Great Basin Gold Ltd. (fka GBGLF)

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More Ferdi PR...

http://www.miningweekly.co.za/min/news/today/?show=96591

Newly JSE-listed Great Basin Gold in South African expansion drive
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Canadian-listed junior miner Great Basin Gold hoped to increase production at its Burnstone mine to 240 000 oz-plus a year and extend mine life beyond 14 years, CEO Ferdi Dippenaar said on Friday following its JSE main-board listing.

Burnstone, situated near Balfour in the South Rand goldfields 80 km from Johannesburg, was scheduled to come into production by 2009.

Dippenaar said that surface drilling was continuing at the Mpumalanga operation in a bid to convert 4,7-million resource ounces to reserve ounces.

Burnstone had a total measured-and-indicated resource of 7,1-million ounces and a mining reserve of 2,4-million ounces in its Area 1 mining area, the major portion of which was under new-order prospecting rights.

By December, he expected initial drilling to convert 600 000 resource ounces to reserve ounces and further drilling to convert another million ounces.

Primary listed in Toronto, Dippenaar said that the secondary JSE listing was undertaken to create an additional growth-funding mechanism and also to enhance awareness of the company among South African investors.

Finance would not be raised on the JSE at this stage, however, as the company - which was concluding a black-economic-empowerment transaction with Sipho Nkosi's Tranter Investments - was adequately financed for the short- to medium-term.

Minerals and Energy Minister Buyelwa Sonjica had, earlier in the week, converted a further three prospecting rights, bringing the total new-order prospecting rights to eight, with two further conversions awaited.

Outside of South Africa, Great Basin Gold was developing the 93 500 oz/y Hollister mine in North America, a project that presented opportunities for further exploration.