Science & Technology
Science and Technology
Science and Technology
Wed, March 11, 2009
Tue, March 10, 2009 General Metals Corporation : General Metals Expands Operations in 2009 Ramp Up for Production
RENO, NV--(Marketwire - March 10, 2009) - General Metals Corporation (the "Company") ( 2007 - 2008 Phase 1 Drilling and Historical Results During the 2007 - 2008 Phase I drilling program, the Company completed 26,055 feet in 84 drill holes. Holes range from vertical to 45 degrees easterly and vary from 25 to 580 feet deep and average 336 feet in depth. The company has commissioned an Independent technical report by a Qualified person to assess the results. Until the report is complete, investors are cautioned not to rely on these results and estimates for investment purposes. The Company's drilling has identified a large body of near surface oxide mineralization over a strike length of more than 3,000 feet and discovered the new Hill Zone. Mineralization is open to depth and along strike to the north, which the company believes will be amenable to mining and production by low cost open pit and heap leaching techniques. After a thorough review of the Company's drill data to date, combined with historic drill data, the Company's consultants calculate a drill inferred Global Estimate of 39,089,939 tons of mineralized material, containing 569,347 ounces of gold and 11,327,160 ounces of silver in the near surface oxide mineralization. This estimate is a global estimate of mineralization in the now targeted zones on the property, and does not yet indicate the material is minable or economical. Project geologist Jeffery Rassuchine said: "Significantly more mineralization was discovered than expected with further potential to double the surface/shallow mineralization. We have discovered that nearly the entire surface area of the Independence Mine will be mined to a depth of from 300-500 feet and possibly to greater depth as we discover the feed systems that are believed to have carried the deep mineralization, previously discovered by Noranda's 25,000 foot core drilling program, to the surface." Company President and CEO Steve Parent remarked: "This means that an alternative processing and operations site is both necessary and preferable for permitting reasons. The private land is adjacent to Newmont Mining's reclaimed tailings pond and new copper heap leach site, so permitting issues should be routine. The county road with power goes through the land. Closing is scheduled for April 17, 2009, with closing funds and acquisition financing already in place. This strategic acquisition expands our operating footprint from 240 acres to 720 acres approximately, which will enable us to handle every bit of mineralization available." 2009 Engineering and Permitting For Production During 2009 the Company has undertaken an aggressive program to rapidly move the Independence project toward production. The company has commissioned necessary studies and permits to allow it to proceed to production in the near term. The Company has already initiated work to complete a current, independent, technical report and resource calculation to be compliant with Canadian National Instrument 43-101. The Company anticipates this report will be completed within several more weeks as the resource modeling has begun. Check assays are being prepared at this time. This report will not meet SEC Industry Guide 7 guidelines but will provide information in a familiar format for our Canadian and European investors. To further expedite the planned near term production, the Company has contracted Dyer Engineering of Reno, Nevada to organize and initiate environmental, archeological and other studies required by the permitting process necessary to place the Independence Mine into commercial production. The Company has received bids for the Environmental Assessment Report (EA), the Cultural/Archeological Report and commissioned the Flora and Fauna Report and has completed the underground Bat study. Water rights and permits are being pursued under separate application and will attach to the new land and well that is planned to be drilled. Upon completion of the currently ongoing independent Quality Assurance - Quality Control (QA - QC) assessment and the Independent Resource Report, appropriate metallurgical samples will be selected and submitted for extractive metallurgical studies. When the metallurgical work is completed, a mine plan will be developed which the Company believes will see much of the resources identified in the Report converted into reserves. A detailed description of the 2007 - 2008 Phase 1 Definition Drilling Program is available on the Company's web site, under "Independence Interim Drilling Report" link on our Homepage at [ www.gnmtlive.com ] About General Metals Corporation: General Metals Corporation is an aggressive junior minerals exploration and development company, based in Reno, Nevada. The Company is actively exploring its 100% controlled Independence property strategically located in the prolific and highly prospective Battle Mountain Mining District, Nevada. Permitting and Engineering for heap leach production is underway at the Independence Mine. The Company recently entered into an agreement to sell its 150 sq. km. mining concession for gold, diamonds and base metals in Ghana, West Africa for $1,000,000 in cash and stock and retains a royalty. Notice Regarding Forward-Looking Statements This news release contains "forward-looking statements," as that term is defined in Section 27A of the United States Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, among other things, that the proceeds from the recent private placement will allow the Company to proceed with Phase 1 drilling at its Independence Mine in Nevada or any shallow mining production later this year, the budget for the Phase 1 drilling program, that an estimated 569,347 ounces of gold and 11,327,160 ounces of silver are contained in the mineralized material in the "Shallow Target," and is proposed to be mined and loaded onto a cyanide heap leach pad, or any future financings that the Company may enter into. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with mineral exploration. We are not in control of metals prices and these could vary to make development uneconomic. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that the beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-KSB for the 2008 fiscal year, our quarterly reports on Form 10-QSB and other periodic reports filed from time-to-time with the Securities and Exchange Commission.
