and go in Production......


This preliminary assessment is based on the following assumptions:

• A good mill design will have a good gold recovery and a low operating cost.

• Unless in extremely good working condition, Gold Bullion will buy new milling equipment

• The open pit & underground mine will be able to feed the mill at a rate of 7,500 tpd, 7 days per week

• No major setbacks will be encountered with the federal and provincial environmental agencies, trade unions and/or indigenous people

• Electrical power of sufficient capacity is readily available

• Approximately 5 hectares of a more or less flat site will have to be prepared for the mill and its ancillary infrastructure

• It will be possible to dispose of the tailings both acid and neutral without jeopardizing the surrounding environment

• It is anticipated that the gold recovery will be in the 95% range while the grade of sulphur in the neutral tailings will be less than 0.5%

• The liberation size is typically less than 75 μm

• No attempt was made for the recovery of other minerals.




Gold Bullion has given a mandate to SGS Canada Inc. to prepare a Preliminary Feasibility Study (PFS) for a Rolling Start in accordance with the following objectives;

to provide grade validation for processing around 475 tonnes per day for a three year period

 to begin pouring gold at the earliest opportunity and to prepare the site for a below the horizon mill with a zero discharge configuration.

The PFS is also to include specific recommendations demonstrating that Gold Bullion is a good corporate citizen to ensure continued strengthening of positive relations in the surrounding community.