of the Continuous Vat Leach Plant - Mine Plan Layout - Mine Closure Plan - Pit Optimization and Reserve Estimate Update - Validate Capex and Opex - Updated Feasibility Study d. Continue with procurement and equipment acquisition e. Initiate and complete construction of the water diversion channels. 2. Colombia Projects: a. Commence production at the Santa Maria Gold Mine and reach a production capacity of 1,000 onzs per month. b. Continue exploration, geologic mapping in the three properties in the Bolivar Department. Look into the possibility of bringing JV partner for some of these properties. Expand our land position in the southern Bolivar Department area. 3. Cerro Chorcha: a. Complete the 43.101 complaint resource estimate based on the results of last year's exploration results. b. Advance at a fast pace a US$7 million exploration program. This program will include a 10,000 mts diamond drilling program. 4. Pitaloza/Azuero Package:
Bellhaven has prepared a 1,000 mts, 8 drill hole program to test the Au-Cu mineralization model generated from the IP survey. Bellhaven intend to fund this program once funding becomes available, but we are also interested in seeking third party participation in drilling the three Pitaloza targets and exploring for Cu-Au mineralization in the large Azuero property Package. The company has been approached by and is in discussions with several groups/potential partners on this land package.
5. Rio Liri:
Bellhaven has prepared a 1,600 mts, 12 drill hole program to test the near surface Au mineralization at the Pelado Prospect. Bellhaven intend to drill this prospect once funds become available. This drill program is expected to begin in Q1/2009.
6. Joint Venture Properties: a. Los Hatillos/Higui Concession: GCR has confirmed that it will continue exploration work during the second year of the agreement, and has made the second option payment of US$50,000. The exploration program for the second semester of 2008 has yet to be defined by GCR. b. Viento Frio Concession: GMM has initiated an exploration program. A Definitive Agreement will be signed during this semester. Recent Events:
This update reports on the objectives accomplished as of June 30, 2008. Since that time and up the date of this release. Bellhaven has also:
1. Completed successfully the trial run of the Continuos Vat Leach Pilot Plant, SGS has commissioned the plant to start the test with the ore sample, which has been scheduled to start on August 8, 2008. 2. Bellhaven has engaged Datamine - NA to perform an updated Pit Optimization study using current economic parameters. 3. Bellhaven is now planning to start production at the Santa Maria Mine in the second half of August, ahead of schedule which was planned for mid Q3/08. 4. Bellhaven has engaged Cynthia Thomas of Conseil Advisory Services Inc. to advise Bellhaven in analyzing financing alternatives for the Cerro Quema Gold Project. Mrs. Thomas provides independent financial advisory and has extensive experience in the natural resource industry, a career spanning more than 25 years. 5. Bellhaven has also engaged Mr. Garett Green as Communications Advisor on a part time basis. Mr. Green will receive a monthly fee of $1,845 and an option package of 100,000 options. 6. At the Board of Director held on July 31, 2008 the Board approved unanimously to elect Patrick Abraham to the Board of Director to fill the vacancy created by Larry Abraham's death. We welcome Patrick to the Board.
This news release has been prepared under the supervision of Michael D. Druecker, PhD., P. Geo. who serves as the Qualified Person for this project under National Instrument 43-101.
On behalf of the Board of Directors Julio C. Benedetti President & CEO Int'l No: +507-226-3967 BELLHAVEN COPPER AND GOLD, INC.
Forward Looking Statements: Some statements in this news release contain forward-looking information. These statements include, but are not limited to, statements with respect to the completion of transactions, the timing and amount of issuances of securities and the uses of proceeds. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others, the ability to complete contemplated transactions and share issuances and the uses of proceeds.
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