GMV Minerals Inc. Reaffirms Commitment to Mexican Hat Gold Project - Drill Permit Received for Nevada Project

ACCESSWIRE · (GMV Minerals, Inc.)

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VANCOUVER, BC / ACCESSWIRE / July 24, 2024 / GMV Minerals Inc. (the "Company" or "GMV") (TSXV:GMV)(OTCQB:GMVMF) is pleased to announce the following update:

The Company continues to be highly encouraged by its primary core project known as the Mexican Hat gold deposit located in SE Arizona. The Company's Preliminary Economic Assessment "PEA" reports 36.7 million tonnes grading 0.58 gpt gold in a 688,000 ounce Inferred Mineral Resource. An open pit with a 1.87:1 strip ratio was modeled to extract 32.6 million tonnes of this deposit recovering 525,000 ounces of gold over a 10-year mine life. This is a low capital cost operation, total cost of US$67.8 million, which includes US$12 million in contingency and US$13 million in sustaining capital. Heap leach testing demonstrates an exceptional recovery of 88% of the gold from a two-stage crushing circuit.

Partial economics of the base case gold price variance is shown in an excerpt from the PEA (below). For ease of reference, please review the entire PEA by visiting the Company's website at www.gmvminerals.com.

Gold price Base Case Variance

Base

+40%

US$/troy oz Gold

1,600.00

2,240.00

IRR (Pre-Tax)

39.3%

77.4%

NPV @ 5% (Pre-Tax) US$M

150.6

395.0

All technical detail is drawn from "NI 43-101 Technical Report Updated Preliminary Economic Assessment, Mexican Hat Project" by Kuestermeyer, A., Pozder, S., Webb, D., Barr, J., Dyer, T., Barrios, F., Garcia, D., 2020.

As a result of the recent and steady increase in the price of gold, well beyond numbers that were conceived in the PEA, the Company is now advancing upon its intention to continue developmental drilling at the project while remaining focused on the share structure of the company.

A drill program will twin approximately thirty-five shallow holes drilled by past operators (approximately 90% completed by Placer Dome USA). This wide diameter diamond drill program intends to refine the internal boundaries of the mineralization and provide geomechanical parameters which cannot be obtained from reverse circulation drilling.

The result from this work is expected to:

  • Upgrade the mineral resource to higher categories within the Measure, Indicated and Inferred resources classification.

  • Provide geotechnical data for engineering designs geared to maximize the pit slope and potentially increase recoverable gold ounces.

  • Provide opportunities to confirm hydrogeological properties of the rock.

  • Provide samples for environmental testing to characterize both the ore and waste materials for permitting requirements.