Due to a review by the British Columbia Securities Commission (BCSC), Barkerville Gold Mines Ltd. (TSXV:BGM,FWB:IWUB) will clarify its technical disclosure and will file a complete draft NI 43-101 compliant technical report with the BCSC as soon as possible to respond to the BCSC’s specific concerns.
As quoted in the press release:
A summary of the concerns of the BCSC regarding the resource estimate disclosed in the Original News Release include: (i) the drill-hole assays were not composited before estimating resource grade; (ii) the estimates do not apply grade capping, despite most of the gold in the reported 2011 drill intersections being in thin high-grade intersections; (iii) the resource appears to be unconstrained by the geological model of the gold hosting structures; (iv) failure to cap and use of an unconstrained bulk-tonnage resource model is likely to have resulted in material overestimation of grade and tonnage of the resource; and (v) no external cut-off grade.
A summary of the concerns of the BCSC regarding the exploration target relate to what was initially perceived as a lack of local data used to estimate potential ton and grade ranges along strike for such geological potential. For example: (i) using the indicated resource as a basis for the quantity and grade of potential exploration targets in other locations along strike; (ii) grade ranges of estimates of potential set an apparent arbitrary +/- 15% above and below average grade of the resource; and (iii) tonnage ranges apparently arbitrary based on percentages above and below the resource tonnage.
The Company confirms that it will file on SEDAR a technical report supporting its Cow Mountain estimates within the required 45-day period following the June 28, 2012 news release, and that it will promptly announce any material changes to its estimates that result from the audit or preparation of the report.